🎯Accurate FX Analysis

2020-02-14 13:26:56 GBPJPY D1 Analysis

GBP/JPY is testing a descending trend line just above the 143.00 major psychological handle. And, as you can see, the trend line in this case represents the resistance of a potential triangle on the daily time frame.

Will pound traders bow down to the sellers for another day today? Or can the bulls push for an upside breakout this time? Remember that not all descending triangles lead to a downside breakout.

Shorting at the first signs of a successful resistance at the trend line would make for a good trade especially if Guppy drops back down to the 141.150 triangle support.

Meanwhile, a clear break above the triangle could take the pair back to its 147.00 previous highs. Open / Comment

2020-02-14 13:23:20 GBPNZD H1 Analysis

GBP/NZD is dropping from the 2.0260 minor psychological area, which isn’t surprising since the level has been an area of interest for the pair since late January.

What makes the setup tradeable today is that GBP/NZD could gain downside momentum after consolidating at the resistance.

Shorting at current levels would give you prime reward-to-risk ratios especially if you’re eyeing the big 2.0000.

If you think that the pound isn’t done gaining pips on the Kiwi, however, then you’ll definitely want to wait until GBP/NZD makes new February highs AND trades comfortably above the range before you execute them long trades. Open / Comment

2020-02-14 10:10:33 CADJPY H1 Analysis

Risk appetite appears to have improved somewhat during the Asian session, and the Loonie(CAD) has been the strongest among the comdoll bunch.

This is likely because the commodity currency is drawing support from upbeat Canadian data and a pickup in crude oil as well. After all, there are speculations that the OPEC could be mulling an increase in output cuts or at least an extension of their agreement in order to prop prices up.

On the flip side, the safe-haven yen is losing ground to risk-on flows while also facing the possibility of a Q4 GDP contraction.

With that, I’m looking at this inverted head and shoulders breakout on CAD/JPY, especially since the pair appears to be making a retest of the broken neckline.

If you think that this reversal is about to gain traction from here, hopping in at market with a stop that’s enough to weather the pair’s average daily volatility could be a good play. Open / Comment

2020-02-13 11:19:05 AUDUSD H1 Analysis

The biggest story during the Asian session is the Hubei province reporting 14,840 new confirmed Coronavirus cases after China adopted a new diagnosis classification. For comparison, there were only 1,638 new cases from the area yesterday. Yikes!

Now that most of the major central bankers have shared their two cents, it makes sense for markets to turn their focus back on the disease that’s threatening global growth. Unfortunately, it doesn’t look like we’ll see the end of the theme anytime soon.

This is why AUD/USD’s downtrend is more interesting today.

If you believe that risk-averse theme from today’s Coronavirus headlines is just getting started, then you can jump in on AUD/USD’s downtrend and aim for new February lows. That’s below 0.6670 Open / Comment

2020-02-07 13:21:26 EURNZD H4 Analysis

EUR/NZD just bounced from the 1.7000 major psychological handle, which isn’t surprising since it lined up with a 38.2% Fib retracement and a previous resistance on the 4-hour time frame.

Buying at current levels would still give you a decent reward-to-risk ratio especially if EUR/NZD ends up rising above its January highs.

Before you place any orders, though, make sure you know exactly where you have to place your profit and stop loss levels, aight? Open / Comment

2020-02-07 13:20:23 GBPAUD H1 Analysis

GBP/AUD is heading fast towards the .9350 area, which is right around a broken trend line, 38.2% Fib, and the 100 SMA that has just crossed below the 200 SMA.

Are we looking at a break-and-retest setup in the making? The pair is still a pip or two (or fifty) away from an actual retest, so you still have time to design a trading plan if you’re planning on trading this setup.

A short trade at the Fib levels would make for a good trade especially if EUR/NZD drops back to its 1.9200 previous lows.

If you’d rather buy the pound against the Aussie, however, then you’ll want to wait until the pair pops above the SMAs and aim for possible retests of the 1.9450 or 1.9700 previous areas of interest. Open / Comment

2020-02-07 11:00:57 USDCAD H1 Analysis

USD/CAD is trading in what looks like an ascending triangle on the 1-hour time frame. And if that’s not major enough, you should also note that the pair hasn’t traded 100 pips above the 1.3300 major psychological resistance since June 2019.

The short-term consolidation points to a more-volatile-than-usual reaction for the pair when Canada and the U.S. both print their labor market reports later today.

If Uncle Sam’s headline NFP comes in as strongly as what this week’s ADP report suggested, then we could see USD/CAD break above the triangle and maybe make a play for the 1.3380 high seen back in September.

If Canada paints a much healthier job market, or if the dollar sees some profit-taking from its intraweek gains near the end of the week, then USD/CAD could break below the trend line and find support at the 200 SMA or the 1.3200 previous area of interest. Open / Comment

2020-02-06 18:43:37 So, the next time you gas up your car and see that oil prices are rising, you can use this information to your advantage! It may be a clue for you to go short on USD/CAD!

Some forex brokers allow you to trade gold, oil, and other commodities. There, you can readily pull up their charts using their platforms.

You can also monitor the prices of gold on Bloomberg. You can likewise check the prices of oil on Bloomberg as well. Open / Comment

2020-02-06 18:41:33 Open / Comment

2020-02-06 18:40:13 Because of the volume involved, it creates a huge amount of demand for Canadian dollars.

Also, take note that Canada’s economy is dependent on exports, with about 85% of its exports going to its big brother down south, the U.S.

Because of this, USD/CAD can be greatly affected by how U.S. consumers react to changes in oil prices.

If U.S. demand rises, manufacturers will need to order more oil to keep up with demand. This can lead to a rise in oil prices, which might lead to a fall in USD/CAD.

If U.S. demand falls, manufacturers may decide to chill out since they don’t need to make more goods. Demand for oil might fall, which could hurt demand for the CAD.

Oil has a negative correlation with USD/CAD of about 93% between 2000 through 2016.

When oil goes up, USD/CAD goes down. When oil goes down, USD/CAD goes up.

And to make the correlation clearer, we can invert USD/CAD to show how both markets move pretty much at the same time (i.e., crude oil will gain value with the Canadian dollar while the U.S. dollar falls…and vice versa. Check it out in the chart below:

Check it out in the chart below: Open / Comment