EUR/USD:
Looking at the weekly chart, we can see that prices broke our ascending trend line and key support-turned-resistance level at 1.20000, where we could see a further downside before prices reach the next support target at 1.17800, which coincides with 78.6% Fibonacci retracement. The daily time frame echoes the same bearish view as well and we could see a further downside below our resistance level at 1.2000, with 1.17800 as the next support target.
On the H4 timeframe, prices are approaching our resistance level at 1.19567, in line with the 38.2% fibonacci retracement. We could see a further drop below our H4 resistance level to test our daily support level at 1.18379.
Areas of consideration:
- 19567 resistance area found on H4 time frame
- 18379 support level found on H4 time frame
GBP/USD:
Looking at the weekly chart, we can see that prices are approaching our ascending trend line and weekly support area at 1.35000 where we could see a further downside before it reaches our support level, in line with the graphical pullback support area and 38.2% Fibonacci retracement. On the daily time frame, prices are approaching our support area at 1.37500, which coincides with the 78.6% Fibonacci retracement, 61.8% fibonacci extension and ascending trend line. Both time frames echo the same view that we could be seeing further downside before prices reach our support area.
On the H4 timeframe, prices are facing bearish pressure from our resistance area at 1.4000, in line with our graphical overlap resistance area and 50% fibonacci retracement. We could see a further drop below this level to test our next support level at 1.38582, which is the key support level found on the H4 frame.
Areas of consideration:
- 4000 resistance area found on H4 time frame
- 38582 support area found on H4 timeframe
AUD/USD:
From the Weekly timeframe, we can see that the price has broken the ascending trendline support turned-resistance drawn from 9th March (2020), where the current move of the price is showing us a retest of this trendline.
On the Daily timeframe, price is making a retracement where we may see a tap on the level of 0.77555, which is in line with 61.8% fibonacci retracement and 88% fibonacci extension confluence area. And if the price shows reversal at the 61.8% fibonacci level, we may see a drop towards the level of 0.76198 where the previous swing low is. And lastly, on the H4, price managed to stay above the 78.6% fibonacci retracement and push up further towards 127% fibonacci retracement, which is in line with the Daily resistance as well as retest of the ascending trendline support turned-resistance, in line with the weekly timeframe. We may see a drop from here towards the H4 previous swing low support at 0.76229.
Areas of consideration:
- H4 price may push down towards 0.76229.
- Weekly and Daily time frames are showing bearish reversal patterns.
USD/JPY
From the weekly timeframe, prices are reaching resistance which coincides with horizontal swing high as well as 100% fibonacci extension and 78.6% fibonacci retracement. On the daily time frame however, a smaller pullback could be seen and prices might pullback to the support level which coincides with 78.6% fibonacci retracement and 50% fibonacci extension.
On the H4 time frame, prices might bounce from support level which coincides with 50% fibonacci retracement and 127.2% fibonacci extension to the weekly horizontal swing high resistance level. Prices are also holding above Ichimoku cloud, suggesting a bullish pressure on prices.
Areas of consideration:
- On the H4, prices might pull back to 108.060 level which coincides with 50% fibonacci retracement and 127.2% fibonacci extension
- 850 is a strong resistance level
USD/CAD:
Looking at the weekly chart, price has reversed away from the recent 61.8% fibonacci retracement, where we may expect a continuation of this down trend since March (2020), towards 1.23749, a fibonacci confluence level.
In the daily time frame, we are able to see that price has reversed from the 61.8% fibonacci retracement and is currently testing the Weekly support. If this level is broken, we may see a push down towards the 1.25288 level where -27% fibonacci retracement is.
Lastly, on H4, we are able to see price reversed from the 61.8% fibonacci retracement level and may tap on the 1.25941 level, in line with the -27% fibonacci retracement, 1.26 major figure and horizontal graphical support level.
Areas of consideration:
- H4 may drop further towards 1.25697
- Daily and weekly time frame are both showing bearish momentum.
USD/CHF:
On the weekly timeframe, USD/CHF is approaching the weekly 0.95000 resistance level, which is in line with our 61.8% Fibonacci retracement and descending trendline resistance. The daily timeframe shows price making a slight pullback to the 0.93000 resistance-turned-support area which is also in line with our 23.6% Fibonacci retracement. We could potentially see price test the 0.95000 weekly resistance level.
On the H4 chart, we see that price is still testing the weekly 0.93000 resistance-turned-support area, which is in line with our 61.8% Fibonacci retracement and 61.8% Fibonacci extension levels. It is worth noting that the MACD indicator is still above the 0 line, showing bullish pressure in line with our analysis. In this scenario, we could potentially see a bounce and a further rise up to test the weekly 0.95000 resistance, in line with our -27.2% Fibonacci retracement, before a reversal occurs. Otherwise, should price break and close below the 0.93000 level, we could see price pushing lower to test the 0.90800 support level.
Areas of consideration:
- Price is still testing the 0.93000 resistance-turned-support area.
- Price could continue with further bullish momentum to test the next resistance level at 0.95000.
Dow Jones Industrial Average:
On the weekly chart, price pushed higher coming close to 32643 resistance. Only a weekly close below this resistance could see price pullback lower next week. On the Daily, price pushed higher as well and is also holding below 32643 weekly resistance. A short term pullback below this level could be likely. Otherwise, a break above 32643 resistance will see price rise further towards 34039 resistance.
On the H4, price surpassed previous resistance. However, we note that there is a bearish divergence forming on the H4 with price holding below weekly and daily resistance at 32643. Sellers could possibly add to their shorts below 32643 resistance with 30695 support as a possible target. Failing to hold below 32643 resistance will see price swing the other way towards next resistance at 33340.
Areas of consideration:
- Watch closely weekly and daily resistance at 32643
- Bearish divergence on the H4
XAU/USD (GOLD):
On the weekly timeframe, gold currently holding above 1670 support which is in line with key 61.8% Fibonacci retracement level. A weekly close above this support level could possibly see a further bounce next week. On the daily chart, we see price reacting above weekly support at 1670. A limited push up towards 1774 resistance could be likely.
On the 4H timeframe price pulled back higher and is holding below the 55 period EMA and 1730 resistance, we see a medium probability bearish scenario where sellers may enter at this area and add to their shorts to push price lower towards 1670 weekly support. Failure to hold below 1730 will see price rise towards next resistance at 1764.
Areas of consideration:
- Watch closely 1730 intraday resistance
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