Midday Report
The pair inclined affected by the Crab harmonic structure and the ascending channel, while the pair is currently reaching the pattern’s first extended target at 1.3565, which represents 78.6% Fibonacci correction of the CD leg. The pair could continue towards more extended targets, where the pair could reach the barrier at 1.3620, which represents 88.6% Fibonacci correction and then towards the second extended target at 1.3680, which represents the top of point (C). Consolidation above 1.3475 supports our positive expectations, while a breach of 1.3350 will negate our bullish outlook.
The trading range for this week is among the major support at 1.3110 and the major resistance at 1.3765.
The short-term trend is to the upside with steady daily closing above 1.2795 targeting 1.5135.
| Support | 1.3515 | 1.3475 | 1.3435 | 1.3390 | 1.3310 |
| Resistance | 1.3620 | 1.3665 | 1.3720 | 1.3765 | 1.3840 |
| Recommendation | Based on the charts and explanations above, we recommend buying the pair around 1.3475, and take profit in stages at (1.3565 and 1.3620) and stop loss with 4-hour closing below 1.3880. | ||||
Great British Pound (GBP)
Midday Report
The pair is still adopting a favorable reaction to the positive sign appearing on Stochastic of the main chart of the weekly basis and it seems that it intends to re-test the B point over upcoming sessions. But, moving below this level forces us to suggest potential downside actions since this B point of the duplicated harmonic structure discussed earlier. On the secondary image of the four-hour interval, Stochastic approaches overbought areas and thus, it may fall after achieving the aforementioned re-testing process. Areas of 1.5555-1.5540 should be breached to confirm that the recovery from 1.5270 is limited below the B point.
The trading range for today is among key support at 1.5445 and key resistance at 1.5820.
The general trend over short term basis is to the downside targeting 1.4225 as far as areas of 1.6875 areas remain intact.
| Support | 1.5555 | 1.5495 | 1.5445 | 1.5390 | 1.5330 |
| Resistance | 1.5690 | 1.5720 | 1.5780 | 1.5820 | 1.5880 |
| Recommendation | Based on the charts and explanations above our opinion is, selling the pair with a breakout below 1.5540 targeting 1.5270 and stop loss above 1.5780 might be appropriate. | ||||
Japanese Yen (JPY)
Midday Report
The pair has moved towards 38.2% Fibonacci retracement of CD leg of the bullish harmonic AB=CD pattern where it came below SMA 20 -green- while MACD is neutral. At the same time, Stochastic is approaching oversold areas despite its negativity. Thereby, we will continue staying aside for the rest of the day until we see if it will breach 76.95 zones or will breach 75.90-75.80 areas.
The trading range for today is among key support at 79.50 and key resistance now at 82.50.
The general trend over short term basis is to the upside targeting 87.45 as far as areas of 75.20 remain intact.
| Support | 76.40 | 76.10 | 75.80 | 75.60 | 75.25 |
| Resistance | 76.95 | 77.20 | 77.60 | 77.90 | 78.45 |
| Recommendation | Based on the charts and explanations above our opinion is, staying aside until an actionable technical setup presents itself to pinpoint the next big move. | ||||
Swiss Franc (CHF)
Midday Report
The pair is currently within critical levels, where the Butterfly harmonic structure could have been completed in areas below 0.9400-20, after reaching previously the high at 0.9315. This decline led the pair below the Exponential Moving Average 50 and and currently a 4-hour closing below this level at 0.9140 will be the first close since September 5. Therefore, we end suspend our positive expectations and remain neutral today, awaiting further confirmations regarding the pair’s movement and the negative closing below the mentioned level.
The trading range for this week is among the major support at 0.8750 and the major resistance at 0.9420.
The short-term trend is to the upside with steady weekly closing above 0.8020 targeting 0.9400
| Support | 0.9080 | 0.9030 | 0.8920 | 0.8850 | 0.8780 |
| Resistance | 0.9140 | 0.9185 | 0.9230 | 0.9270 | 0.9300 |
| Recommendation | Our weekly expectations remain valid, but based on the chart above, we recommend closing the positions as the pair reaches our stop loss point or the pair retest levels between 0.9185-0.9210. | ||||
Canadian Dollar (CAD)
Midday Report
The pair declined again after reaching around 1.0340, providing stability below the second target of the bearish AB=CD pattern, which represents 61.8% Fibonacci correction. Therefore, our weekly expectations remain valid, noting that the Exponential Moving Averages attempt to provide a negative crossover supported by the negativity seen on momentum indicators.
The trading range for this week is among the major support at 1.0000 and the major resistance at 1.0620.
The short-term trend is to the downside as far as 1.0665 remains intact targeting 0.9000.
| Support | 1.0205 | 1.0185 | 1.0115 | 1.0080 | 1.0000 |
| Resistance | 1.0295 | 1.0375 | 1.0410 | 1.0500 | 1.0550 |
| Recommendation | Our weekly expectations remain valid | ||||
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