Market news and trade recommendations by FBS
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Why everybody should keep in focus the forthcoming BOJ meeting
9/16/2016
Upcoming BOJ’s decision on interest rate haunts investors and traders. Senior lenders urge Bank of Japan (BOJ) to weigh up its monetary policy of low interest rate saying that it grossly curtails their lending income. This policy is facing ferocious criticism since the negative rates neither reflect on the country’s economic growth nor help to achieve long-cherished inflation rate of 2%.
Despite all this pressure and apparent failure of the BOJ’s monetary policy, the bank officials seem to be unable to decide this brainteaser. On the one hand, they cannot give up on their program of financial stimulation of the country’s economy. On the other hand, they face with constant nagging of Japanese financial institutions, crying over their shrinking margins. Mr. Haruhiko Kuroda, a current Governor of BOJ, has recently admitted that monetary policy of low interest rates does harm the Japanese financial sector and puts additional pressure on pension funds. That’s why the BOJ might be opposed to negative interest rates at the forthcoming meeting scheduled for the 21st of September. The BOJ will have to question the credibility of its current financial tools and introduce the new ones. Some economists from proven printing editions believe that the BOJ might be willing to smooth financial losses of the banks by reducing its purchases of longer-term bonds and buy more short-term ones. This decision, in its turn, has caused a tremendous sell-off in JPBs and put even more pressure on investors stricken by the Friday’s stock market downfall.
Japan Generic Govt 10 Year
USDJPY Spot Exchange Rate
But we encourage you to be positive, since there is a scope for profits on financial markets, if you play on the high volatility of the USD/JPY currency pair next week.
More:
https://new.fxbazooka.com/analytics/10502
9/16/2016
Upcoming BOJ’s decision on interest rate haunts investors and traders. Senior lenders urge Bank of Japan (BOJ) to weigh up its monetary policy of low interest rate saying that it grossly curtails their lending income. This policy is facing ferocious criticism since the negative rates neither reflect on the country’s economic growth nor help to achieve long-cherished inflation rate of 2%.
Despite all this pressure and apparent failure of the BOJ’s monetary policy, the bank officials seem to be unable to decide this brainteaser. On the one hand, they cannot give up on their program of financial stimulation of the country’s economy. On the other hand, they face with constant nagging of Japanese financial institutions, crying over their shrinking margins. Mr. Haruhiko Kuroda, a current Governor of BOJ, has recently admitted that monetary policy of low interest rates does harm the Japanese financial sector and puts additional pressure on pension funds. That’s why the BOJ might be opposed to negative interest rates at the forthcoming meeting scheduled for the 21st of September. The BOJ will have to question the credibility of its current financial tools and introduce the new ones. Some economists from proven printing editions believe that the BOJ might be willing to smooth financial losses of the banks by reducing its purchases of longer-term bonds and buy more short-term ones. This decision, in its turn, has caused a tremendous sell-off in JPBs and put even more pressure on investors stricken by the Friday’s stock market downfall.
Japan Generic Govt 10 Year
USDJPY Spot Exchange Rate
But we encourage you to be positive, since there is a scope for profits on financial markets, if you play on the high volatility of the USD/JPY currency pair next week.
More:
https://new.fxbazooka.com/analytics/10502
EUR/USD: "Three Methods" pushed price lower
9/16/2016
There’re a “Harami” and a “Doji” at the local high, which both have been confirmed. So, it’s likely to see another test of the 89 Moving Average in the short term. If a pullback from this line happens, bulls will probably try to reach the nearest resistance. As we see on the Daily chart, the last candle have been closed under the middle of the previously formed huge white candle, which is a strong bullish sign. So, if we see a pullback from the closest support, there’ll be an opportunity to have another upward movement.
We’ve got a consolidation, which brought a “Shooting Star” at the local high. Also, there’s a bearish “Three Methods” pattern. Therefore, the market is likely going to test the nearest support line once again.
More:
https://new.fxbazooka.com/analytics/10503
9/16/2016
There’re a “Harami” and a “Doji” at the local high, which both have been confirmed. So, it’s likely to see another test of the 89 Moving Average in the short term. If a pullback from this line happens, bulls will probably try to reach the nearest resistance. As we see on the Daily chart, the last candle have been closed under the middle of the previously formed huge white candle, which is a strong bullish sign. So, if we see a pullback from the closest support, there’ll be an opportunity to have another upward movement.
We’ve got a consolidation, which brought a “Shooting Star” at the local high. Also, there’s a bearish “Three Methods” pattern. Therefore, the market is likely going to test the nearest support line once again.
More:
https://new.fxbazooka.com/analytics/10503
USD/JPY reversed form resistance zone
9/16/2016
USD/JPY reversed form resistance zone
Next sell target - 100.00
USD/JPY continues to decline inside the minor impulse wave 3 – which started previously – wine the pair reversed down with the daily Japanese candlesticks reversal pattern Evening Star from the resistance zone lying between the resistance level 103.00 and the upper resistance trendline of the extended daily down channel from the end of January.
The active impulse wave 3 belongs to the intermediate impulse wave (3) of the primary downward impulse ③ from July. USD/JPY is expected to fall down further to the next strong support level 100.00 (which reversed four previous waves ①, (B), (1), B, as can be seen below).
![USDJPY_-_Primary_Analysis_-_Sep-16_1448_PM_(1_day)(1).png]](/forum/proxy.php?image=https%3A%2F%2Fnew.fxbazooka.com%2Fimg%2Farticles%2F10504%2FUSDJPY_-_Primary_Analysis_-_Sep-16_1448_PM_%281_day%29%281%29.png%5D&hash=d5df0dee7f22e1a184eae0a8d2ff2314)
More:
https://new.fxbazooka.com/analytics/10504
9/16/2016
USD/JPY reversed form resistance zone
Next sell target - 100.00
USD/JPY continues to decline inside the minor impulse wave 3 – which started previously – wine the pair reversed down with the daily Japanese candlesticks reversal pattern Evening Star from the resistance zone lying between the resistance level 103.00 and the upper resistance trendline of the extended daily down channel from the end of January.
The active impulse wave 3 belongs to the intermediate impulse wave (3) of the primary downward impulse ③ from July. USD/JPY is expected to fall down further to the next strong support level 100.00 (which reversed four previous waves ①, (B), (1), B, as can be seen below).
More:
https://new.fxbazooka.com/analytics/10504
EUR/JPY falling inside impulse wave (iii)
9/16/2016
EUR/JPY falling inside impulse wave (iii)
Next sell target - 114.00
EUR/JPY recently reversed down from the resistance zone lying between the resistance level 116.00 (which also earlier reversed the previous minor ABC correction (ii)), the upper daily Bollinger Band, 38.2% Fibonacci correction of the earlier downward impulse from April and the lower trendline of the wide weekly down channel from 2015 (acting as resistance now after it was broken).
The downward reversal from the aforementioned resistance zone started the active minor impulse wave (iii), which belongs to the impulse wave 3 from the middle of July). EUR/JPY is expected to fall to the next sell target at the support level 114.00.
More:
https://new.fxbazooka.com/analytics/10505
9/16/2016
EUR/JPY falling inside impulse wave (iii)
Next sell target - 114.00
EUR/JPY recently reversed down from the resistance zone lying between the resistance level 116.00 (which also earlier reversed the previous minor ABC correction (ii)), the upper daily Bollinger Band, 38.2% Fibonacci correction of the earlier downward impulse from April and the lower trendline of the wide weekly down channel from 2015 (acting as resistance now after it was broken).
The downward reversal from the aforementioned resistance zone started the active minor impulse wave (iii), which belongs to the impulse wave 3 from the middle of July). EUR/JPY is expected to fall to the next sell target at the support level 114.00.
More:
https://new.fxbazooka.com/analytics/10505
Oil prices: so, we fall again]
9/16/2016
Major oil producers are pulling in their belts as Nigeria and Libya whose supplies have been crushed by a range of domestic conflicts are preparing to add their share of barrels to a global oil glut within weeks. The belts will be pulled even tighter when another large producer – the Kashagan, dubbed as “cash-all-gone” due to series of expensive overruns, is going to pour more oil into the markets. OPEC low-cost producers (Kuwait and the UAE) are not ready to sacrifice their profits. Saudi Arabia and Iraq turned on the taps at their full capacity and raised their production since late 2014. Add to this Baker Hughes’ data announcement about the increase in number of oil rigs and you will get a full package to put oil prices down.
All this happens when refineries are going to freeze their production thereby reducing their appetites for crude oil. Gloomy reports from OPEC, International Energy Agency offer little room for optimism. The 15th International Energy Forum (IEF15) scheduled for the 26-28th of September will unlikely make any difference to this sudden collapse of oil supple, even if two major producers (Saudi Arabia and Russia will manage to negotiate a production freeze.
The oil prices are already responding this competition between major producers. Crude oil prices fell by $4,7 from its September high $47,75 a barrel. We expect oil prices will fall further.
More:
https://new.fxbazooka.com/analytics/10506
9/16/2016
Major oil producers are pulling in their belts as Nigeria and Libya whose supplies have been crushed by a range of domestic conflicts are preparing to add their share of barrels to a global oil glut within weeks. The belts will be pulled even tighter when another large producer – the Kashagan, dubbed as “cash-all-gone” due to series of expensive overruns, is going to pour more oil into the markets. OPEC low-cost producers (Kuwait and the UAE) are not ready to sacrifice their profits. Saudi Arabia and Iraq turned on the taps at their full capacity and raised their production since late 2014. Add to this Baker Hughes’ data announcement about the increase in number of oil rigs and you will get a full package to put oil prices down.
All this happens when refineries are going to freeze their production thereby reducing their appetites for crude oil. Gloomy reports from OPEC, International Energy Agency offer little room for optimism. The 15th International Energy Forum (IEF15) scheduled for the 26-28th of September will unlikely make any difference to this sudden collapse of oil supple, even if two major producers (Saudi Arabia and Russia will manage to negotiate a production freeze.
The oil prices are already responding this competition between major producers. Crude oil prices fell by $4,7 from its September high $47,75 a barrel. We expect oil prices will fall further.
More:
https://new.fxbazooka.com/analytics/10506
USD/JPY: "Window" acted as a support
9/16/2016
The last “Shooting Star” pattern led to the current bearish price movement. Also, we’ve got a pullback form the lower “Window”, so the market is likely going to reach the nearest Moving Averages. If a pullback from these lines happens, there’ll be an opportunity for another decline. As we can see on the Daily chart, the price achieved the important support levels, so bulls will probably try to deliver a local correction.
We’ve got one more bearish “Engulfing”, so the price reached the lower “Window”. Considering a “Harami” pattern, there’s a chance to have a bullish movement towards the Moving Averages, which could reverse the price movement into a downward direction.
More:
https://new.fxbazooka.com/analytics/10507
9/16/2016
The last “Shooting Star” pattern led to the current bearish price movement. Also, we’ve got a pullback form the lower “Window”, so the market is likely going to reach the nearest Moving Averages. If a pullback from these lines happens, there’ll be an opportunity for another decline. As we can see on the Daily chart, the price achieved the important support levels, so bulls will probably try to deliver a local correction.
We’ve got one more bearish “Engulfing”, so the price reached the lower “Window”. Considering a “Harami” pattern, there’s a chance to have a bullish movement towards the Moving Averages, which could reverse the price movement into a downward direction.
More:
https://new.fxbazooka.com/analytics/10507
AUD/USD & CB Leading Index/RBA Monetary Policy Minutes: Opportunity for buyers ahead?
9/18/2016
Today we'll have a light economic calendar in terms of macroeconomic events, but we'll be watching for the latest developments around the Australian Dollar, as we would be following the CB Leading Index at 14:30 GMT and latest numbers have been showing a pattern to stay in the range between 0.1% and 0.5% during the latest months. However, the key event will be at 01:30 GMT on Tuesday, when it will be released the RBA monetary policy meeting minutes.
Our technical picture for AUD/USD at H4 chart is calling for more weakness across the board, but in terms of price action, there is a zone very important for the buyers, as the 0.7515 – 0.7455 levels have been proven to be a strong demand zone and eventually, the Aussie may have a momentum to resume the bullish bias. If that happens, then a breakout above the 0.7515 level is expected towards the 0.7565 zone. By another hand, if the pair manages to break the 0.7455 support level, it's expected to fall towards the 0.7400 level.
More:
https://new.fxbazooka.com/analytics/10508
9/18/2016
Today we'll have a light economic calendar in terms of macroeconomic events, but we'll be watching for the latest developments around the Australian Dollar, as we would be following the CB Leading Index at 14:30 GMT and latest numbers have been showing a pattern to stay in the range between 0.1% and 0.5% during the latest months. However, the key event will be at 01:30 GMT on Tuesday, when it will be released the RBA monetary policy meeting minutes.
Our technical picture for AUD/USD at H4 chart is calling for more weakness across the board, but in terms of price action, there is a zone very important for the buyers, as the 0.7515 – 0.7455 levels have been proven to be a strong demand zone and eventually, the Aussie may have a momentum to resume the bullish bias. If that happens, then a breakout above the 0.7515 level is expected towards the 0.7565 zone. By another hand, if the pair manages to break the 0.7455 support level, it's expected to fall towards the 0.7400 level.
More:
https://new.fxbazooka.com/analytics/10508
GBP/USD: the pound fell into a bear trap
9/18/2016
On the GBP/USD daily chart, due to the drop in quotes to their September lows, our targets of the short positions on the pound have been fulfilled. Break-point of rising short-term trend is very steady, therefore, traders should focus on the sales at 1,3072-1,3075 and 1,315 levels. Over time, the pair is expected to go down to 1,291-1,2925 levels
On the GBP/USD hourly chart 'bulls" can gather themselves up and attack the lower boundary of the descending trading channel. If their efforts fail, it will be a signal to open short positions. As for an initial target it makes sense to use the convergence zone of 1,295-1,2965.
Recommendations: SELL 1,307 SL 1,314 TP1 1,2965 TP2 1,291 SELL 1,3105 SL 1,3155 TP1 1,2965 TP2 1,291
More:
https://new.fxbazooka.com/analytics/10509
9/18/2016
On the GBP/USD daily chart, due to the drop in quotes to their September lows, our targets of the short positions on the pound have been fulfilled. Break-point of rising short-term trend is very steady, therefore, traders should focus on the sales at 1,3072-1,3075 and 1,315 levels. Over time, the pair is expected to go down to 1,291-1,2925 levels
On the GBP/USD hourly chart 'bulls" can gather themselves up and attack the lower boundary of the descending trading channel. If their efforts fail, it will be a signal to open short positions. As for an initial target it makes sense to use the convergence zone of 1,295-1,2965.
Recommendations: SELL 1,307 SL 1,314 TP1 1,2965 TP2 1,291 SELL 1,3105 SL 1,3155 TP1 1,2965 TP2 1,291
More:
https://new.fxbazooka.com/analytics/10509
EUR/USD: the euro chose its direction
9/18/2016
On the EUR/USD daily chart, the quotes went beyond the 1,1205-1,127 trading channel and allowed traders to open short positions. If the "bears" manage to continue the initiated attack and break through the 1,113 support, the activation of the Bat pattern will increase the risk of euro falling to 1,104 and 1.1 marks.
On the EUR/USD hourly chart, the target at 88.6% in the Bat pattern has been fulfilled. Update of the newly formed low will allow the pair to continue its downward movement, at least down to the level of 1,111. Withdrawal from the convergence zone 1,12-1,1205 will be a signal to open short positions.
Recommendation: SELL 1,12 SL 1,125 TP1 1,111 TP2 1,104 TP3 1,1
More:
https://new.fxbazooka.com/analytics/10510
9/18/2016
On the EUR/USD daily chart, the quotes went beyond the 1,1205-1,127 trading channel and allowed traders to open short positions. If the "bears" manage to continue the initiated attack and break through the 1,113 support, the activation of the Bat pattern will increase the risk of euro falling to 1,104 and 1.1 marks.
On the EUR/USD hourly chart, the target at 88.6% in the Bat pattern has been fulfilled. Update of the newly formed low will allow the pair to continue its downward movement, at least down to the level of 1,111. Withdrawal from the convergence zone 1,12-1,1205 will be a signal to open short positions.
Recommendation: SELL 1,12 SL 1,125 TP1 1,111 TP2 1,104 TP3 1,1
More:
https://new.fxbazooka.com/analytics/10510
EUR/USD: the Bears have won
9/18/2018
Technical levels: support – 1.1150; resistance – 1.1190, 1.1210
Trade recommendations:
1. Sell — 1.1190; SL — 1.1210; TP1 — 1.1150; TP2 – 1.1110.
Reason: the prices are under the Cloud; a dead cross of Tenkan-sen and Kijun-sen, but the lines are horizontal; a bearish Ichimoku Cloud and oversold market.
https://new.fxbazooka.com/img/articles/10511/01-eurusdh4(38).png][/IMG]
Morrer:
https://new.fxbazooka.com/analytics/10511
9/18/2018
Technical levels: support – 1.1150; resistance – 1.1190, 1.1210
Trade recommendations:
1. Sell — 1.1190; SL — 1.1210; TP1 — 1.1150; TP2 – 1.1110.
Reason: the prices are under the Cloud; a dead cross of Tenkan-sen and Kijun-sen, but the lines are horizontal; a bearish Ichimoku Cloud and oversold market.
https://new.fxbazooka.com/img/articles/10511/01-eurusdh4(38).png][/IMG]
Morrer:
https://new.fxbazooka.com/analytics/10511
AUD/USD: rising to Senkou Span A
9/18/2016
Technical levels: support – 0.7500; resistance – 0.7590.
Trade recommendations:
1. Sell — 0.7590; SL — 0.7610; TP1 — 0.7530; TP2 — 0.7480.
2. Buy — 0.7530; SL — 0.7510; TP1 — 0.7590; TP2 — 0.7620.
Reason: a support of Tenkan-sen and Kijun-sen; a golden cross of Tenkan-sen and Kijun-sen; a bearish Ichimoku Cloud, but SSA have a positive direction.
More:
https://new.fxbazooka.com/analytics/10512
9/18/2016
Technical levels: support – 0.7500; resistance – 0.7590.
Trade recommendations:
1. Sell — 0.7590; SL — 0.7610; TP1 — 0.7530; TP2 — 0.7480.
2. Buy — 0.7530; SL — 0.7510; TP1 — 0.7590; TP2 — 0.7620.
Reason: a support of Tenkan-sen and Kijun-sen; a golden cross of Tenkan-sen and Kijun-sen; a bearish Ichimoku Cloud, but SSA have a positive direction.
More:
https://new.fxbazooka.com/analytics/10512
USD/JPY: the Bears can’t break the SSB
9/18/2016
Technical levels: support – 101.90; resistance – 102.50, 102.90.
Trade recommendations:
1. Sell — 101.90; SL — 102.10; TP1 — 101.10; TP2 — 100.60.
2. Buy — 102.20; SL — 102.00; TP1 — 102.90; TP2 — 103.50.
Reason: a bullish Ichimoku Cloud; an irregular dead cross of Tenkan-sen, Kijun-sen and rising Kijun-sen; a strong support of Senkou Span B.
More:
https://new.fxbazooka.com/analytics/10513
9/18/2016
Technical levels: support – 101.90; resistance – 102.50, 102.90.
Trade recommendations:
1. Sell — 101.90; SL — 102.10; TP1 — 101.10; TP2 — 100.60.
2. Buy — 102.20; SL — 102.00; TP1 — 102.90; TP2 — 103.50.
Reason: a bullish Ichimoku Cloud; an irregular dead cross of Tenkan-sen, Kijun-sen and rising Kijun-sen; a strong support of Senkou Span B.
More:
https://new.fxbazooka.com/analytics/10513
EUR/USD: "Triple Bottom" stopped bearish rally
9/18/2016
Bears faced a support at 1.1145, which led to form a “V-Bottom” pattern. So, the market is likely going to get a resistance on the 89 Moving Average in the short term. At the same time, if a pullback from this line happens, there’ll be an opportunity to see a decline towards a support at 1.1138 – 1.1122.
More:
https://new.fxbazooka.com/analytics/10514
9/18/2016
Bears faced a support at 1.1145, which led to form a “V-Bottom” pattern. So, the market is likely going to get a resistance on the 89 Moving Average in the short term. At the same time, if a pullback from this line happens, there’ll be an opportunity to see a decline towards a support at 1.1138 – 1.1122.
More:
https://new.fxbazooka.com/analytics/10514
GBP/USD: bulls going to reach nearest resistance
9/18/2016
The price found a support at 1.2974, so we’ve got a “V-Bottom” pattern here. Therefore, bulls are likely going to achieve a resistance at 1.3115 shortly. Meanwhile, considering th previously formed “V-Top” pattern, there’s an opportunity to see an achievement of the next support at 1.2934.
The market plunged last Friday. Finally, bears were stopped by a support at 1.2974, so an upward correction is taking place. The main intraday target is the nearest resistance at 1.3058 – 1.3115. If a pullback from this area happens afterwards, there’ll be a chance to have a new local low.
More:
https://new.fxbazooka.com/analytics/10515
9/18/2016
The price found a support at 1.2974, so we’ve got a “V-Bottom” pattern here. Therefore, bulls are likely going to achieve a resistance at 1.3115 shortly. Meanwhile, considering th previously formed “V-Top” pattern, there’s an opportunity to see an achievement of the next support at 1.2934.
The market plunged last Friday. Finally, bears were stopped by a support at 1.2974, so an upward correction is taking place. The main intraday target is the nearest resistance at 1.3058 – 1.3115. If a pullback from this area happens afterwards, there’ll be a chance to have a new local low.
More:
https://new.fxbazooka.com/analytics/10515
EUR/USD: bears going to form wave D
9/18/2016
There’s a possible wave D, which is taking place on the four-hours chart. Previously, the price formed a pullback from 5/8 Murrey Math Level (P=200). So, it’s likely that bears are going to reach 1/8 MM Level in the short term.
As we can see on the one-hour chart, there’s a double zigzag in wave (x). Also, a bearish impulse in wave a was formed last Friday. In this cast, it’s likely that bulls are going to deliver wave b during the day. If a pullback from 3/8 MM Level happens, there’ll be an opportunity to have wave c of (c).
More:
https://new.fxbazooka.com/analytics/10517
9/18/2016
There’s a possible wave D, which is taking place on the four-hours chart. Previously, the price formed a pullback from 5/8 Murrey Math Level (P=200). So, it’s likely that bears are going to reach 1/8 MM Level in the short term.
As we can see on the one-hour chart, there’s a double zigzag in wave (x). Also, a bearish impulse in wave a was formed last Friday. In this cast, it’s likely that bulls are going to deliver wave b during the day. If a pullback from 3/8 MM Level happens, there’ll be an opportunity to have wave c of (c).
More:
https://new.fxbazooka.com/analytics/10517
AUD/USD: wave (iii) is about to start
9/18/2016
We’ve got a wedge in wave , which led to form a zigzag in wave [ii]. Moreover, there’s an impulse in wave (i), so bears are likely going to deliver wave (iii) in the short term. The main intraday target is 0/8 Murrey Math Level (P=200).
There’s a quite small wedge in wave a of (ii) on the one-hour chart. In this case, it’s likely that wave c of (ii) is going to be continued. If a pullback from 4/8 MM Level be on the table, there’ll be a chance to see a bearish impulse in wave i.
More:
https://new.fxbazooka.com/analytics/10518
9/18/2016
We’ve got a wedge in wave , which led to form a zigzag in wave [ii]. Moreover, there’s an impulse in wave (i), so bears are likely going to deliver wave (iii) in the short term. The main intraday target is 0/8 Murrey Math Level (P=200).
There’s a quite small wedge in wave a of (ii) on the one-hour chart. In this case, it’s likely that wave c of (ii) is going to be continued. If a pullback from 4/8 MM Level be on the table, there’ll be a chance to see a bearish impulse in wave i.
More:
https://new.fxbazooka.com/analytics/10518
USD/CAD ahead of US Building Permits & BoC's Poloz speech: Looking to test the 1.3300 zone?
9/20/2016
Today at 12:30 GMT will be released the US building permits for August and market's consensus is calling for an increase from 1.144M to 1.1700M and at 16:45 GMT, BoC's governor Poloz is expected to speak. Both events should produce some kind of volatility in the USD/CAD pair, ahead of interest rate decisions by the Fed and BoJ, but that should be limited, as the markets are pricing the event as for right now, before the “main event”.
The technical picture for USD/CAD at H4 chart is still bullish and the resistance zone of 1.3237 can be tested once again, especially during Poloz's speech and if the US data comes above the expectations. If the Loonie manages to break the 1.3237 handle, then it can reach the 1.3300 psychological level. However, if data disappoints, but Poloz is hawkish, then a breakout below the support level of 1.3144 is highly expected to reach the 200 SMA price zone in coming days.
More:
https://new.fxbazooka.com/analytics/10527
9/20/2016
Today at 12:30 GMT will be released the US building permits for August and market's consensus is calling for an increase from 1.144M to 1.1700M and at 16:45 GMT, BoC's governor Poloz is expected to speak. Both events should produce some kind of volatility in the USD/CAD pair, ahead of interest rate decisions by the Fed and BoJ, but that should be limited, as the markets are pricing the event as for right now, before the “main event”.
The technical picture for USD/CAD at H4 chart is still bullish and the resistance zone of 1.3237 can be tested once again, especially during Poloz's speech and if the US data comes above the expectations. If the Loonie manages to break the 1.3237 handle, then it can reach the 1.3300 psychological level. However, if data disappoints, but Poloz is hawkish, then a breakout below the support level of 1.3144 is highly expected to reach the 200 SMA price zone in coming days.
More:
https://new.fxbazooka.com/analytics/10527
USD/CAD: the bulls will need a rest
9/20/2016
On the USD/CAD daily chart the "bulls" managed to reach the 1,324 target. The trend is rising, but if the "bears" manage to lower the quotes below their September 19 minimums of the doji bar, the risk of correction will rise.
On the USD/CAD hourly chart the "bulls" failure to renew their maximum at the 1,3248 level, let us talk about the formation of the second shoulder of the "Head and shoulders" pattern. The breakout of the neckline at the 1,3145 level will be a signal for correction at the 1,305 level. Here we can see the 88,6% target of the "Shark" pattern.
Recommendations: SELL 1,3145 SL 1,3205 TP 1,305.
More:
https://new.fxbazooka.com/analytics/10528
9/20/2016
On the USD/CAD daily chart the "bulls" managed to reach the 1,324 target. The trend is rising, but if the "bears" manage to lower the quotes below their September 19 minimums of the doji bar, the risk of correction will rise.
On the USD/CAD hourly chart the "bulls" failure to renew their maximum at the 1,3248 level, let us talk about the formation of the second shoulder of the "Head and shoulders" pattern. The breakout of the neckline at the 1,3145 level will be a signal for correction at the 1,305 level. Here we can see the 88,6% target of the "Shark" pattern.
Recommendations: SELL 1,3145 SL 1,3205 TP 1,305.
More:
https://new.fxbazooka.com/analytics/10528
USD/JPY: yen weighs its options
9/20/2016
On the USD/JPY daily chart quotes come close to the important support at the 101.3 level. Its successful test activates the Bat pattern. Its 88.6% target lies near the mark of 100. In contrast, breakout of the resistance at 103.2 level will clear the way to the 105.2 level (the 127.2% target of the pattern AB = CD).
On the USD/JPY hourly chart, active traders can open long positions at the breakout of the 102,45 resistance line, while more patient traders will have to wait for the successful test of the 103,2 level.
Recommendations:
SELL 101,3 SL 101,95 TP 100
BUY 102,45 SL 101,95 TP1 104,3 TP2 105,2
BUY 103,2 SL 102,5 TP1 104,3 TP2 105,2
More:
https://new.fxbazooka.com/analytics/10529
9/20/2016
On the USD/JPY daily chart quotes come close to the important support at the 101.3 level. Its successful test activates the Bat pattern. Its 88.6% target lies near the mark of 100. In contrast, breakout of the resistance at 103.2 level will clear the way to the 105.2 level (the 127.2% target of the pattern AB = CD).
On the USD/JPY hourly chart, active traders can open long positions at the breakout of the 102,45 resistance line, while more patient traders will have to wait for the successful test of the 103,2 level.
Recommendations:
SELL 101,3 SL 101,95 TP 100
BUY 102,45 SL 101,95 TP1 104,3 TP2 105,2
BUY 103,2 SL 102,5 TP1 104,3 TP2 105,2
More:
https://new.fxbazooka.com/analytics/10529
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