Hello, dear friends!
In the first half of Monday, the dollar weakened slightly against the major currencies. While it is too early to talk about the reversal of the trend, the big players preferred to take a wait-and-see attitude, partially fixing the profit on sales.
Another round of U.S.-China trade talk is due to take place this week. At the weekend there were reports that a breakthrough cannot wait. The risk of Trump's impeachment also speaks in favor of this, under these conditions China may prefer not to conclude medium- and long-term agreements. This factor plays against the dollar.
From the news of the beginning of the week we can note only that statistics on production orders in Germany. There is a fall, but not as sharp as pessimists expected.
Against this background, EURUSD does not fall below 1.0960, and GBPUSD rebounded from support by 1.2300. The pound, as before, remains dependent on the situation with Brexit.
Of the news factors on Monday, only the speech of the head of the US Federal Reserve Jerome Powell (20:00 GMT) should be taken into account. Pay special attention this week to news related to the trade war - this factor affects most currencies.
News in trading we use only as a filter, in the strategy Horizon X entry point is determined based on the logic of the movement of the crowd and the big players. The results speak for themselves - 7-8 trades out of 10 closes with profit. Here's the link below, see more of this strategy and sign up for training.
EURUSD chart is in the middle of the range of 1.0883-1.1106
In the near future, the behavior of the EURUSD currency pair is determined by the boundaries of the region of 1.0883-1.1106. At the time of the review, the schedule is in the central part of this range.
On H1 we work with the termination zone 1.0962-1,0999, we consider two variants of the development of events:
- A breakdown of the level of 1.0962 and pinning under it. This provides an opportunity for sales, most likely reaching the level of 1.0883;
- Expansion of the lower boundary of the range of 1.0962-1.0999, after fixing above the level of 1.0962 can be bought. The first target is 1.0999, after its breakdown and consolidation behind it - 1.1106.
Support for the pound has not yet been worked out at the level of 1.1970
On H4 we see that GBPUSD is in the movement phase to the lower boundary of the range of 1.1970-1.2572. Recent growth is more like a correction than a reversal.
On the M30 we plan an action plan for the near future:
- If you break through and fasten under the lower boundary of the termination zone 1.2279-1.2335 can be sold. The first take-profit - the level of 1.2213, the second - 1.1970;
- The continuation of growth, breakdown and consolidation above the level of 1.2335 opens the way up to at least 1.2400, finally closing long positions can be at 1.2572.
USDCHF opens long positions after false breakdown of support
At the time of the review, the chart is at the lower limit of the range of 0.9921-1.0024. In the near future I do not consider short positions - there is no reason for a sharp growth of the Swiss.
You can buy after a false breakdown of the lower boundary of the area of termination 0.9930-0.9964. Profit-taking benchmarks are 0.9964, 1.0005, 1.0024.
We are waiting for the breakdown of the boundaries of the zone 1495-1514
At the time of the review there is no clear entry point, the schedule is in the central part of the termination zone 1495-1514. To trade, you need to wait for the breakdown of one of the boundaries of this range:
- Purchases - only after the breakdown of level 1514 and pinning it behind it. The first benchmark for profit-taking is 1535, followed by behavior in the area of 1550;
- Sales - after consolidation under 1495. The take-profit should be located at 1475 and 1459.
Entry points are possible on the extension of each of the borders.
It is expected that the New Zealand dollar will weaken further in tandem with the American
The H1 clearly shows the range in which the chart has been moving in recent days. At the beginning of the week, the movement to the lower boundary of the region 0.6205-0.6333 develops.
On the M15 we see that the lower boundary of the region 0.6305-0.6321 has been breakdown. In the future, we consider three options:
- The upward correction, which will end at 0.6305, will get an entry point for sales;
- Formation of a new break-up zone in the course of the downward movement. Once fixed under its lower boundary, it can be sold;
- Expanding the upper boundary of the new termination zone also provides grounds for sales.
Profit-fixing levels are 0.6253 and 0.6205.