The month of May ended with a typical monthly reversal figure knows as key reversal on EurUsd. The monthly bar has completely incorporated the previous one as in 2011 and 2009, while in 2010, the signal failed.
The fact that this figure has been formalized exactly close to the long term down trend line certainly has a significant meaning to be added to the graphical shape of the Macd.
In the cases of 2009 and 2011, the MACD was in positive territory and shortly after, with the cutting of the signal line, the downward arrived on time; 2011 was not effective just because the MACD was still in a negative territory and was rising.
Obviously we still have not cut down on the MACD , but certainly this will be a technical aspect to follow in the coming weeks in order to get clearer long term technical signals.
During next week the data on U.S. unemployment and the ECB rate decision may already be a pretext to get stronger answers.
The fact that this figure has been formalized exactly close to the long term down trend line certainly has a significant meaning to be added to the graphical shape of the Macd.
In the cases of 2009 and 2011, the MACD was in positive territory and shortly after, with the cutting of the signal line, the downward arrived on time; 2011 was not effective just because the MACD was still in a negative territory and was rising.
Obviously we still have not cut down on the MACD , but certainly this will be a technical aspect to follow in the coming weeks in order to get clearer long term technical signals.
During next week the data on U.S. unemployment and the ECB rate decision may already be a pretext to get stronger answers.
Recommended Content
Editors’ Picks
EUR/USD holds above 1.0650 after US data
EUR/USD retreats from session highs but manages to hold above 1.0650 in the early American session. Upbeat macroeconomic data releases from the US helps the US Dollar find a foothold and limits the pair's upside.
GBP/USD retreats toward 1.2450 on modest USD rebound
GBP/USD edges lower in the second half of the day and trades at around 1.2450. Better-than-expected Jobless Claims and Philadelphia Fed Manufacturing Index data from the US provides a support to the USD and forces the pair to stay on the back foot.
Gold is closely monitoring geopolitics
Gold trades in positive territory above $2,380 on Thursday. Although the benchmark 10-year US Treasury bond yield holds steady following upbeat US data, XAU/USD continues to stretch higher on growing fears over a deepening conflict in the Middle East.
Ripple faces significant correction as former SEC litigator says lawsuit could make it to Supreme Court
Ripple (XRP) price hovers below the key $0.50 level on Thursday after failing at another attempt to break and close above the resistance for the fourth day in a row.
Have we seen the extent of the Fed rate repricing?
Markets have been mostly consolidating recent moves into Thursday. We’ve seen some profit taking on Dollar longs and renewed demand for US equities into the dip. Whether or not this holds up is a completely different story.