Dukascopy Bank Team
Dukascopy Bank SA
EUR/CAD 1H Chart: Channel Down
Comment: As a result of Euro’s failure to overcome resistance at 1.4330, the bears took control of EUR/CAD and pushed the price down to 1.3722. From here we can see a rebound, being that this is the current level of the lower boundary of the bearish channel the pair has been trading within since late February. However, the potential rally is unlikely to extend the rally far beyond 1.39, being that the overall bias is negative, and the risks are skewed to the downside. In the meantime, the SWFX market appears to be undecided, being that 55% of open positions are long and 45% are short, and the technical indicators are largely mixed, with only the hourly ones distinctly pointing south.
AUD/SGD 4H Chart: Rising Wedge
Comment: Considering that since the beginning of February AUD/SGD has been forming a rising wedge, there is an increased probability of a significant sell-off. At the moment the key support is at 1.0637, where the 200-period SMA merges with the one-month up-trend and the weekly PP. If this level is breached, the Aussie may fall as low as the Feb minimum at 1.0327, but the currency will also have a good chance to stabilise at the Feb 19 and 11 lows at 1.0535 and 1.0408, respectively. However, the technical signal that longs positions are safe for now, and the upward momentum has not yet been fully exhausted. As for the sentiment, 71% of traders are short the Australian Dollar against its Singapore peer.
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.
Recommended Content
Editors’ Picks
AUD/USD defends 0.6400 after Chinese data dump
AUD/USD has found fresh buyers near 0.6400, hanging near YTD lows after strong China's Q1 GDP data. However, the further upside appears elusive amid weak Chinese activity data and sustained US Dollar demand. Focus shifts to US data, Fedspeak.
USD/JPY stands tall near multi-decade high near 154.50
USD/JPY keeps its range near multi-decade highs of 154.45 in the Asian session on Tuesday. The hawkish Fed expectations overshadow the BoJ's uncertain rate outlook and underpin the US Dollar at the Japanese Yen's expense. The pair stands resilient to the Japanese verbal intervention.
Gold: Buyers take a breather below $2,400 amid easing geopolitical tensions
Gold price is catching a breath below $2,400 in Asian trading on Tuesday, having risen over 1% in the US last session even on a solid US Retail Sales report, which powered the US Dollar through the roof. Easing Middle East geopolitical tensions and strong Chinese data could cap Gold's upside.
SOL primed for a breakout as it completes a rounding bottom pattern
Solana price has conformed to the broader market crash, following in the steps of Bitcoin price that remains in the red below the $65,000 threshold. For SOL, however, the sensational altcoin could have a big move in store.
Israel-Iran military conflict views and takeaways
Iran's retaliatory strike on Israel is an escalation of Middle East tensions, but not necessarily a pre-cursor to broader regional conflict. Events over the past few weeks in the Middle East, more specifically this past weekend, reinforce that the global geopolitical landscape remains tense.