Dukascopy Bank Team
Dukascopy Bank SA
EUR/NOK 1H Chart: Channel Up
Comment: EUR/NOK is currently trading within the boundaries of the ascending channel, but the upside potential is limited. The pair is expected to rebound from 9.61, but the ensuing rally should be stopped by the resistance area between 9.74 and 9.77. There, apart of the upper boundary of the channel, we have the weekly R2, January high, and more importantly, the 14-month resistance trend-line, which at the same time is the upper boundary of the rising wedge emerging in the daily chart. Accordingly, after a test of 9.77/9.74 the price is likely to pierce through the weekly pivots and 200-hour SMA and eventually fall down to 9.44 kroner.
NZD/CAD 1H Chart: Channel Up
Comment: NZD/CAD has recently broken out of the channel it had been forming between Dec 22 and Feb 10. Therefore, the outlook on the currency pair is bullish, especially considering that the hourly and the four-hour technical indicators are pointing upwards. In the short run, however, there is likely to be a sell-off, as the price has just confirmed the upper boundary of the new channel. NZD/CAD is expected to bounce off of 0.9350 and descend down to 92 cents before there is another decent wave higher. The new target will then be the January 19 high at 0.9460. In the meantime, the sentiment in the SWFX market is neutral, being that 45% of positions are long and 55% are short.
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
GBP/USD stays weak near 1.2400 after UK Retail Sales data
GBP/USD stays vulnerable near 1.2400 early Friday, sitting at five-month troughs. The UK Retail Sales data came in mixed and added to the weakness in the pair. Risk-aversion on the Middle East escalation keeps the pair on the back foot.
EUR/USD extends its downside below 1.0650 on hawkish Fed remarks
The EUR/USD extends its downside around 1.0640 after retreating from weekly peaks of 1.0690 on Friday. The hawkish comments from Federal Reserve officials provide some support to the US Dollar.
Gold: Middle East war fears spark fresh XAU/USD rally, will it sustain?
Gold price is trading close to $2,400 early Friday, reversing from a fresh five-day high reached at $2,418 earlier in the Asian session. Despite the pullback, Gold price remains on track to book the fifth weekly gain in a row.
Bitcoin Price Outlook: All eyes on BTC as CNN calls halving the ‘World Cup for Bitcoin’
Bitcoin price remains the focus of traders and investors ahead of the halving, which is an important event expected to kick off the next bull market. Amid conflicting forecasts from analysts, an international media site has lauded the halving and what it means for the industry.
Israel vs. Iran: Fear of escalation grips risk markets
Recent reports of an Israeli aerial bombardment targeting a key nuclear facility in central Isfahan have sparked a significant shift out of risk assets and into safe-haven investments.