Dukascopy Bank Team
Dukascopy Bank SA
EUR/GBP 1H Chart: Channel Down
Comment: Starting from the second part of November the EUR/GBP cross has been falling in value. Now, more recently it started to form a bearish channel.
During last couple of trading days the currency pair has been fluctuating around the 100-period SMA, which currently is at 0.7878. Although, the pair cannot surpass the level, thus most likely it will continue its slide. Moreover, the 4H and daily technical studies are pointing to the south. We think that the pair will approach the monthly and weekly S1 at 0.7827/23. The pair’s SWFX traders’ think alike, as 59% of them have opened short positions on the pair, meaning that they are expecting a decline.
USD/SGD 4H Chart: Broadening Rising Wedge
Comment: After the pair consolidated around 1.27 mark during October, it has regained its bullishness. Moreover, the pair has been pushed into a broadening rising wedge pattern.
The pair has reached the highest trading levels since the beginning of 2011. According to technical indicators, the pair has reached its top or at least is near it. At the same time a drop is not expected, as consolidation or a correction towards the 1.30 mark is the more likely scenario. Nevertheless, an overwhelming majority of the SWFX market participants are expecting the US Dollar to continue outperforming its Singapore’s 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
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.