Analysis for May 23rd, 2016
EUR USD, “Euro vs US Dollar”
Eurodollar has completed the descending wave and right now is forming a new ascending impulse. We think, today the price may form another consolidation range inside the descending channel. If later the pair breaks this range upwards, the correction may continue towards 1.1400; if downwards – extend the wave to reach 1.1110.
GBP USD, “Great Britain Pound vs US Dollar”
Pound has broken its descending channel and reached the local target. We think, today the price may test 1.4560. Later, in our opinion, the market may form the fifth descending structure with the target at 1.4460.
USD CHF, “US Dollar vs Swiss Franc”
Franc is consolidating. We think, today the price may break this range upwards and reach the main target of the wave at 0.9944. After that, the pair may form a new descending correction towards 0.9700. However, if the range is broken downwards (an alternative scenario), the market may be corrected towards 0.9800 and then grow to reach 0.9944.
USD JPY, “US Dollar vs Japanese Yen”
Yen has broken its ascending channel. We think, today the price may continue falling inside the downtrend to reach the local target at 104.00.
AUD USD, “Australian Dollar vs US Dollar”
Australian Dollar is falling towards the target at 0.7130. We think, today the price may continue moving downwards. After reaching the target, the pair may form another consolidation channel, break it upwards, and start a new correction to return to 0.7480 and test it from below.
USD RUB, “US Dollar vs Russian Ruble”
Russian Ruble is moving downwards; the market has formed another consolidation range. We think, today the price may break it upwards and start a new correction towards 69.00.
XAU USD, “Gold vs US Dollar”
Being under pressure, Gold is falling. We think, today the price may form another consolidation range. If later the market breaks this range upwards, the correction may continue up to 1275; if downwards – it may continue falling to reach 1194.
Before you enter foreign exchange and stock markets, you have to remember that trading currencies and other investment products is trading in nature and always involves a considerable risk. As a result of various financial fluctuations, you may not only significantly increase your capital, but also lose it completely. Therefore, our clients have to assure RoboForex that they understand all the possible consequences of such risks, they know all the specifics, rules and regulations governing the use of investment products, including corporate events, resulting in the change of underlying assets. Client understands that there are special risks and features that affect prices, exchange rates and investment products.
Recommended Content
Editors’ Picks
RBA keeps interest rate steady at 4.35%, as expected
The Reserve Bank of Australia board members decided to keep the Official Cash Rate unchanged at 4.35% after its May monetary policy meeting on Tuesday. The policy announcement was widely expected by the markets. The RBA extended its pause for the fourth meeting in a row.
USD/JPY extends recovery above 154.00, focus on Fedspeak
The USD/JPY pair trades on a stronger note around 154.10 on Tuesday during the Asian trading hours. The recovery of the pair is supported by the modest rebound of US Dollar to 105.10 after bouncing off three-week lows.
Gold price extends its upside as markets react to downbeat jobs data
Gold price extends its recovery on Tuesday. The uptick of the yellow metal is bolstered by the weaker US dollar after recent US Nonfarm Payrolls (NFP) data boosted bets that the Federal Reserve would cut interest rates later this year.
Bitcoin miner Marathon Digital stock gains ground after listing by S&P Global
Following Bitcoin miner Marathon Digital's inclusion as an upcoming member of the S&P SmallCap 600, the company's stock received an 18% boost, accompanied by an $800 million rise in market cap.
RBA expected to leave key interest rate on hold as inflation lingers
Interest rate in Australia will likely stay unchanged at 4.35%. Reserve Bank of Australia Governor Michele Bullock to keep her options open. Australian Dollar bullish case to be supported by a hawkish RBA.