Week of reversals? [Video]

Tomasz Wisniewski Axiory Global Ltd.

In today’s Traders Edge Market Briefing, Tomasz found these unique setups that we thought you’d find interesting.

We are not even halfway through the European session and there’s already enough volatility for a whole week!

The Dollar Index starts with a rapid correction.

EURUSD creates a hammer on the lower line of the channel down pattern, if this setup will hold, that would be a nice buy signal.

Oil drops to new mid-term lows but meets a lower line of the wedge, which potentially can act as a support.

GBPUSD is probably the most popular instrument today as this pair sets new all-time lows! Parity here as well?

GBPJPY drops and meets a crucial, long-term support. A hammer on the weekly chart looks promising but hey…it’s just Monday.

SP500 tests a crucial, long-term horizontal support. A breakout will give us a major sell signal.

DAX already did that and broke a key, horizontal support. Here, the sell signal is ON.

Author

Tomasz Wisniewski

Axiory Global Ltd.

Tomasz was born in Warsaw, Poland on 25th October, 1985.

EUR/USD: US Dollar to remain pressured until uncertainty fog dissipates

Unimpressive European Central Bank left monetary policy unchanged for the fifth consecutive meeting. The United States first-tier employment and inflation data is scheduled for the second week of February. EUR/USD battles to remain afloat above 1.1800, sellers moving to the sidelines.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold: Volatility persists in commodity space

After losing more than 8% to end the previous week, Gold remained under heavy selling pressure on Monday and dropped toward $4,400. Although XAU/USD staged a decisive rebound afterward, it failed to stabilize above $5,000. The US economic calendar will feature Nonfarm Payrolls and Consumer Price Index data for January, which could influence the market pricing of the Federal Reserve’s policy outlook and impact Gold’s performance.

Week ahead: US NFP and CPI data to shake Fed cut bets, Japan election looms

US NFP and CPI data awaited after Warsh’s nomination as Fed chief. Yen traders lock gaze on Sunday’s snap election. UK and Eurozone Q4 GDP data also on the agenda. China CPI and PPI could reveal more weakness in domestic demand.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.