Technical Analysis

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Technical Analysis – Copper futures extend significant sell-off daily session; trade near 1-year low

Posted on July 19, 2018 at 1:48 pm GMT

Copper futures with delivery in September tumbled towards a fresh one-year low near 2.6700 over today’s trading session and are set to complete the sixth consecutive negative week.  Prices remain under pressure as the 20- and 40- simple moving averages (SMAs) in the daily timeframe are acting as significant resistance levels. Technically, momentum indicators are pointing to a negative bias. The RSI indicator is moving in the oversold zone and is pointing south while the MACD oscillator is strengthening its bearish momentum below the [..]

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Technical Analysis – NZDUSD posts strong losses; lower Bollinger Band would act as strong support

Posted on July 19, 2018 at 8:26 am GMT

NZDUSD edged sharply lower today following the bounce off the 0.6805 resistance level, driving the pair below the 23.6% Fibonacci retracement level of the downleg from 0.7060 to 0.6686, around 0.6775. This week, the pair is on the backfoot and the technical indicators suggest that the market could ease a little bit in the short-term. The technical structure suggests that an aggressive sell-off is in progress. The RSI indicator slipped below the threshold of 50 and is moving towards the 30 [..]

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Technical Analysis – USDJPY forms doji candle after 6-month high; indicators imply strong bullish ride

Posted on July 19, 2018 at 6:42 am GMT

USDJPY penetrated the downward sloping channel to the upside during the preceding week, implying that a sharp bullish movement is coming. However, over Wednesday’s session, the price posted a bearish doji candle after it hit a six-month high of 113.12, giving the possibility for a downward correction in the near term. The short-term technical indicators are endorsing the scenario for a rising movement. In the daily timeframe, the RSI indicator is holding within the overbought zone but has been flattening over the past few sessions, [..]

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Technical Analysis – American Express stock struggles in consolidation area; longer timeframe remains bullish

Posted on July 18, 2018 at 1:24 pm GMT

American express stock price has been developing within a consolidation area in the medium-term with upper boundary the 103.20 peak and lower boundary the 95.40 trough since April 19. Currently, the market drove the price above the 20- and 40-simple moving averages (SMAs) in the daily timeframe, suggesting a re-challenge of the trading range’s roof. Turning to momentum indicators, the RSI is sloping north above in the positive territory with weaker momentum than before, while the MACD oscillator is strengthening its movement [..]

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Technical Analysis – EURJPY fairly bearish; holds below 2-month high near 132.00

Posted on July 18, 2018 at 9:31 am GMT

EURJPY started an aggressive bearish rally today after it reached a two-month high of 131.97 on Tuesday. The sharp sell-off creates a new structure of downward correction in the pair as it also fell below the 20-day simple moving average (SMA) in the near-term. The momentum indicators, in the 4-hour chart, are supportive of the bearish picture, with the RSI falling towards the threshold of 50 with strong movement, while the MACD oscillator is slipping below its trigger line and is approaching the [..]

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Technical Analysis – AUDUSD retreats below 20-day SMA; bearish bias in short and medium term

Posted on July 18, 2018 at 6:35 am GMT

AUDUSD has eased sharply to the downside this week and the 0.7475 resistance level acted as a strong obstacle for the bulls in the preceding weekly session. Moreover, the pair dipped below the 20-day simple moving average (SMA) early in European session today, signaling further downside pressures. The short-term technical indicators in the daily timeframe are bearish and point to more weakness in the market. The RSI indicator is sloping downwards and stands below the threshold of 50, while the MACD oscillator is strengthening again its [..]

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Technical Analysis – Goldman Sachs surges above descending trend line; seems ready for bullish correction

Posted on July 17, 2018 at 12:38 pm GMT

Goldman Sachs stock price turned bullish as it penetrated the descending trend line to the upside and hit the 50-day simple moving average (SMA), which is acting as a strong resistance level for the bulls. The latest price movement shifts the bearish picture to bullish and the short-term technical indicators are confirming the scenario for upside pressure. From the technical point of view, the RSI is currently increasing positive momentum above its neutral threshold of 50, while the stochastic oscillator indicates that [..]

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Technical Analysis – WTI crude oil futures plunge near 3-week low; bearish phase holds

Posted on July 17, 2018 at 8:13 am GMT

WTI futures for August delivery recorded a fresh more than three-week low of 67.56 on Monday, while the sharp bearish run started following the pullback on the 74.64 resistance level last Tuesday. Also, the price plunged below the 61.8% Fibonacci retracement level of the upleg from 63.37 to 75.24 of 67.90, indicating that a bearish movement is in play in the near term. In the 4-hour chart, the momentum indicators are supportive of the bearish picture, with the RSI remaining into the oversold zone [..]

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Technical Analysis – GBPUSD turns to sideways channel in Bollinger Band; neutral bias in short term

Posted on July 17, 2018 at 6:36 am GMT

GBPUSD has been trading in a neutral mode over the last couple of days after the rebound on the lower Bollinger Band near 1.3100 on July 13. The price seems to be losing its strong negative momentum as the Bollinger Band is narrowing and suggests that the next movement will be sideways. It is worth mentioning that the cable is still developing below the 23.6% Fibonacci retracement of the downleg from 1.4375 to 1.3050, around 1.3360. In the daily timeframe, the technical indicators are recommending [..]

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Technical Analysis – Bank of America stock stands within a bearish correction; “death cross” is expected

Posted on July 16, 2018 at 1:34 pm GMT

Bank of America stock price has been holding within a bearish correction mode as it found a strong resistance obstacle on the 33.00 handle in mid-March. A “death cross” is in progress as the 50-day simple moving average (SMA) falls below the 200-day SMA to indicate that lower prices lie ahead. From the technical point of view, the RSI and the stochastics have both weakened, with the former dropping below its neutral threshold of 50 and the latter easing below the overbought territory after the [..]