Daily Technical Forex Forecast 20.09.2017

EUR/USD

The Euro continued growing, but as before volume on the market is still small, so that we can’t point out any new volume level or zone for this currency pair.

Anyway, given such a confident growth, long positions look more promising, but we can open them only after an appearance of large volume with further growth of the price.

If the price continues trading without or on small volume, we’d better stay out of the market.

GBP/USD

The price is trading in the local consolidation below the resistance level 1.3531. The fact that the price failed to continue going down and is still located near the resistance can be considered as a signal, that big players don’t want to allow the further fall. Besides it, given the uptrend for this currency pair, we should give preference to long positions.

So that we can enter the market after a sure breakout of the resistance on increased/large volume, which will be a more accurate bullish signal. A stop loss should be placed below the breakout volume bar. A potential of the deal is more than 110-120 pips.

USD/JPY

The price is fixed above the previous resistance, but can’t continue growing and is trading in the local consolidation. Also we need to note that large volume is concentrated in this range, so we can consider long positions only after a sure breakout of the local maximum. A stop loss should be placed below the consolidation. A potential of the deal is around 100-110 pips.

USD/CAD

The pair is trading in the local consolidation a little bit below the resistance level 1.2301 – 1.2330, where large volume is concentrated. So that our previous scenario remains the same, we need to see the strong reaction of the price from this level. The move should be supported by increased volume. It will point us the further direction of the price.

AUD/USD

The Australian dollar continued growing, but unfortunately, the upward move was on small volume, so we can’t point out any new level or zone. Moreover, the price is in the range, so we should trade this currency pair only after a confident exit of the price from the range.

While the price is in the range, we should stay out of the market.

XAU/USD

After a rapid continuation of the fall at the beginning of the week, the price began trading in a small local consolidation near the local minimum. At the moment, the price is testing a fresh resistance level of 1313.10, in which increased volume is concentrated.
Also it is worth noting that this local range contains significant volume, so it’s worth to be extremely accurate now and observe the further behavior of the price.

The best option is to wait for the price to come out of the consolidation, and it is desirable that the movement is sharp and on increased volume. This will be an excellent signal for entering the market. If the price breaks the resistance, it will be possible to assert that the global uptrend has resumed, if it breaks through a minimum that the local downtrend continues. The growth potential is up to 200 points, the fall is 150 points.

If the price continues trading in the consolidation or breaks the boundaries of consolidation on small volume, it is better to be out of the market.

The sentiment: our scenarios for the Pound, Yen and gold are confirmed. For the Euro and the Australian dollar long positions should be in priority, while for the Canadian dollar – short positions.

The bottom line: there is no ready scenario for immediate entering the market, but anyway we have a couple of potentially interesting scenarios, so we just need to get some additional signal and then we can consider opening new deals.

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