Daily Technical Forex Forecast 28.09.2017
EUR/USD
The Euro continued falling, which is a good bearish signal, but on the other hand, volume on the market is still low, so we can’t point out any new concrete level. Thus, we do not have a good place for a stop loss. That’s why we need to wait for an appearance of large volume on the market and a creation of new volume levels or zones and then we can consider opening new deals.
Of course, given such an abrupt and confident fall, short positions are in priority for the Euro.
GBP/USD
After the breakdown of the lower boundary of the consolidation, the Pound continued falling, but the move was smooth and on low volume, so that we can’t highlight any new volume level or zone at the moment. That’s why even despite that short positions are obviously in priority, we do not have a place for putting a stop loss. So that we need to wait for appearance of large volume and a creation of new level, which can be used in trading.
Of course, as it was noted before, short positions are in priority.
USD/JPY
After the breakout of the previous local maximum, the price corrected down sharply, but then resumed its growth and is trading near the new local maximum at the moment. Given that the price fell down exactly from this point, we should wait for a breakout of the maximum and then we can open long positions. A stop loss should be placed below the level 112.60. A potential of the deal is 110-120 pips.
USD/CAD
The pair showed a significant growth yesterday and broke out the previous resistance. The move was sharp and supported by large volume. Also the new support was created, it is 1.2404 – 1.2428.
Given all these factors, we should give preference to long positions. We can enter the market after a smooth downward correction in order to obtain a better entry point. A stop loss should be placed below the support level. A potential of the deal is 120-130 pips.
AUD/USD
The local downtrend for the Australian dollar continued as the price fell down surely, but volume on the market is still low, so we can’t point out any new volume level or zone. That’s why we should open short positions, but only after appearance of large volume and creation of a new level, which can be used as a place for putting our stop loss.
Until volume on the market is low, we should skip this currency pair from our trading plan.
XAU/USD
On Wednesday, gold finally broke through the lower local minimum/support level 1288.50 after which the price was fixed below this level. It is worth noting that the breakout movement was sharp, but on average volume, so, unfortunately, it is impossible to single out any specific volume levels or zones.
Nevertheless, given the exit of the price from the consolidation and its fixation below the volume range, it is worth considering the scenario of opening short positions. We can open sales after a small and smooth upward price correction to get a more profitable entry point and, as a consequence, a better risk/profit ratio. The price growth should be on small volume.
A stop loss should be placed above the level 1290.30. The first goal is 90 points, the second – 180 points.
The sentiment: our scenarios for the Euro, the Yen and the Australian dollar are confirmed by this indicator. The sentiment for gold is 50/50, but given technical factors we should give preference to short positions.
The bottom line: there is a couple of really good scenarios (USD/JPY, USD/CAD, XAU/USD) on the market right now, so watch for profitable entry point and open new deals.
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