The euro is located in the small local consolidation just above the support level 1.1741 – 1.1757 at the moment. It is worth noting that rather significant volume is concentrated in this level, therefore before its breakdown it is necessary to give preference to long positions. In addition, this scenario is confirmed by the presence of a local uptrend.
Purchases can be opened after the breakout of the upper boundary of the consolidation/local maximum. The breakout movement must be sharp and on increased volume, which will be a stronger signal for entering the market. A stop loss should be placed below volume breakout bar. The potential of the deal is more than 100 points.
For GBP/USD everything remains as before: the price is in the consolidation between support 1.3061 – 1.3090 and resistance 1.3316. In this range, very large volume is concentrated, so the best solution is to wait for the price to come out of the consolidation and only then it will be possible to open new deals.
The breakdown movement must also be keen and on large volume to avoid false breakdown.
USD/JPY continued its fall and broke through the previous support level, which is an excellent bearish signal. Moreover, the breakout movement was sharp and on increased volume, so at the moment short positions are a priority scenario.
Sales should be opened after a small and smooth correction of the price upwards, in order to obtain a more advantageous entry point. A stop loss should be set above the level 112.70. The fall potential is more than 120 points.
The price tested the resistance level/upper limit of consolidation 1.2821 after which it jumped sharply down and is again traded in the local consolidation now. Thus, the best scenario will be to wait for a breakdown of one of the range boundaries and then enter the market. The movement should be sharp and on increased volume to protect us from false breakout.
The Australian dollar broke the previous level of support on Friday, with the movement was sharp and on increased volume, so now it is worth giving preference to sales for this currency pair.
Short positions should be opened after the resumption of the fall, preferably on increased volume. A stop loss should be placed just above the mark of 0.7610. The potential of the deal is 90-100 points.
Gold showed a rapid price increase on Friday and broke through the resistance/upper limit of the consolidation. Movement was very sharp and on large volume, which is an excellent signal for purchases on this instrument.
Long positions can be opened after a small downward price correction in order to obtain a more profitable entry point and, as a consequence, a better risk/profit ratio. A stop loss should be placed under the level 1281.40. The potential of the deal is 150 points.
Sentiment: this indicator confirms all of our scenarios, which is an excellent additional signal.
The bottom line: there are a plenty of interesting scenarios in the market (USD/JPY, AUD/USD, XAU/USD), so we should wait for acceptable entry point and then may open new deals.