Daily Technical Analysis 20th March 2014
Posted: Thu Mar 20, 2014 12:29 pmDaily Technical Analysis
20th March 2014
EURUSD
Summary
Wednesday EURUSD broke lower from the 1.3895 support it what was an impressive one day correction.
Market overview
EURUSD continues to trade in a daily uptrend following the breach of the 1.3741 level being the 24th January swing. This price action has put the daily time frame in gear with the positive weekly trend.
Focus on today
This morning EURUSD has opened positivley as it trades at the lows of the previous days range.
I am this morning monitoring the price action for a potential move lower and a test of 34 period moving averages.
Alternatively if EURUSD fails to sustain lower prices here is a possibility that EURUSD trades back up to the 1.3895 resistance level.
GBPUSD
Summary
Wednesday GBPUSD continued to traded under the 34 period moving averages and the 1.6570 support level and at one point was testing the upward sloping trend line.
Market overview
GBPUSD has traded above the 1.6668 being the prior isolated pivot high. This price activity has effectively changed the daily trend to up and puts it in line with the bullish weekly outlook. However the breach the 1.6639 level being the recent daily pivot low has added a question mark to the overall health of the uptrend. Furthermore breaches of moving average, horizontal and trend line support is adding to the downside pressure. However GBPUSD is now entering an area of Fibonacci support which could stall further downside price action.
Focus on today
This morning GBPUSD has opened quietly as the price action trades within the range of the previous days candle and at the upward sloping trend line.
I am today monitoring the price action for a bounce off trend line support and test of the 1.6570 level.
Alternatively if GBPUSD cannot sustain higher prices could see the price action test the 61.8 Fibonacci level.
USDJPY
Summary
Wednesday USDJPY bounce higher off the 101 support level in what turned out to be a strong rally.
Market overview
The breach of the 102.83 level being the swing high of the 21st February has effectively changed the daily trend to up and therefore putting this time frame into gear with the bullish weekly time frame. However a breach of the 101.19 level being the 4th March swing low would technically change the daily trend to down.
Focus on today
This morning USDJPY has opened quietly as the price action trades at the highs of the previous day’s range.
Today I am monitoring a potential test of the 103.00 level.
Alternatively a failure to sustain higher prices could see USDJPY test the 101.70 level.
USDCHF
Summary
Wednesday USDCHF slashed through the 8 period moving averages as the price action traded aggressivley higher.
Market overview
USDCHF continues to trade in a negative daily and weekly swing bias.
Focus on today
This morning USDCHF has opened quietly as the price action trades at the highs of the previous day’s range.
Today I am monitoring the price action for a test of the 34 period moving averages.
Alternatively a failure to sustain higher prices could see USDCHF trade back to the 8 period moving averages.
GOLD
Summary
Wednesday the downside moment for Gold increased broke down aggressivley lower. The move lower has put the upward sloping trend line insight.
Market overview
Gold continues to trade in a daily uptrend following the breach of the 1267.99 level being the swing high of the 10th December. The break above the large downward sloping trend line adds impetus to the current positive swing bias. Furthermore we have witnessed a large multi month double bottom forming which could indicate a large upside trend reversal is a possibility.
However the weekly time frame continues to point down. That the recent rejection of higher prices has come off a bounce from a downward sloping trend line and Fibonacci resistance level could indicate that the recent rally in Gold is part of a bigger cycle correction that ultimately sends Gold lower.
Focus on today
This morning Gold has opened quietly as the price action trades at the bottom of yesterdays range.
Today I am monitoring the price action for a potential bounce off the upward sloping trend line.
Alternatively a failure to sustain higher prices could see Gold test the upward trend line and move to the area of 1310 being a prior daily minor swing low.
OIL
Summary
Wednesday Oil continue to trade between the 98 and 100 range as the price action consolidates above Fibonacci support.
Market overview
Oil continues to trade in a daily uptrend following the breach of the 100.72 level being the swing high of the 24th December. The daily and weekly times both have a positive bias. The recent price activity has seen Oil trade down to an area of Fibonacci support which could potentially offer a buying opportunities.
Focus on today
This morning Oil has opened positively with the price action trading above the previous day’s range.
Today I am monitoring the price action for a breach of the 100 level.
Alternatively a failure to sustain higher prices could see Oil trade back up to the 98 level.
20th March 2014
EURUSD
Summary
Wednesday EURUSD broke lower from the 1.3895 support it what was an impressive one day correction.
Market overview
EURUSD continues to trade in a daily uptrend following the breach of the 1.3741 level being the 24th January swing. This price action has put the daily time frame in gear with the positive weekly trend.
Focus on today
This morning EURUSD has opened positivley as it trades at the lows of the previous days range.
I am this morning monitoring the price action for a potential move lower and a test of 34 period moving averages.
Alternatively if EURUSD fails to sustain lower prices here is a possibility that EURUSD trades back up to the 1.3895 resistance level.
GBPUSD
Summary
Wednesday GBPUSD continued to traded under the 34 period moving averages and the 1.6570 support level and at one point was testing the upward sloping trend line.
Market overview
GBPUSD has traded above the 1.6668 being the prior isolated pivot high. This price activity has effectively changed the daily trend to up and puts it in line with the bullish weekly outlook. However the breach the 1.6639 level being the recent daily pivot low has added a question mark to the overall health of the uptrend. Furthermore breaches of moving average, horizontal and trend line support is adding to the downside pressure. However GBPUSD is now entering an area of Fibonacci support which could stall further downside price action.
Focus on today
This morning GBPUSD has opened quietly as the price action trades within the range of the previous days candle and at the upward sloping trend line.
I am today monitoring the price action for a bounce off trend line support and test of the 1.6570 level.
Alternatively if GBPUSD cannot sustain higher prices could see the price action test the 61.8 Fibonacci level.
USDJPY
Summary
Wednesday USDJPY bounce higher off the 101 support level in what turned out to be a strong rally.
Market overview
The breach of the 102.83 level being the swing high of the 21st February has effectively changed the daily trend to up and therefore putting this time frame into gear with the bullish weekly time frame. However a breach of the 101.19 level being the 4th March swing low would technically change the daily trend to down.
Focus on today
This morning USDJPY has opened quietly as the price action trades at the highs of the previous day’s range.
Today I am monitoring a potential test of the 103.00 level.
Alternatively a failure to sustain higher prices could see USDJPY test the 101.70 level.
USDCHF
Summary
Wednesday USDCHF slashed through the 8 period moving averages as the price action traded aggressivley higher.
Market overview
USDCHF continues to trade in a negative daily and weekly swing bias.
Focus on today
This morning USDCHF has opened quietly as the price action trades at the highs of the previous day’s range.
Today I am monitoring the price action for a test of the 34 period moving averages.
Alternatively a failure to sustain higher prices could see USDCHF trade back to the 8 period moving averages.
GOLD
Summary
Wednesday the downside moment for Gold increased broke down aggressivley lower. The move lower has put the upward sloping trend line insight.
Market overview
Gold continues to trade in a daily uptrend following the breach of the 1267.99 level being the swing high of the 10th December. The break above the large downward sloping trend line adds impetus to the current positive swing bias. Furthermore we have witnessed a large multi month double bottom forming which could indicate a large upside trend reversal is a possibility.
However the weekly time frame continues to point down. That the recent rejection of higher prices has come off a bounce from a downward sloping trend line and Fibonacci resistance level could indicate that the recent rally in Gold is part of a bigger cycle correction that ultimately sends Gold lower.
Focus on today
This morning Gold has opened quietly as the price action trades at the bottom of yesterdays range.
Today I am monitoring the price action for a potential bounce off the upward sloping trend line.
Alternatively a failure to sustain higher prices could see Gold test the upward trend line and move to the area of 1310 being a prior daily minor swing low.
OIL
Summary
Wednesday Oil continue to trade between the 98 and 100 range as the price action consolidates above Fibonacci support.
Market overview
Oil continues to trade in a daily uptrend following the breach of the 100.72 level being the swing high of the 24th December. The daily and weekly times both have a positive bias. The recent price activity has seen Oil trade down to an area of Fibonacci support which could potentially offer a buying opportunities.
Focus on today
This morning Oil has opened positively with the price action trading above the previous day’s range.
Today I am monitoring the price action for a breach of the 100 level.
Alternatively a failure to sustain higher prices could see Oil trade back up to the 98 level.