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Swissie to extend rally in January

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Support and resistance (S/R). Price levels, trendlines and Fibonacci retracements. Price action, candlestick and chart patterns. Simple moving averages (SMA). Commitments of traders (COT) indicator, which displays speculative positioning in FX futures market, used as a proxy for speculative positioning in spot FX market.
Weekly Chart
Swissie found strong demand near the intersection of the long term trendline that capped rallies in 2003, 2005, 2006, 2008, 2010 and 2015, and the t…
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al_dcdemo avatar
al_dcdemo 16 Янв.

UPDATE 5: Major currency pairs opened with gaps. The U.S. dollar generally opened higher, up 10 to 30 pips. The exception is the yen, which gapped about 10 pips higher, in a risk-off fashion. The outlier is the pound which opened 180 pips lower after the prospect of a hard Brexit came again to the fore over the weekend. It's a calendar-heavy week ahead, which features central bank meetings from the ECB and the BOC plus speeches from Carney, May and Yellen and other Fed officials. We'll see whether the U.S. dollar correction will continue or the bullish trend will reassert itself.

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al_dcdemo 21 Янв.

UPDATE 6: U.S. dollar generally moved lower against the major currencies this week. The exceptions were the yen, which was sold on rising U.S. bond yields, and the Canadian dollar which went down on BOC Poloz's remark that a rate cut remains on the table. The best performer was the pound, which rallied after May's soothing rhetoric on what was previously viewed as a "hard" Brexit. Donald Trump officially became the 45th president of the United States on Friday. His first actions will be the market's focus in the week ahead.

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al_dcdemo 23 Янв.

UPDATE 7: Sentiment from the last week continues as the U.S. dollar starts the week on the back foot. What started as a normal pullback appears to be morphing into a medium-term correction. Three rate hikes this year, as some Fed officials have been touting, seem a bit far-fetched. I'm thinking two at the most which may be closer to what the majority of market participants expect. Losses against the yen and the pound are the most pronounced today but the dollar has started to claim back some ground it had lost during the Asian session.

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al_dcdemo 28 Янв.

UPDATE 8: It was a lacklustre week for the dollar but the corrective momentum appears to have run out of steam, particularly against the euro, the franc and the yen. Commodity currencies generally performed better but the Australian dollar is finding it diffucult to sustain gains above 0.75. The pound took 100 DMA for the first time since the Brexit vote. Next week will be a big one with three central bank meetings (Fed, BOJ, BOE) and plenty of U.S. data, including Nonfarm Payrolls. Trump's actions will remain closely watched.

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al_dcdemo 30 Янв.

UPDATE 9: U.S. president Trump issued an executive order on immigration late on Friday (early Saturday in Europe). The order led to some chaos in airports in the United States and overseas, and prompted protests and legal action. The dollar gapped lower at the open and continued to trade south in the first part of the Asian session. The impact was most visible in the risk sensitive yen while the antipodean dollars were barely moved due to Chinese Lunar New Year holidays. Cable rose about 60 pips but stalled ahead of the big figure at 1.26.

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Swissie posts a six-year high

Follow-through buying after Wednesday's FOMC decision saw Swissie briefly broke above 2015 high (1.0328) yesterday, posting a six-year high (1.0343). There seemed to be little reaction to the SNB which kept its policy stance unchanged.
The pair is pulling back from the highs and 1.02 - 1.025 looks like a decent initial support. Should the rally continue, the first major resistance is seen near the 2008 - 2016 support/resistance line which is backed by the big figure level at 1.05.
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Gonchar avatar
Gonchar 16 Дек.

Россия рулит

sharpsense avatar
sharpsense 17 Дек.

Good Analysis

al_dcdemo avatar
al_dcdemo 18 Дек.

Thanks to both!

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