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Weekly forex analysis: 6 – 10 July, 2020

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Weekly forex analysis: 6 - 10 July, 2020

EUR / USD

The euro against the dollar went into a lateral movement with extremely low volatility. A side corridor with boundaries 1,1171 and 1,1279 can be designated. Over the past week, the price twice tried to rise up from the corridor, but each time followed a return down. The histogram is looking up, but the oscillator is close to neutral values. Taken together, all these data indicate that while the price is inside the corridor, you can’t trade, or you can use channel strategies, but globally we are waiting for going beyond the borders. In the direction of the exit, it will be possible to trade.

Analytics for July 6-10

GBP / USD

Last week for this currency pair brought what we talked about in the previous weekly review: the market closed above trend lines and above 1.2405. Now it is very important to note that the upward movement did not work in a pulsed manner, but it stopped when the level of moving averages was reached. The histogram at the same time went to the area above zero and continues to increase its maximum values. Therefore, we can say that the upward trend for the coming week is a priority. The ideal entry point for an increase will be close to the level of 1.2405.

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Analytics for July 6-10

USD / JPY

For this currency pair, the level of 175.492 is very important and key. The past week led to the market rising above this line, although before that it had been testing it for several weeks in a row, but could not break through. Another important characteristic of the current market segment is that all indicators are close to neutral values ​​and do not show any trend. The same is confirmed by the price chart, on which the price of the currency pair literally stuck to the level of moving averages. Therefore, we are saying that the level of 175.492 is the key. You need to wait until the price tests this level, and in the direction of movement it will be possible to trade from it.

Analytics for July 6-10

AUD / USD

A key characteristic of the Australian dollar versus the US dollar is still the dominance of the uptrend. This week makes us think about the formation of new positions to increase. There are several reasons for this. Firstly, the histogram is looking up and for the first time in a long time has come to the area above 0. Secondly, the price and the oscillator are close to going beyond important levels for themselves. We can say that if the oscillator rises above the level of 65, and the price consolidates above the level of 0.6933, then it will be possible to trade for an increase.

Also read  EUR/JPY falls to a low close to 117.30
Analytics for July 6-10

USD / CAD

The dollar against the Canadian dollar is characterized by a stage of decreasing volatility, when the price, albeit under the pressure of a slight downtrend, but literally stuck to the level of moving averages. By the way, this is one of many assets that showed a similar inclination last week. Oscillators do not show a trend, and the histogram is looking down. A little lower from the current section of the markets is the level of 1.3518. It can be assumed that when this level is reached, the market will need a correction and upward movement may occur. This is what we use for work.

Analytics for July 6-10

USD / CHF

The dollar against the Swiss franc still managed to gain a foothold below the level of 0.9480, but the downward movement was strong and the impulse did not work. However, what we talked about in the previous weekly review worked. The only thing is that now you can make an adjustment that for the current market segment you can designate a narrow price corridor with borders of 0.9427 and 0.9480. While the price is within this range, you can not trade. Further in the direction of the breakdown, it will be possible to open deals. This assumption is confirmed by indicators that are close to neutral values ​​and do not even demonstrate attempts to form a trend movement.

Analytics for July 6-10

USD / RUB

This currency pair creates significant food for thought in order to open an upward position. There is almost everything for this. First of all, we are saying that the oscillator is close to neutral values, but it demonstrates exclusively attempts to break up. There were at least 3 such attempts. Despite the fact that the histogram is looking down, the price is rising, so we can talk about divergence, but not significant. It is also very important to note 2 candles of the past week, in which the price of the dollar against the Russian ruble rose above 73.50. Both candles left a very long shadow up, but this allows us to talk about the dynamics. It is very important – such 2 candles speak of uncertainty. Therefore, ideally, it is better to abstain from trade. If you want to trade, then you can take a chance and open a position to increase again at the level of 73.00.

Also read  EUR/USD: More weakness expected at 1.0814
Analytics for July 6-10

GOLD

Gold still cannot form a strong uptrend, although it is attempting. The past week has led all indicators to look down and talk about the dominance of a downward trend. If you look at the price chart, then there is no trend. There is lateral movement. Most likely, the market will need a correction and a downward movement. It will be possible to trade for a decrease only provided that the price fixes below the level of 1760.00. If the market manages to gain a foothold above the level of 1780.00, then it will be possible to trade for an increase.

Analytics for July 6-10

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