Weekly Preview: Technical analysis on USDJPY, GBPUSD, USDCNH, XAUUSD, WTI, SPX
This week, safe haven currencies benefitted from the risk aversion driven by fears of the coronavirus outbreak. Meanwhile, commodity currencies took a back seat with the Loonie skydiving after BOC’s switched from a neutral to dovish stance, much to the market’s surprise. On the other hand, the AUD was relieved from its recent decline as unemployment data came in better than expected and provided some support for the currency though that did not last long as risk aversion floods the market once again.
CURRENCY: USDJPY
Price is facing bullish pressure from our first support where we could see a bounce towards 1st resistance level. Stochastic is showing signs of underbought.
CURRENCY: GBPUSD
Price is facing bearish pressure from our first resistance where we could see a drop below this level to our first support level. Stochastic is showing signs of bearish pressure as well.
CURRENCY: USDCNH
Price is facing bearish pressure from our first resistance where we could see a drop below this level to our first support level. Stochastic is showing signs of overbought as well.
CURRENCY: SPX
Price is facing bullish pressure from our Ichimoku cloud and our 20 EMA. We remain bullish above our first support level and could see a further push up to our first resistance level.
CURRENCY: XAUUSD
Price holding and reacting below first resistance with room for further downside potential. First support is a strong support level as it is a graphical swing low and has been found via multiple Fibonacci levels. RSI is also holding below resistance.
CURRENCY: WTIUSD (USOIL)
Price broke below ascending trendline support (now resistance) and drifted lower coming close to our first support zone, above which we should see a price reaction. Stochastics tested support and is reacting as well.
Read more market views from the AxiTrader team: https://www.axitrader.com/uk/market-news-blog/.
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