Key Technical Levels
Charts created using Strategy Trader– Prepared by John Rivera
A longer-term ascending channel provides an element of predictability that is sought after when finding as scalping target. Additionally, we are seeing a convergence of SMA’s which provide levels of support and resistance that could limit volatility in either direction. Meanwhile, a short-term intra-day channel is providing target levels to enter and exit positions.
Charts created using Strategy Trader– Prepared by John Rivera
Key Support/ResistanceLevels to Watch
|
Pair |
S/R |
Level |
Spot |
Valid Since |
Market Influence |
|
EUR/USD |
Resistance |
50-Day SMA |
1.2775 |
08/20/10 |
Low |
|
GBP/USD |
Support |
50-Day SMA |
1.5411 |
06/23/10 |
High |
|
USD/JPY |
Resistance |
20-Day SMA |
85.38 |
06/16/10 |
High |
Quantitative Metrics
The AUD/USD has started to see its Bollinger band width widen which is a potential red flag for scalpers as it can signal the pair is an extended trend. However, at 467 pips the level of variance for the pair is near the bottom of the most traded pairs. Yet, daily volatility is picking up steam with an ATR of 109 pips accounting for 1.21% of the spot price, placing near the top of the majors.
Charts created using Strategy Trader– Prepared by John Rivera
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To discuss this report or be added to the email list, contact John Rivera, Currency Analyst: jrivera@fxcm.com
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