News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bullish
GBP/USD
Bearish
USD/JPY
Mixed
More View more
Real Time News
  • Traders tend to overcomplicate things when they’re starting out in the forex market. This fact is unfortunate but undeniably true. Simplify your trading strategy with these four indicators here: https://t.co/fYgcMxImlP https://t.co/kkekBVYvhV
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/VwIkOMpvYl
  • “The UK and EU have agreed to return to the negotiating table to try to agree a post-#Brexit trade deal. But on Friday, a joint statement said ‘significant divergences’ remained.” - BBC News #GBP
  • Multiple time frame analysis follows a top down approach when trading and allows traders to gauge the longer-term trend while spotting ideal entries on a smaller time frame chart. Learn how to incorporate multiple time frame analysis here: https://t.co/Sy3g6HGLrR https://t.co/aRfVCRZut3
  • Forex sentiment analysis can be a useful tool to help traders understand and act on price behavior. Learn how to get the most out of understanding trader sentiment here: https://t.co/rJznrXkcYz https://t.co/uUh18lR3yK
  • The rising wedge is a popular reversal pattern that is predictive in nature and can give traders a clue to the direction and distance of the next price move. Incorporate the rising wedge in your trading strategy and learn more here: https://t.co/zTTk2WOrj9 https://t.co/q5oBalZieU
  • Both the S&P 500 and $EURUSD will enter the coming week with momentum to their back. What can trip up the rallies? What could keep them going? My overview for the week ahead: https://www.dailyfx.com/forex/video/daily_news_report/2020/12/05/SP-500-and-EURUSD-Rallies-Face-Different-Conviction-Questions-.html?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/YfEXEhkbhl
  • After the recent strength of EUR/USD, a period of consolidation is likely ahead of two critical meetings: of the European Central Bank and the European Council. Get your $EURUSD market update from @MartinSEssex here:https://t.co/Slu7tHo2a4 https://t.co/9am4szeia1
  • Triangle patterns have three main variations and appear frequently in the forex market. These patterns provide traders with greater insight into future price movement and the possible resumption of the current trend. Learn about triangles here: https://t.co/ZukLITx2KG https://t.co/gvkXqKDQyH
  • Continuation patterns can present favorable entry levels to trade in the direction of the prevailing trend. Use continuation patterns in your technical analysis here: https://t.co/TUVnO3bO1P https://t.co/vBLkMKjf4x
Price & Time: Sterling Surprise

Price & Time: Sterling Surprise

2014-01-22 13:15:00
Kristian Kerr, Sr. Currency Strategist
Share:

Talking Points

  • GBP/USD takes out key resistance
  • USD/JPY nearing cycle turn
  • USD/CHF fails at near-term Fibonacci retracement

Looking for real time Forex analysis throughout the day? Try DailyFX on Demand.

Foreign Exchange Price & Time at a Glance:

Price & Time Analysis: USD/JPY

PT_JAN_22_body_Picture_3.png, Price & Time: Sterling Surprise

Charts Created using Marketscope – Prepared by Kristian Kerr

  • USD/JPY continues to meander around the 1st square root relationship of the year’s high at 104.40
  • Our near-term trend bias is lower in the exchange rate while below 104.85
  • Interim support is seen around 103.85, but weakness under the 2nd square root relationship of the year’s high at 103.35 is needed to set the stage for a more important and immediate decline
  • A turn window is seen over the next few days
  • Only a close over 104.85 would shift our near-term trend bias back to positive

USD/JPY Strategy: Like the short side while below 104.85

Instrument

Support 2

Support 1

Spot

Resistance 1

Resistance 2

USD/JPY

*103.35

103.85

104.30

104.40

*104.85

Price & Time Analysis: USD/CHF

PT_JAN_22_body_Picture_2.png, Price & Time: Sterling Surprise

Charts Created using Marketscope – Prepared by Kristian Kerr

  • USD/CHF touched its highest level in two months on Tuesday before failing at the 78.6% retracement of the November/December range at .9155
  • Our near-term trend bias in higher is USD/CHF while over .8985
  • The .9155 level is now key resistance and traction over this level is required to signal the start of another leg higher in USD/CHF
  • The is a strong chance the rate has turned early, the next turn window is around the middle of next week
  • On a daily close below the 2nd square root relationship of the 2013 low at .8985 would turn us negative on the rate

USD/CHF Strategy: We like adding to long positions on the weakness expected over the next few days provided .8985 holds.

Instrument

Support 2

Support 1

Spot

Resistance 1

Resistance 2

USD/CHF

.8985

.9055

1241

*.9155

.9200

Focus Chart of the Day: GBP/USD

PT_JAN_22_body_Picture_1.png, Price & Time: Sterling Surprise

The price action in GBP/USD this morning has caught us a bit by surprise. Since peaking on January 2nd the rate had unfolded nicely to the downside (though it was never able to close below the 2nd square root relationship of the YTD high at 1.6345). We were looking for this decline to resume today, but the market obviously has had other ideas. Assuming that we don’t get any late day theatrics, this action argues that the Pound has found a low much earlier than expected and this casts serious doubt on the actual importance of the January 2nd high. We were thinking it was a multi-month high, but now we are not so sure. While it could still be some sort of re-test before heading lower, the odds are certainly shrinking. The 2013 closing high at 1.6570 is critical resistance and a daily close over this level would further undermine the cyclical significance of January 2nd. A move back under the 1st square root relationship of the year’s high at 1.6470 is needed to reinvigorate immediate downside prospects.

To receive other reports from this author via e-mail, sign up to Kristian’s e-mail distribution list via this link.

--- Written by Kristian Kerr, Senior Currency Strategist for DailyFX.com

This publication attempts to further explore the concept that mass movements of human psychology, as represented by the financial markets, are subject to the mathematical laws of nature and through the use of various geometric, arithmetic, statistical and cyclical techniques a better understanding of markets and their corresponding movements can be achieved

To contact Kristian, e-mail instructor@dailyfx.com. Follow me on Twitter @KKerrFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES