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
Bullish
Oil - US Crude
Bullish
Wall Street
Mixed
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
Mixed
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • IMF World Economic Outlook updates: - Lifts 2021 global outlook on stimulus and vaccines boost - Says global recession shallower than previously expected - Raises 2021 global growth estimates from 5.2% to 5.5% $EEM $USD $URTH
  • 🇭🇺 Deposit Interest Rate (JAN) Actual: -0.05% Expected: -0.05% Previous: -0.05% https://www.dailyfx.com/economic-calendar#2021-01-26
  • 🇭🇺 Interest Rate Decision Actual: 0.6% Expected: 0.6% Previous: 0.6% https://www.dailyfx.com/economic-calendar#2021-01-26
  • Heads Up:🇺🇸 IMF World Economic Outlook due at 13:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-01-26
  • Heads Up:🇭🇺 Deposit Interest Rate (JAN) due at 13:00 GMT (15min) Expected: -0.05% Previous: -0.05% https://www.dailyfx.com/economic-calendar#2021-01-26
  • Heads Up:🇭🇺 Interest Rate Decision due at 13:00 GMT (15min) Expected: 0.6% Previous: 0.6% https://www.dailyfx.com/economic-calendar#2021-01-26
  • The bull flag pattern is a great pattern to add to a forex trader's technical arsenal. Explosive moves are often associated with the bull flag. Learn more about the bull flag pattern here: https://t.co/yOEvLjKnct https://t.co/Xo7WQ5b8l1
  • US Dollar slips with high beta FX hovering at session highs amid results from Regeneron's antibody drug cocktail which prevented 100% of symptomatic infections and cut down asymptomatic infections by a half in interim study
  • Forex liquidity makes it easy for traders to sell and buy currencies without delay, and also creates tight spreads for favorable quotes. Low costs and large scope to various markets make it the most frequently traded market in the world. Learn more here: https://t.co/5uSWKoLkd6 https://t.co/5fpiYso1Cd
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in Germany 30 are at opposite extremes with 65.58%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/ZRDJ40Pm7N
US Dollar News Reversals Present Trading Opportunities

US Dollar News Reversals Present Trading Opportunities

Jamie Saettele, CMT, Sr. Technical Strategist
  • USDJPY news reversal is consistent with larger bull
  • USDCAD reverses from a major support area
  • EM FX (ZAR and MXN) conditions are consistent with larger trend resumption

Subscribe to Jamie Saettele's distribution list in order to receive FX trading strategy delivered to your inbox.

Jamie is the author of Sentiment in the Forex Market.

USD/JPY

Daily

US_Dollar_News_Reversals_Present_Trading_Opportunities_body_usdjpy.png, US Dollar News Reversals Present Trading Opportunities

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

Automate trades with Mirror Trader

-On Wednesday, USDJPY held a trendline confluence from the lines that extend off of the August lows and former resistance line off of the May and July highs. The quick reversal bodes well for bulls.

-Thursday’s USDJPY decline was accompanied by strong volume (95th percentile measured over 20 days for CME volume).

-21, 63, and 126 (1, 3 and 6 month) averages are bunched together. This condition indicates a ‘coiled’ market seen often prior to trend moves.

-The break from the multi-month triangle remains valid. A complex inverse head and shoulders may be underway, which also portends a significant advance (if confirmed on a breakout).

-The Nikkei is trending higher. See last week’s report for more on that market.

Trading Strategy: Expecting 98.85-99.00 to serve as support if reached. Buying dips into there with a stop under the Wednesday low. If not triggered, then will probably need to employ breakout tactics.

USD/CAD

Daily

US_Dollar_News_Reversals_Present_Trading_Opportunities_body_usdcad.png, US Dollar News Reversals Present Trading Opportunities

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

Automate trades with Mirror Trader

-USDCAD made a key reversal on a larger than average range Thursday. Friday’s follow through confirms the tradeable low.

-More important, the reversal occurs at a huge support level defined by the line that extends off of the September 2012 and January 2013 lows as well as the 100% extension of the decline from the July high (2 equal legs) AND corrective channel support.

-The reversal occurred on heavy volume (20 day high in CME volume).

-Price has retraced the entire Fed move (USDCAD was at 1.0290 at 2 pm on Wednesday) to trigger a possible news reversal trade. USDJPY trade from Thursday exemplifies a successful news reversal trade.

Trading Strategy: Watch for an early week low to get long against Wednesday’s low. 1.0230/60 is support. Target half at 1.0400.

USD/MXN

Daily

US_Dollar_News_Reversals_Present_Trading_Opportunities_body_usdmxn.png, US Dollar News Reversals Present Trading Opportunities

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

Automate trades with Mirror Trader

-USDMXN made a key reversal on a larger than average range. Friday’s follow through confirms a tradeable low.

-The reversal occurs at the 126 day average (6 month average). This average has pinpointed important support and resistance in the exchange rate for over a year.

-The reversal occurred on heavy volume; the third largest one day volume (CME) of the year in fact and most volume since 6/20/13 (high of the year).

-21 day RSI dropped into 40 and rebounded. The May and July lows were registered when RSI(21) was at or slightly below 40.

Trading Strategy: Order to go long at 12.72, stop 12.58 and target half at 13.04.

USD/ZAR

Daily

US_Dollar_News_Reversals_Present_Trading_Opportunities_body_usdzar.png, US Dollar News Reversals Present Trading Opportunities

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

Automate trades with Mirror Trader

-USDZAR made a key reversal on a larger than average range Thursday. Friday’s follow through confirms the tradeable low.

-The reversal occurs near the 126 day average (6 month) and after a drop below the July low (false breakdown?). This is the biggest penetration of the 126 day average since April 2012 but price only closed below the average for 1 day.

-21 day RSI dipped below 40 and crossed back above after 1 day. This action is also consistent with a bottom.

Trading Strategy: Price has rallied nearly 3% in 2 days and is nearing last Friday’s close (uncovered close after the Sunday gap). A reaction (lower) from that level (9.91) will probably present a chance to buy a dip. Keep 9.75-9.78 in mind for support.

--- Written by Jamie Saettele, CMT, Senior Technical Strategist for DailyFX.com

To contact Jamie e-mail jsaettele@dailyfx.com. Follow him on Twitter @JamieSaettele

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

DISCLOSURES