Market Insights Commentary Covering EURUSD, GBPUSD, AUDUSD, NZDUSD and USDCAD for 23 April 2018
On Friday what we saw was that late in the afternoon, the dollar was king and it seemed like everyone was buying dollars heading into the weekend.
I’m not sure if that was on the back of geopolitical fears, what the reason for it was anyway. Perhaps the market is starting to see diverging rate policies for the rest of the year.
From our perspective guys, we’ve seen a couple of good news that’s come out yesterday, North Korea willing to suspend their nuclear missile testing program.
Looks like China and the US want to go to the negotiation table so a lot of good things that could materialise.
If I look at the market, I’m looking at the euro-dollar to start off with we can see we’ve been in this kind of tight range for the best part of 2018.vHere we are right on that support level. From my perspective, this is a big one. I can see where my stochastic is. I’m a little bit more worried about what’s happening here on the MACD flat-lining but it definitely looks as though the bias would be to look for a long trade.
Cable, same scenario. We’ve seen a little bit of support. 1.3960 becomes your first level of support. We saw the bounce there on Friday, and I would suspect that the market would be looking for a long trade there also.
Same again at the Aussie. Our stochastics and our MACD don’t really correlate with what we see here, but it definitely seems as though a bounce is in the offering.
Again the Kiwis is on a double support and a trend line support which also bodes well for a long.
The last one I’m looking at is the dollar-cad. This is one that I’ll stay out of for now.
From my perspective 28:20 looks like your fullest major resistance level. If I look at the four-hour chart I’m seeing something very similar there.
Hourly chart, no divergence as of yet, but if I see an EMI crossover I would be tempted for a short trade there.
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