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The AUD/USD stalls at the 0.7700 level

The round number levels are those levels where the price or the quotes end in “00”. These round number levels are very important, because normally when the price reaches those levels the area acts as support or resistance. Even during the cases where the price breaks the round number level, there could still be opportunities to enter the market in the direction of the breakout. That is why in any case we can take advantage of the round number visits.

On the daily chart of the AUD/USD we can see that the pair has reached the 0.7700 round number level and stalls its rally there. That level could act as resistance and the price may try to bounce to the downside. The 0.7500 level could act as support in case the price bounces towards that level. The 55 day EMA stays above the 200 day EMA and it could be indicating that the bullish trend may continue. Above the 0.7700 level, the 0.7800 could act as resistance.

The Euro goes back up

The EUR/USD finds a good support around the 1.1159 level as shown on the daily chart and goes back to the 1.1300 zone. The 1.1300 level could act as resistance and the price could try to bounce to the downside from there. However, if the price breaks the 1.1300 to the upside, then the 1.1400 or the 1.1500 level could act as resistance also. Below the 1.1159 level the next support for the EUR/USD could be the 1.1100. The Non-Farm Payrolls data for Friday could cause the pair to take a clear direction. 

Golden Cross on the EUR/USD

On the daily chart of the EUR/USD we can see a Golden Cross of the 55 day exponential moving average above the 200 day exponential moving average. The cross has bullish implications and it is possible for the pair to continue going higher. Above the 1.1200 level, the pair may try to go and visit the 1.1300 level. Below the 200 day EMA, the 1.1000 could act as support. The bullish trend is still in place and if the Dollar pulls back, then this pair may continue higher towards the 1.1300 level.

Will oil rally again?

On the daily chart of the WTI light crude oil we can see that the commodity has been retracing to the downside lately, but it seems like the retracement is losing its momentum and the price is trying to go back up. The bullish trend is still in place and if the next daily candles appears to be a bullish candle, then it could be confirming a “hammer” formation, which is a bullish-reversal pattern. However, the 200 day exponential moving average, around the 42.25 level could act as resistance. To the downside, the 37.00 or the 55 day exponential moving average could act as support.

Gold nears the 1200 level

The 1200 zone has been a good support-resistance area in the past for gold as we can see on the daily chart. Over the same daily chart we can see that the 55 day exponential moving average is very close to the 1200 level, making that zone even more relevant. The price of gold could bounce to the upside around the 1200 zone, but if it breaks that zone to the downside, then the 200 day exponential moving average, which is around the 55 week EMA, could act as support. To the upside, the 1257 zone, which is where the 200 week EMA is, could continue acting as resistance.

Possible bearish continuation on the EUR/JPY

The 9 period stochastics on the daily chart of the EUR/JPY have a bearish slope, pointing towards the 50% zone. The stochastics have plenty of room to keep falling; therefore, the EUR/JPY could go back to its bearish trend in the medium term. If the pair breaks below the 124.66 level, then the bearish momentum may accelerate and the price may reach the low at the 122.04 level. Since the pair is currently in a consolidation, it may break out in any direction. That is why if it breaks to the upside, then the 200 day exponential moving average, around the 130.47 level could act as resistance.

The EUR/USD finds support at the 1.1200 level

The Euro versus the Dollar retraces today towards the 1.1200 level as shown on the daily chart. Regardless of the pullback, the pair keeps its bullish trend and it is possible for it to go and visit the 1.1300. The 1.1300 zone has proven to be a good resistance area, therefore it is possible for the price to find some difficulty breaking above it. To the downside, the 1.1100 level could act as support along with the 200 day and 55 day exponential moving averages. The current pullback on the EUR/USD could serve as an opportunity for new buyers to come into the market and take the price higher.

Copper oscillates without direction

The May contract for copper has been oscillating around the 200 day exponential moving average without taking a clear direction. Since the price coming into the consolidation had a bullish trend, then there is a higher probability of seeing a continuation to the upside. The 237 or the 243.63 could act as resistance. To the downside, the 222.00 or the 215.00 could act as support. If the Chinese economy keeps showing signs of growth, then the commodity may continue higher.

Pullback on the USD/CAD

The US Dollar versus the Canadian Dollar has stayed in a well-supported down trend as shown on the daily chart. At the moment the price is trying to retrace or pullback to the upside, but the 1.3200 or the 21 day exponential moving average could act as resistance. In order for a trend to be sustainable, it needs to have some pullbacks on the way to allow new sellers to come into the market. That is why the pair has had a good bearish trend, because it has had its pullbacks along the way. The 1.2900 level could act as support.

Webinars: How to overcome fear in your trading

Great events and webinars provided by ActivTrades for the second half of March. Today, March 17 we have a Webinar by Paul Wallace on how to overcome fear when you are trading. Fear may prevent us from making money, but also greed can make us lose. The events are free of charge, if you would like to register please visit:

https://www.activtrades.co.uk/index.aspx?page=events_webinar

On March 24 we also have another great Webinar by Paul Wallace on tips from a great stock market operator: Jesse Livermore. Don’t miss this great opportunity to expand your knowledge and learn from some of the best traders and professionals on the field.

Rally on crude supports the Canadian Dollar

Light crude oil, WTI rallied for today above the 40.00 level and it is nearing the 41.00 level. The rally on crude has helped the Canadian Dollar, due to the fact that those two instruments have a positive correlation. On the daily chart of the USD/CAD we see a very interesting price action. The bearish trend is still in place and that can be confirmed by the slope and direction of the 21 day exponential moving average, yellow line. After the price breaks below the 200 day EMA, blue line, it retraced to that zone, but the moving average, along with the 1.3400 level acted as good resistance. The pair drops to the 1.3100 level and stalls at the moment there, but since the bearish trend is still in place, it may continue dropping towards the 1.2827 level. The 21 EMA is trying to break below the 200 EMA and if it does then it could be an indication of further drops on the USD/CAD. In case the price goes back up for any reason, then the 1.3400 zone could act once again as resistance.

Is the EUR/JPY heading back down?

On the daily chart of the EUR/JPY we can see that the pair is really in a downtrend in the medium term, due to the downward slope that the 200 day exponential moving average has, blue line. The price has been retracing to the upside lately, but during the last few daily candles we can see the bearish momentum accelerating. On the last leg down from the high at the 132.29 level to the low at the 122.07, the price retraces a 50% Fibo. If the pair breaks the two red trendlines to the downside, then it may go back to its longer term bearish trend.

A break down may take the price to the low at the 122.07 level, which could act as support. To the upside, if the price breaks above the 50%, then the 61.8% Fibo, around the 128.38 may act as resistance. But the most important Fibo level which usually works as support or resistance is the 76.4%. Therefore, we must pay attention to a visit of the EUR/JPY to the 129.85 zone, which is where the 76.4% Fibo is sitting at.

Head and Shoulders on the DAX?

The head and shoulders pattern can sometimes appear upside down or inverted. On the daily chart of the German DAX, we can see that the index has formed what it appears to be an inverted head and shoulders pattern. The 9897 zone could be used as the neckline or confirmation line for the pattern, which it has broken to the upside today. The stock markets have been rallying since the European Central Bank raised its economic stimulus. That is why we see that the DAX has rallied for today. If the index continues going higher, then the 200 day exponential moving average, around the 10247 could act as resistance.

If the head and shoulders pattern fails and the index goes back below the 9897, then the DAX could fall towards the 9300 level. But the current pattern could be the beginning of a trend change to the upside on the long term. Let’s see if the index continues making higher highs and higher lows.

The USD/CAD without a clear direction

The trend on the USD/CAD is bearish on the daily chart and it is possible for the pair to continue falling further, but in the short term there is no clear direction and the price continues boxed in between the 1.3200 and the 1.3300 level. To the upside, the 1.3400 or the 200 day exponential moving average may act as resistance. If the 21 day EMA, yellow line, crosses below the 200 day EMA, then the pair may continue dropping, but it may find some support around the 1.3100 level or the 1.3000. But in order for the bearish trend to stay in place, oil must continue rallying.

The FTSE100 is boxed between two EMAs

On the daily chart of the FTSE100 of the United Kingdom we can see that the index stays right in between the 55 day exponential moving average, purple line, and the 200 day exponential moving average, blue line. There was a lot of volatility for today in the markets due to the decisions taken by the European Central Bank, however the markets in the United Kingdom have been hurt by the uncertainty surrounding the possible exit of the UK from the European Union.

That uncertainty has created high volatility and that is why we can see on the daily chart that the latest candle is relatively big. It seems like the bearish momentum is still in place and a breakdown below the 5990 could take the index to the 5813. If the FTSE goes back up, staying inside the EMAs, then it could try to break above the 200 EMA and maybe reach the 6448. 

The Kiwi goes back down

The NZD/USD was not able to complete the breakout-and-pullback pattern around the 200 day exponential moving average, blue line, and bounces from the 0.6800 zone to the downside until reaching the 0.6619 level. From the current levels, the price may continue lower towards the 0.6544 zone. To the upside, the 0.6718 or the round number level of the 0.6800 could act once again as resistance. A third scenario that may develop is that the price may stay consolidated at the current levels, due to the fact that it has entered a congestion area.

Pullback on the USD/CAD

The USD/CAD retraces to the 200 day exponential moving average, blue line, around the 1.3400 level. It’s possible that a breakout and pullback pattern is developing around that moving average, therefore the price may try to go back down. The 21 day EMA is showing us that the bearish trend is still in place, especially when the angle of inclination of the EMA is very steep. Be attentive to a possible bearish bounce from the 200 EMA or a breakout of that zone for a visit of the 1.3600 area.

The USD/CAD breaks the 1.3300 level

The rally of oil to the 40 dollars per barrel zone has caused the Canadian Dollar to rally and we can see on the daily chart of the USD/CAD that the pair has broken below the 1.3300 level. The bearish momentum may continue and the pair may reach the 1.3200 level. The 200 day exponential moving average, around the 1.3400 zone could act as resistance in case the price retraces to that area.

Consolidation on the EUR/GBP

The daily chart of the EUR/GBP is showing us that the pair has been consolidating lately, just below the 0.7756 level. The real bodies of the candles are showing us that the pair has been very undecided with low volatility according to the size of the candles. However, a visit to the 55 day exponential moving average, around the 0.7658 level, could cause that moving average to become support and a bounce to the upside could be seen. We should be aware of a possible visit to the 0.7900 level, because the price could bounce to the downside from there.

Webinar Special: Live Trading Analysis and more

Very interesting Webinars during this month of March at ActivTrades’ Online meeting platform. To attend the Webinars one must register free of cost at ActivTrades’ Website:

https://www.activtrades.co.uk/index.aspx?page=events_webinar

Once registered, you can enjoy all the events available for all of those that would like to expand their knowledge of the markets. Practice makes perfect and in this type of business one must be practicing all the time and acquiring as much information as possible. These events at ActivTrades helps those traders that are struggling to get back on their feet and trust themselves.

The AUD/USD breaks the 200 day EMA

The Australian Dollar versus the US Dollar breaks above the 200 day exponential moving average, around the 0.7261 level and it is possible for the pair to keep its bullish trend, due to the fact that the stochastics still have a long way before entering the overbought territory. Be attentive to a possible formation of the Breakout-and-pullback pattern around the 200 EMA. The 0.7500 level could act as resistance and below the 200 day EMA, the 0.7103 level could act as support.

200 day EMA, good support for the USD/CAD

The USD/CAD has been falling while the Canadian Dollar strengthens and reaches the 200 day exponential moving average, around the round number level of the 1.3400. The bearish trend is still in place as indicated by the MACD indicator, but the 1.3400 zone could act as support. If the price breaks below the 1.3400 level, then the next round number level of the 1.3300 could act as support. To the upside, the only relevant resistance could be the 1.4000 level.