EURUSD continues in sideways movements as it has done in the last two weeks ever since it closed below 1.215.
The rising wedge I have been writing about in the last weeks is still very much intact. Support comes in the area of 1.200 and 1.205 horizontal and trend line support respectively. These are critical levels – a must hold level for buyers if the bulls will continue or a must break level for sellers for a pull bag to happen.
- Read: Chicken coming home to roost for GameStop as share price drop below $80
- Visit Investogist’s homepage for more articles
If we get a close below 1.205 and 1.200 on a daily closing bases that will expose 1.870 and 1.1600.
A buy signal from 1.205 will most likely push the price into the top of the wedge 1.250 through 1.235.
EURUSD daily time frame
Two weeks ago I highlighted two conflicting patterns in AUDJPY an inverse head shoulder and a rising wedge. In that article, I explained that only a weekly close below 79.096 will negate the inverse head and shoulders and daily close above the wedge top will negate the wedge.
So far AUDJPY bulls held above the neckline 79.096 both on the daily and weekly charts. This is one to play with patience to see how the consolidation range between 80.741 and 79.500 will break out before we can have a clear direction.
AUDJPY Weekly time frame
AUDJPY daily time frame
NZDUSD continues to look constructive despite the fake breakout on Tuesday last week. On that day I wrote that kiwi looks like it has broken out of a bull flag that turned out to be a false break. That structure, however, is still intact with a little adjustment of course.
0.7150 held as support throughout last week if buyers can keep price above it and break through the flag resistance 0.720 and hold above it higher levels 0.752 and 0.805 will be attainable.
A daily close below 0.7150 will expose the bottom of the channel around 0.703.
NZDUSD daily time frame
By: Chijioke Maduakor