Last week USDJPY pair descended abruptly. We have warned about probable “misbehavior” of this pair and about the unjustified low interest in this pair among the traders. After a small consolidation USDJPY pair fired and continued its impulse on Thursday. On Friday along with the weakening of the dollar and the stop of the fall of share market in the US, USDJPY pair demonstrated more modest growth.
However the future of quotations of this currency pair isn’t clear. There are no technical obstacles for the development of the ascending trend, except for the custom among traders to buy yen. The pair passed the mark of resistance of 80.54 On Thursday , the breakdown was easy and quick, which says a lot about the strength of the impulse. Thus there are no reasons to think that USDJPY pair will not be able to function in the same manner for two more days. Certainly it will be illogical to exclude he short correction. However one should sell something that is obvious, which is the growth.
However the situation with two correlated pairs EURUSD and GBPUSD does not look certain. GBPUSD demonstrated stop in the descending trend and EURUSD – it destroyed the hope for renewal of quotations on Friday. Interday diapasons were much higher on Friday, than on the other days of the week. Despite the ambiguity of the current situation, the average descending trend on these pairs, will continue and one should start getting ready for it on Monday. However one should wait until entering short positions.
A new wave of descending trend on AUDUSD pair started last week, which was predictable, based on inclined line of the trend, the rebound from which occurred on Wednesday. Active sales of the Australian dollar stopped on Friday, however there are no signals for deployment of current descending tendency, and it is possible to sell this pair on Monday with quotations descending lower than 1.032.
This week compared to the previous week was quite calm on gold, but the tendencies remained unclear. On the one hand the pair drew a top looking like a dome which is a deployment signal. On the other hand the attempts to test the support of 1700 was not very successful, and this support is not taken. Based on this, one may sell gold after breaking down the level of support 1700, and to think about the purchases in case of rebound from this level.
We wish you a good and profitable week.Social button for Joomla