the daily chartist

EUR/USD losing grounds

published 2 years ago

 The European currency was underpinned as I have forecasted in my previous analysis as the catalyst came in from the FED meeting and rate decision. Rates were increased on Wednesday from 2% to 2.25% and the overall projection was for further hikes later this year and the hawkish sentiments from the FED gave a strong boost to the dollar across the board.

 The figure wasn't that impressive on the daily chart and the price went back from circa 1.8086 resistance levels and turned South as the market digested the news. With that, the price returned again below 1.17498 and closed below it with a closing price at 1.17369. The daily candle closed as a Bearish engulfing one signalling that the movement has reached its peak and it is time to reverse. 

 As seen from yesterday the price has tanked hard under 1.17093/1.17000 and broke the wedge formation to the Bearish "cave". Stoch and CCI also provided the early signal (check previous) post, so congrats to everyone who sold after when the dust settled after the FED news. The price has a potential of reaching the level of 1.15282, but first, we will need to see a strong breach of 1.16000 and a close below that to assume that there may be further selling to which we can tap in. Reaching and breaching these levels if supported by strong fundamentals and sentiment for the USD a new downtrend will be established here. Going with the trend will be the best option here of course with appropriate stop losses. 


Silver struggles to push up

published 2 years ago
Silver Daily

 As well as gold, silver also is stuck in a range after quite some time being under pressure. On the top, we have 14.335 sell zone pushing the price down, and on the bottom, the Bulls struggle to keep the price floating at 13.976. The price will find its clear direction as well when a catalyst form as the FED meeting tomorrow for example. Stoch has already reached its overbought zone, but CCI still needs to catch up to back up the crossover from the stoch indicator. As with gold and the overall correlation between precious metals short them all with appropriate SL if tomorrow's conditions are to back up the Bear's views and of course, impulse up will be a strong one to clear out any Bear stops to the top side. 

Gold silent before the storm

published 2 years ago
Gold Daily

 Overall gold and the other precious metals were losing their shine this year with FED lifting up the rates, demand lagging and ongoing Trade War. We have observed a quite long and steep negative trend for gold and it has reached a point where Bears are taking a break from the sell-offs. We've witnessed classic patterns and moves from the yellow metal as it has always made those impulses after some time of silence and a sideways movement. Gold landed at 1160.20 on 15.08.2018 and the bleeding stopped. The daily candle made a false breakout and left a very big shadow, signalling that this move has ended and the Bears had enough. Bulls moved in, building up the correction and we are starting to see a formation slowly getting a shape. What it may be, depends on tomorrow's FED outcome as we have the FED statement and the FED policy rate decision as well. The forecast is for another lift and if this happens we are going to see the price moving down again, finding an exit from the sideways movement currently between 1210 sell zone and 1190 buy zone. I will be expecting a move down towards the zone and sliding inside of it, but Bears will need to show a strong determination for their breach if they want to resume the negative trend. The other way this can go is for a sharp move up if we don't see a change in the rates or in the policy behaviour of the FED as well. No matter which side you are going to take, always use an appropriate stop loss in regards to your risk and money management. 

Ethereum signals further downfall

published 2 years ago
ETH Daily

 ETH as with any other cryptocurrency currently continues to lose its value as time goes by and slowly everyone's dreams for getting filthy rich is being destroyed. This time I am looking at Ethereum and the picture isn't that good. Currently, since 06.05.2018 the currency is in freefall as each impulse is followed by a short sideways move (a correction). We are now in such a corrective move after the price landed at 165.98 on 12.09.2018 and gave some fresh air for the Bulls to push the price higher. Now the price is under pressure again and it has reached the bottom line of the bearish flag formation. I have charted the eventual move from ETH in the short - term period. As you can clearly see the forecast is again for ETH to resume its move down towards 165.98 test it and if successful again a move up again to follow for a more stable level. The stochastic indicator has already provided a sell signal and CCI is catching up as well. Its a matter of time before the price lands firmly on the line and breach it. If the scenario is right, you can wait it out and find a better buying opportunity on the bottom for the near - term resolution. I would recommend a SL under 165.98 at 145.40. Of course, you can decide your own SL accordingly with consistency with your risk and money management.  With this TP and SL it is 2:1 profit/loss ratio. If you want to get into selling to catch the breach as well you can aggressively sell now with TP at 165.98 and SL at 240 which is going to be 2:1 reward/risk as well.  

Black Gold loves the 70's

published 2 years ago
WTI Daily

 It ain't the 70's in the US, but the quote of $70. Crude has traded these days between 70 and 71, trying very hard to break through that limbo and to make an attempt at least for 72. WTI is in an overall uptrend and its big, still supported, still trading inside, nevertheless the inside impulses to the downside, none of them managed to really threaten the integrity of the uptrend. That is what I call stability. Steady price rise, supported by fundamentals and sentiment. This Summer was not a Hot one for Crude (thank God), so the price has managed to gain a lot since June 2017 actually. What may turn as a threat to the trend is the inside wedge that has formed inside of the uptrend, charted on the graph. As the price struggles to move above the upper line and play it as a Bullish Wedge or as it is right now leaving shadows and faded Bullish movements it can reverse South to test the lower trendline. If this happens and it is confirmed we may see an impulse move, clearing of the stop losses there for that liquidity needed to push up again or to accelerated the movement down towards 67.19 and 66 and 64.52 in the long-term. In the end, if everything remains relatively calm in the Middle East, no one pushes for more production and OPEC keeps reason, we may see steady, normal rise for the Crude price even continuing in the next year. Time will tell, but of course trade with caution, now longs are suitable.