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Forex Analysis & Reviews: Forecast for GBP/USD on December 8, 2020
GBP/USD
The pound fell by 217 points due to yesterday's news about Prime Minister Boris Johnson's readiness to end the hopeless negotiation process on Brexit. Subsequently, the price won back most of the fall, and the day closed with a black candlestick at 58 points. The MACD line stopped the fall. If the negative Brexit scenario is confirmed (we consider it as the main one), a second attempt to attack the MACD line will be more successful, the target is the 1.3180 level.
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The actual target will be the 1.3108 level (November 12 low). The double divergence according to Marlin has worked out, the signal line of the oscillator is about to move into the downward trend zone, which will strengthen the bearish market sentiment.
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The four-hour chart shows that the price has settled below the MACD line, yesterday's growth fell slightly short of this line and a reversal is taking place this morning. The first target for support is 1.3290, getting the pair to settle below it will strengthen the decline.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Forecast for EUR/USD on December 9, 2020
EUR/USD
Yesterday, the euro dropped another 6 points after losing 13 points on Monday. Brexit negotiations are ongoing, but investors have already quit the recent frenzied speculation. In addition, the European Central Bank meeting will take place tomorrow after which the monetary policy adjustment will be announced, as expected, towards easing. The German trade balance for October will be released today, the forecast for which is 17.0 billion euros against 17.8 billion a month earlier. There is simply no reason for the euro to grow.
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The daily chart shows that the price has settled below the target level of 1.2117, the signal line of the Marlin oscillator is heading towards the rising trend zone for the medium term. Getting the price to settle under the line of the increasing green channel in the area of 1.2037 and Marlin's departure into the zone of negative values will change the medium-term rising trend to a downward one. The closest target in this case will be the MACD line in the 1.1934 area.
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The four-hour chart shows that the MACD line and the price are closer. Now, getting the price to settle below yesterday's low will correspond to doing so below the MACD line. After that, we are waiting for an attack on 1.2037. Marlin is already in the downward trend zone and is waiting for the price.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Forecast for EUR/USD on December 10, 2020
EUR/USD
Today is the start of the EU summit, which is maybe the most dramatic event in the past six months. Now, here is a list of issues that are unlikely to find a solution:
Brexit, particularly the approval of a trade agreement that does not exist (Johnson's negotiations with Leyen only ended with the fact that they were postponed until Sunday) EU budget associated with economic stimulation, raising the issue of limiting carbon dioxide emissions Poland and Hungary's veto decision about the 1.8 trillion euro recovery fund Conflict between Greece and Turkey over the latter's violations on oil restrictions and gas exploration in the disputed waters of the Mediterranean Sea
ECB's decision on monetary policy will also be announced today. The officials of the Central Bank say that a decision will be made to increase the QE PEPP program from 1.35 trillion euros up to 2.0 trillion, and the extension of the TLTRO program. At the press conference, Christine Lagarde will likely leave an allowable range in understanding the relation to the base rate, which may be lowered in the near future.
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The euro's attempt to consolidate above the level of 1.2117 ended unsuccessfully yesterday, which happened for three consecutive days. Thus, it lost 21 points.
The daily chart shows that the price is directed towards the support of the nested price channel line (1.2037). After breaking through which, it can further decline to the support of the MACD line in the area of 1.1934. Meanwhile, the Marlin oscillator is headed downwards.
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The price on the four-hour chart has already settled below both indicator lines, while the Marlin oscillator is developing a downward mood in the negative area. It is likely to overcome the nearest support and further decline to the second target of 1.1934.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Trading signal for GBP/USD for December 10-11, 2020. Focus on Brexit.
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British Prime Minister Boris Johnson, European Commission President Ursula von der Leyen and their negotiating teams did not achieve a much-desired breakthrough on Brexit. After concluding that they remain "very separate," the EU and the UK agreed to extend the talks until the end of the weekend. This can further weaken the British pound if they do not reach a deal before the transition period expires.
As talks continue in Brussels, the news is likely to move the British pound. Due to this, the British pound is under downward pressure on the 4-hour technical chart. However, it is facing an upward channel on the 4-hour timeframe and at the 200-day EMA.
Looking up, the resistance is at 1.3360, where the 21-period moving average is located, followed by 1.3427, 6/8 Murray. At the upper target of 1.3549 (7/8 Murray), we should wait until the pound breaks above the 21 day EMA. If so, we can place buy positions with a final target at 1.3670. This boost is sure to appear if good news about Brexit is released.
We gave detailed recommendations and made analysis on Monday and Tuesday. We will leave the links below so that you can review our statistics on GBP/USD. Now if you open a bearish position, you can still hold it until the price touches the 200-day EMA. If the price bounces in this area, we can expect a new upward momentum. If the bearish trend is too strong, we recommend selling the pair with targets at 1.3180 and 1.3060.
The market sentiment in the early American session shows that there are 56% of investors who are selling the pound sterling. If this figure decreases, we could see a bearish breakout of the key level of 1.3220, and the price could fall to the area of 1.3060 in the coming days. So please be careful if you enter the market with to buy. The last opportunity to buy is above the 200 EMA, below this level, the downward pressure may accelerate.
Trading tip for GBP/USD for December 10 – 11
Buy above 1.3360 (EMA 21), with take profit at 1.3427, stop loss below 1.3320.
Buy if the pair rebounds around 1.3255 (trend channel), with take profit at 1.3310 and 1.3360, stop loss below 1.3210.(EMA 200)
Buy if the pair rebounds around 1.3220 (EMA 200), with take profit at 1.3270 and 1.3305 (5/8), stop loss below 1.3180.
Review our analysis for December 08, GBP/USD.
Review our analysis for December 09, GBP/USD.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Forecast for EUR/USD on December 14, 2020
EUR/USD
Prime Minister Boris Johnson's Sunday talks with Ursula von der Leyen ended in the fact that the deadline for the talks was postponed until December 31. It is not entirely clear how the ratification of the agreement will take place, but we believe that with this decision, the parties decided to disguise and soften Brexit without a deal, so as not to bring down the markets and shock the population.
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The daily chart shows that the price is staying closer to the upper level of 1.2175, rather than to the support of 1.2037, so there is still a possibility of reaching the upper target of 1.2230 with the divergence forming with the Marlin oscillator. When the price approaches the support of the embedded line of the price channel (1.2037), it will strengthen the option of a reversal from the current levels, without preliminary growth. The current situation is neutral.
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The four-hour chart shows that the price has settled below the MACD line, but the signal line of the Marlin oscillator makes an attempt to enter the growth area, and this situation does not provide any advantage to any of the scenarios, the probability of growth and decline is the same.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Forecast for AUD/USD on December 15, 2020
AUD/USD
Over the past day, the situation for the Australian Dollar has not changed. The quote is at the closing level of Friday last week. But in the technical picture, this increased the reversal potential. On the daily scale chart, the divergence from the Marlin oscillator becomes more distinct. To maintain this scenario, the price will need to be fixed under the nearest support of 0.7500.
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The four-hour chart has its own divergence, which increases the probability of a reversal from the current levels.
With the price moving below 0.7500 (December 2017 low), the target of 0.7440 opens with intermediate support on the Kruzenshtern line at 0.7468. I think that in the current situation, we can overcome this line without difficulty. If the price moves below 0.7440, the next target would be at 0.7340.
https://forex-images.ifxdb.com/userf...8247371c88.jpg
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Forecast for AUD/USD on December 16, 2020
AUD/USD
The Australian dollar took advantage once again of the delay in the offensive of the US currency (or does not believe in it) and went up to 26 points yesterday. But this growth in technical terms has not changed anything, the price divergence with the Marlin oscillator remains, the upper and the lower targets remain unchanged. Today, the Fed's FOMC is more likely to announce a reduction in the QE program or at least an intention to do so in January. Such a statement should cool the ardor of speculators. We are waiting for the decline of the Australian to the nearest support of 0.7500 (low of December 2017), then to 0.7440.
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Based on the four-hour chart, the Marlin oscillator does not reduce confidence in the downward trend section, declining in its own channel. The Kruzenshtern line is approaching the target level of 0.7500, this level is of particular importance and its overcoming can provoke an accelerated fall in the price.
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Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Ichimoku cloud indicator analysis of Gold
Gold price is once again moving higher above the key resistance of $1,850. If bulls manage to hold above $1,850 and break above recent highs at $1,874, we should then expect a move towards $1,900 and higher.
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Gold price has made an important higher low at $1,820 and is now breaking above the Ichimoku cloud once again. This is a bullish sign. Support is at $1,847 and next at $1,820. Gold bulls need to defend these two levels. Breaking below $1,820 will bring Gold price below $1,800. However so far this is not the most probable scenario. The most probable scenario for now is a move above $1,874 towards $1,913-31. Both tenkan-sen (Red line indicator) and the kijun-sen (yellow line indicator) are below price. The Chikou span (black line indicator) is above the candlestick body. This is also bullish. All signs in the 4 hour chart support the bullish case.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Forecast for USD/JPY on December 18, 2020
USD/JPY
Yesterday, the yen moved under the target level of 103.18, but failed to settle below it. This morning the price is already above this level and it may not fall towards the target of 102.35. In order to move to the first target along the MACD line in the 104.10 area, there are still no conditions on the lower timeframe. The situation is neutral.
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The growth rates are higher, and being able to settle above the embedded price channel line (104.42), paves the way for the price to reach the upper line of the price channel in the 105.70 area, but it is too early to talk about it. There is a 60% probability that the price can return to the area under 103.18 and continue to decline to the target of 102.35.
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The four-hour chart shows that the first reversal signal will appear when the signal line of the Marlin oscillator goes into the positive area, and in order to do so the price needs to rise by about 30 points, which will correspond to the price of 103.60, and this is already close to the MACD line (107.75). When making a decision to buy, we recommend that you wait until the price goes above this indicator line. The current situation is not trading.
Analysis are provided byInstaForex.
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Forex Analysis & Reviews: Technical Analysis of ETH/USD for December 21, 2020
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Crypto Industry News:
A recently released US Department of Justice audit of the practices of the Federal Bureau of Investigation (FBI) in relation to Darknet criminal investigations found law enforcement in a mess - with an overarching "cryptocurrency support strategy."
According to the public version of the audit released on Thursday, the FBI's current efforts to investigate the Dark Web are - perhaps ironically - hampered by a "decentralized" set of practices, policies and training programs, and fragmented intelligence leading to "redundant" efforts.
In particular, the audit found that there are two separate virtual currency teams to assist with investigations into the Dark Web, both of which are funded by the Department of Justice's Asset Forfeiture Fund. In addition, "rising costs and continued funding from the Fund caused a dispute between the two Virtual Currency Teams on resource prioritization" and many felt the teams were carrying out overlapping work.
The fund receives a portion of its funds by seizing and selling property and assets, including cryptocurrencies, related to criminal investigations. The Department of Justice has issued five recommendations to streamline investigations and policies on the Darknet, many of which focus on centralizing procedures to reduce "ambiguous or overlapping investigative obligations". This includes the recommendation to "develop a timeframe to obtain feedback from the rest of the FBI and complete the development of cryptocurrency support strategies across the FBI." The report also indicated that such a schedule was approaching.
Technical Market Outlook:
After the ETH/USD pair had made a new swing high at the level of $673.52, the bulls experienced slight problems with momentum. The market has made a Pin Bar candle at the top of the rally at the H4 time frame chart, so now the local pull-back is in progress. The bearish have managed to push the price to the level of $620.52 before the bounce. The momentum has declined, but is still strong and positive, so the bulls might attack the level of $700 again soon. The next technical resistance is seen at the level of $673.52 and the technical support is located at $635.46 and $620.52.
Weekly Pivot Points:
WR3 - $777.02
WR2 - $722.62
WR1 - $678.76
Weekly Pivot - $626.41
WS1 - $580.02
WS2 - $527.98
WS3 - $482.35
Trading Recommendations:
The up trend on the Ethereum continues and the next long term target for ETH/USD is seen at the level of $700, so any correction or local pull-back should be used to open the buy orders. Nevertheless, the momentum has decreased recently on the lower time frames and volatility is not that great either. The bulls has hit the 38% Fibonacci retracement located at the level of $587.87 on the weekly time frame chart, but the current up trend is still active. This scenario is valid as long as the level of $360 is broken.
Analysis are provided byInstaForex.
