Forex Technical/Fundamental Analysis & Forecast by RoboForex

Murrey Math Lines 29.10.2019 (AUDUSD, NZDUSD)

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, the pair is still trading inside the “overbought area”. In this case, the pair is expected to break 8/8 and then resume falling towards the support at 6/8. However, this scenario may no longer be valid if the price breaks +1/8 to the upside. After that, the instrument may continue growing to reach the resistance at +2/8.



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The Pound is keeping balance. Overview for 29.10.2019

On Tuesday, GBPUSD is waiting for new information on Brexit; market players are in no hurry to get back to buying.

The British Pound is consolidating against the USD on Tuesday afternoon. Investors are in no hurry to make any quick movements until there is no new information on Brexit. The current quote for the instrument is 1.2847.

Yesterday, it became known that the European Union agreed to extend the Brexit deadline until January 31st, 2020. So, the British Parliament doesn’t have to be in a rush to ratify the agreement between parties. However, according to the extension, the United Kingdom may exit the alliance at any moment prior to January 31st, as soon as the parties are ready.

It’s good news because the ratification process of those agreements reached by Prime Minister Boris Johnson and Brussels won’t be hasty and speedy. And that’s a good thing: who knows what else may scare British lords and how they may react to tight deadlines.

The statistics published yesterday showed that the CBI Realized Sales in the UK improved in October and was -10 points after being -16 points the month before and against the expected reading of -20 points. Growth of the indicator may show that the Retail Sales sector is reaching stability, which is quite good for the British economy.

Forecasts for other instruments can be found in the section "Forex Forecasts and Analysis" on our website.

Ichimoku Cloud Analysis 30.10.2019 (AUDUSD, NZDUSD, USDCAD)

AUDUSD, “Australian Dollar vs US Dollar”

AUDUSD is trading at 0.6862; the instrument is moving above Ichimoku Cloud, thus indicating an ascending tendency. The markets could indicate that the price may test the cloud’s upside border at 0.6835 and then resume moving upwards to reach 0.6965. Another signal to confirm further ascending movement is the price’s rebounding from the rising channel’s downside border. However, the scenario that implies further growth may be canceled if the price breaks the cloud’s downside border and fixes below 0.6775. In this case, the pair may continue falling towards 0.6685. After breaking the descending channel’s upside border and fixing above 0.6895, the price may continue moving upwards.



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The Yen is slowly rising. Overview for 30.10.2019

USDJPY is falling a little bit in the middle of the week; investors prefer to avoid risks in anticipation of the US Federal Reserve meeting.

The Japanese Yen is getting a bit stronger against the USD on Wednesday. The current quote for the instrument is 108.83.

In the morning, Japan published a rather interesting report on Retail Sales in September. The indicator added 9.1% y/y after showing +1.8% y/y in August; it was really expected to improve, but not by so much.

Most of all, consumers were buying general merchandise (+ 13.9%), motor vehicles (+16.9%) and machinery & equipment (+37.9%). However, it seems quite reasonable: starting October 1st, the sales tax in Japan went up from 8% to 10%, that’s why people were buying rather expensive things that were expected to get even more expensive, given the fact that Japanese households are usually very careful with spending money when the financial outlook in the country isn’t very bright.

As a result of the sales tax increase, quite a lot of money will be credited to the country’s budget, but everyone understands that the Retail Sales indicator won’t continue skyrocketing.

Investors are “dormant” today as they are waiting for the US Federal Reserve two-day meeting to be over on Wednesday night. As usual, this event tends to be pretty emotional for market players, that’s why they prefer to save strengths until some important information is released.

Forecasts for other instruments can be found in the section "Forex Forecasts and Analysis" on our website.

Fibonacci Retracements Analysis 31.10.2019 (AUDUSD, USDCAD)

AUDUSD, “Australian Dollar vs US Dollar”

As we can see in the H4 chart, after completing a short-term pullback, the pair continues its ascending tendency and has already broken 38.2% fibo. The next targets may be 50.0% and 61.8% fibo at 0.6983 and 0.7956 respectively. At the same time, one should pay attention to the divergence on MACD, which may indicate a reverse after the instrument reaches the closest targets.



Read more - Fibonacci Retracements Analysis EURUSD, USDJPY

The Fed made the American Dollar plunge again. Overview for 31.10.2019

EURUSD is processing results of the US Federal Reserve October meeting, where the regulator cut the key rate the third time this year.

The major currency pair is rising Thursday morning in response to the Fed’s decision. The current quote for the instrument is 1.1162.

So, it was the third time this year the Fed cut its benchmark rate, now it’s 1.50-1.75%, just as expected. Eight members voted in favor of the decision and two were against. However, that’s wasn’t the point. The Fed’s comments that followed the rate decision might be perceived as readiness to take a break in loosening its monetary policy.

For example, the previous reference that it “will act as appropriate” to sustain the economic expansion was removed from the policy statement.

Meanwhile, the regulator is going to continue supporting the economy as much as it requires. The Fed said that open market operations would continue at least until the end of quarter II 2020, and Repo – until the end of January 2020.

Global investors were rather calm in their reactions to this news, but the USD went down nonetheless. However, the fact that the Fed is ready to take a break in the easing cycle means that the regulator managed to escape the White House’s pressure and will implement the monetary policy as it finds fit.

The statistics published yesterday showed that the US GDP added 1.9% q/q in the third quarter, which is better than market expectations. In the previous quarter, the economy expanded by 2.0% q/q, so the negative difference was too little and the USD avoided serious decline.

Forecasts for other instruments can be found in the section "Forex Forecasts and Analysis" on our website.

Forex Technical Analysis & Forecast 01.11.2019 (EURUSD, GBPUSD, USDCHF, USDJPY, AUDUSD, USDRUB, USDCAD, GOLD, BRENT, BTCUSD)

EURUSD, “Euro vs US Dollar”

After finishing two descending impulses, EURUSD has reached the closest correctional target at 1.1130. Possibly, the pair may form one more descending wave towards 1.1122 and then start a new growth to reach 1.1189. in fact, the market is expected to form the fifth ascending wave. The key predicted target is at 1.1236.



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The Australian Dollar intends to continue rising. Overview for 01.11.2019

AUDUSD was correcting a little bit after hitting its two months high, but right now it is ready to continue growing.

The Australian Dollar continues rising against the USD early in November. The current quote for the instrument is 0.6907.

Today’s statistics from Australia were rather minor, but the Aussie doesn’t seem upset. The AIG Manufacturing Index dropped from 54.7 points in September to 51.6 points in October, which means that managers of the largest Australian companies see signs of deterioration of market conditions. Of course, it’s not a good signal for the country.

Meanwhile, the Producer Price Index in Australia added 0.4% q/q in the third quarter, just as expected. As for this indicator, everything is fine, although there were no reasons to worry in the first place.

The Aussie positively responded to the statistics from China, which is the country’s key trade and economic partner. The Caixin Manufacturing PMI in China expanded up to 51.7 points in October after being 51.4 points in the previous month. An increase in business activity in this sector may signal that market risks regarding trade wars are going down and that‘s very good.

Forecasts for other instruments can be found in the section "Forex Forecasts and Analysis" on our website.

Japanese Candlesticks Analysis 05.11.2019 (GOLD, NZDUSD)

Japanese Candlesticks Analysis 05.11.2019 (GOLD, NZDUSD)

As we can see in the H4 chart, the ascending tendency continues. By now, XAUUSD has completed Engulfing reversal pattern close to the resistance level. At the moment, the pair is reversing. In the future, the price may complete the correction and resume falling with the target at 1495.50. At the same time, we shouldn’t exclude an opposite scenario, which implies that the instrument may continue growing to reach 1525.50 without any corrections.



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Fibonacci Retracements Analysis 06.11.2019 (GBPUSD, EURJPY)

GBPUSD, “Great Britain Pound vs US Dollar”

As we can see in the H4 chart, there was a divergence on MACD, which made GBPUSD complete the rising wave at 76.0% fibo at 1.3040 and start a new pullback. The support is at 1.2670. After completing the pullback, the instrument may start another rising impulse to reach the previous high at 1.3012 and then the key one at 1.3381.



Read more - Fibonacci Retracements Analysis GBPUSD, EURJPY