Market news and trade recommendations by FBS

[riki143]

Forex Analytics
Forex trading plan for October 20

By Elizabeth Belugina



The market’s risk sentiment was influenced by China. The nation’s Q3 GDP growth slowed down from 7% to 6.9%, the lowest reading since 2009, though slightly above expectations of 6.8%. China’s industrial production growth pace decline from 6.1% to 5.7% (forecast: 6.0%). Fixed asset investment also disappointed. Still, there was no rush in safe havens as the market expects the People’s Bank of China to step in with additional monetary stimulus.

On Tuesday pay attention to the US housing data at 12:30 GMT (USD will benefit from a good reading) and the speeches of the FOMC members at 13:00-13:15 GMT and Janet Yellen (15:00 GMT).

EUR/USD slid towards 1.1300. The upcoming meeting of the European Central Bank on Thursday creates negative pressure on the euro. We prefer short positions on the euro. Support is at 1.1300, 1.1260 and 1.1215.

GBP/USD is once again testing resistance in the 1.5490 area (100-day MA). Support is at 1.5415/00 and as long as it holds we can’t rule out a thrust up to further resistance is at 1.5545 and 1.5600. Below 1.5400 support will be at 1.5380 and 1.5235. The Bank of England’s MPC member McCafferty will speak at 09:45 GMT and Governor Carney will take the stage at 10:00 GMT. Expect more volatility to come. UK labor market data last week were not very bad, so it’s interesting how Carney will comment on that. On Friday MPC member Forbes claimed that a rate hike in Britain would come sooner rather than later.

USD/JPY is little changed in the 119.30 area. The expectations of an increase in the Bank of Japan’s monetary stimulus this month have declined and the pair’s recovery will likely be limited. Support is at 119.00, 118.70 and 118.05. Resistance is at 119.65, 120.00 and 120.90.

AUD/USD tested 0.7300, but failed to break higher and will likely retreat to lower levels. Negative Chinese data finally sank in. Support is at 0.7235, 0.7200 (strong level) and 0.7160. The minutes of the Reserve Bank of Australia’s meeting will be released early on Tuesday. Resistance is at 0.7350, 0.7380 and 0.7440.

More:
http://fxbazooka.com/en/analitycs/show/6788

 

[riki143]

Forex Analytics
EUR/JPY: weekly wave analysis
20 October 2015

Roman Petuchov

Weekly. Beginning part of the new bullish impulse [3] is now being formed. Let's see the markup on the H4 chart.

H4. After the end of the bullish impulse , we've seen a decline in a new corrective wave [ii]. It will be over this week. Afterwards we'll see a bullish move.

More:
http://fxbazooka.com/en/analitycs/show/6800

 

[riki143]

Forex Analytics
GOLD: weekly wave analysis
20 October 2015

Daily. The pair keeps forming the final part of the long sloping triangle. We see the development of the bullish zigzag [E]. The pair is currently forming the end of this wave.

H4. The market is forming the final upwards impulse (C). It seems that in the previous days the pair has formed the wave 4, which looks complete. As a result, in the near term we expect the pair to go up in the wave 5.

More:
http://fxbazooka.com/en/analitycs/show/6799

 

[riki143]

Forex Analytics
Danske Bank: trade signals for Oct 20

Open positions:*

USD/CHF: Hold SHORT at 0.9540, TAKE PROFIT 0.9302, STOP LOSS 0.9601

EUR/JPY: Hold SHORT at 135.60, TAKE PROFIT 133.44, STOP LOSS 136.10

EUR/CAD: Hold SHORT at 1.4715, TAKE PROFIT 1.4387, STOP LOSS 1.4855

GBP/JPY: Hold LONG at 183.20, TAKE PROFIT 187.37, STOP LOSS 182.75

AUD/USD: Hold LONG at 0.7218, TAKE PROFIT 0.7497, STOP LOSS 0.7195

Trade ideas:

EUR/USD: Possibly SELL

USD/JPY: BUY at 118.95, TAKE PROFIT 120.57, STOP LOSS 118.02

GBP/USD: BUY at 1.5405, TAKE PROFIT 1.5659, STOP LOSS 1.5315

EUR/GBP: SELL at 0.7335, TAKE PROFIT 0.7197, STOP LOSS 0.7400 (revised)

EUR/CHF: SELL at 1.0865, TAKE PROFIT 1.0713, STOP LOSS 1.0925

NZD/USD: BUY at 0.6745, TAKE PROFIT 0.6937, STOP LOSS 0.6680

____________________________________________________________

*Danske bank applies trailing stop orders (moved together with the price)

More:
http://fxbazooka.com/en/analitycs/show/6801

 

[riki143]

Forex Analytics
Trading plan for October 21

By Kira Iukhtenko


Forex economic calendar on Wednesday, October 21, is rather light. Pay special attention to the Bank of Canada meeting. Interest rate is expected to be left at 0.5%. However, the press-conference could bring a bunch of negative surprises for the Canadian economy. USD/CAD traded under pressure on Tuesday, but we are ready to go LONG on a fix above 1.3000 and with an initial target at 1.3060. Break higher will confirm an inverse “head-and-shoulders” formation and will be a broader bullish sign. Support lies at 1.2900.

Another attractive pair to trade in the coming sessions is GBP/USD. We advise going LONG on a fix above 1.5500 targeting 1.5580 (38.2% Fibonacci). Key support lies at 1.5410/00. Bank of England Governor Mark Carney will deliver a speech on Wednesday, while on Thursday the market will focus on the UK retail sales. Upbeat forecast could become a growth driver for the cable.

The major event of the week is the European Central bank meeting on Thursday. Rates are expected to stay on hold at 0.05%, while the Mario Draghi could deliver a cart of dovish comments later in the day or even announce an additional QE. EUR/USD break below the trend line at 1.1330 is a good moment to go SHORT. Major support is now seen at 1.1250 – break below will confirm the end of the mid-term bullish phase. Resistance – 55-week MA at 1.1450.

More:
http://fxbazooka.com/en/analitycs/show/6805

 

[riki143]

Forex Analytics
AUD/NZD: buy target - 1.0850
21 October 2015

By: Dmitriy Chernovolov

• AUD/NZD reached sell target 1.0700
• Next buy target - 1.0850

AUD/NZD recently reversed up sharply from the support zone (which also previously reversed the second intermediate wave (2) in May) lying between the support levels 1.0700 (sell target set in our previous forecast for this currency pair) and 1.0600. This support zone was strengthened by the lower daily Bollinger Band. The upward reversal from this support zone stopped the active minor impulse wave 3 (which belongs to the intermediate (C)-wave from the middle of September).

AUD/NZD is likely to correct up further toward the next buy target at the resistance level 1.0850. Strong support zone remains between price levels 1.0700 and 1.0600.

More:
http://fxbazooka.com/en/analitycs/show/6812

 

[riki143]

Forex Analytics
USD/JPY: buy target - 121.00
21 October 2015
By: Dmitriy Chernovolov

• USD/JPY reversed from pivotal support level 118.60
• Next buy target - 121.00

USD/JPY continues to rise inside the 3rd minor impulse wave – which started previously – when the pair reversed up sharply from the pivotal support level 118.60 (which has been reversing the price from the start of September). The last three upward reversals from this support level created the following Japanese candlestick reversal patterns (highlighted below) – Morning Star, Long-legged Doji and most recently – it created the daily Hammer.

USD/JPY is expected to rise further inside the active minor impulse wave 3 (which is a part of the intermediate impulse wave (5) from the end of August) toward the next buy target at the resistance level 121.00.

More:
http://fxbazooka.com/en/analitycs/show/6811

 

[riki143]

Forex Analytics
Danske Bank: trade signals for October 21

Open positions:*

EUR/USD: Hold LONG at 1.1350, TAKE PROFIT 1.1495, STOP LOSS 1.1290

USD/JPY: Hold LONG at 119.60, TAKE PROFIT 120.57, STOP LOSS 119.12

USD/CHF: Hold SHORT at 0.9540, TAKE PROFIT 0.9302, STOP LOSS 0.9601 (revised)

AUD/USD: Hold LONG at 0.7218, TAKE PROFIT 0.7497, STOP LOSS 0.7195

USD/CAD: Hold LONG at 1.2970, TAKE PROFIT 1.3177, STOP LOSS 1.2870

EUR/JPY: Hold SHORT at 136.22, TAKE PROFIT 133.99, STOP LOSS 136.76

EUR/GBP: Hold SHORT at 0.7335, TAKE PROFIT 0.7197, STOP LOSS 0.7400

EUR/CAD: Hold SHORT at 1.4715, TAKE PROFIT 1.4387, STOP LOSS 1.4855

GBP/JPY: Hold LONG at 183.20, TAKE PROFIT 187.37, STOP LOSS 183.45

NZD/USD: Hold LONG at 0.6745, TAKE PROFIT 0.6937, STOP LOSS 0.6680

Trade ideas:

GBP/USD: BUY at 1.5405, TAKE PROFIT 1.5659, STOP LOSS 1.5315

EUR/CHF: SELL at 1.0865, TAKE PROFIT 1.0713, STOP LOSS 1.0925

_____________________________________________________________

*Danske Bank applies trailing stop orders (moved together with the price)

More:
http://fxbazooka.com/en/analitycs/show/6813

 

[riki143]

Forex Analytics
Trading plan for October 22

By Kira Iukhtenko


All the commodity assets traded under pressure on Wednesday. Brent price slipped below 48 dollars per barrel, approaching the local 47 support (September lows). Meanwhile, Bank of Canada left monetary policy unchanged, but lowered economic projections for 2015-2017. As a result, USD/CAD jumped, reaching our recent target at 1.3060. The inverse head-and-shoulders pattern on the H4 chart was confirmed. We recommend going LONG on pullbacks to 1.3070.

AUD/USD is currently trading in a short-term bearish channel and approached the 0.7200 support. Go SHORT on a break below 0.7200 targeting 0.7160 initially or sell the Aussie on highs if they happen. We stay bearish below 0.7350.

The ECB meeting is the key event to watch on Thursday. We expect to hear dovish comments from the ECB president Mari Draghi, paving the ground for more QE in December. EUR/USD is forecasted to break out from the current sideways channel tomorrow. SELL the pair from 1.1330 targeting 1.1250 initially.

GBP/USD is also trading in a flat range these days. We still expect the cable to undertake another push higher, targeting 1.5580. However, do not go LONG before the pair fixes above 1.5500 on the daily chart. UK retail sales are expected to render some support to the pair tomorrow.

More:
http://fxbazooka.com/en/analitycs/show/6818

 

[riki143]

Forex Analytics
GBP/AUD: buy target - 2.1600
22 October 2015
By: Dmitriy Chernovolov

• GBP/AUD reached buy target 2.1400
• Next buy target - 2.1600

GBP/AUD continues to rise after the price recently broke above the resistance level 2.1400, which was set in our previous forecast as the buy target for this currency pair. The breakout of this resistance level is likely to accelerate the active intermediate impulse wave (5) – which started earlier this month, when the pair reversed up with the daily Morning Star reversal pattern from the strong support level 2.0860 (as you can see below).

GBP/AUD is expected to rise further in the active waves 1 and (5) toward the next buy target at the resistance level 2.1600 (standing close to the breakout level of the previous daily up channel from May).

More:
http://fxbazooka.com/en/analitycs/show/6824