Trade Pattern-Ideas

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Tue, 29 Jul 2014 13:08:09 GMT

EUR/GBP 4H Chart: Channel Down

The single currency is losing its position against major currencies including the cable, even despite disappointing news from the U.K. over the last week. Despite the fact the pair is approaching the recent high and daily R3 around 0.7932, the outlook still remains bearish. Aggregate technical indicators on a 4H and daily chart are suggesting a movement to the south,

Tue, 29 Jul 2014 12:57:09 GMT

EUR/USD 4H Chart: Channel Down

The EUR/USD currency cross was highly volatile over the last week, with its volatility index entering the turbulence zone for 35% of time. This week, the pair stabilized slightly above 1.34-mark. Following impressive moves the pair can fluctuate around the current price for some time, as technicals on a 4H and daily chart are neutral, while market sentiment is not

Tue, 29 Jul 2014 06:06:02 GMT

EUR/TRY 1H Chart: Double Bottom

A day earlier we examined a descending triangle pattern shaped by EUR/TRY; this time we are going to look at another formation – double bottom pattern shaped by the same instrument. Despite having bottomed out twice, the pair failed to reach the neck-line at 2.8286 during its rebound after the second drop. At the moment, the pair is located above

Tue, 29 Jul 2014 06:05:49 GMT

GBP/USD 1H Chart: Channel Down

GBP/USD has been following a bearish trend since mid-July when one of the most traded currency pairs attained 1.7192, the highest level since at least 2009. As a result, the currency couple shaped a 188-bar long channel down pattern, inside which it is trading at the moment. Now the pair is vacillating between the 50-hour SMA at 1.6982 and a one-month

Mon, 28 Jul 2014 13:53:08 GMT

GBP/NZD 1H Chart: Channel Up

Thanks to the strong support at 1.9370 GBP/NZD was able to commence a robust recovery earlier this month. This is evidenced by the currency pair forming a bullish channel. The near-term outlook, however, appears to be bearish, being that the price is currently fluctuating near the upper trend-line of the pattern. Accordingly, there is likely to be a downward correction,

Mon, 28 Jul 2014 13:16:10 GMT

EUR/CAD 4H Chart: Channel Down

Since last Friday when we were discussing EUR/CAD last time, the pair soared to the upper trend line. Short-term technical indicators are still sending ‘buy' signals, meaning the pair can move slightly above pattern's resistance, putting 1.4569 on the map. More than 70% of traders also support bullish scenario, however, the long-term pair's appreciation is under question. A slight majority

Mon, 28 Jul 2014 13:05:09 GMT

CHF/JPY 4H Chart: Channel Down

After hitting the high of 119.18 on December 27 the CHF/JPY currency pair began depreciating and hit this year's low on February 4 at 111.69. At the moment of writing the pair was changing hands at 112.60, just 91 pips above the above-mentioned level. A vast majority of trader (75%) are holding short positions on the pair, while technical indicators

Mon, 28 Jul 2014 07:59:04 GMT

GBP/NZD 1D Chart: Triangle

Since the second half of 2013 and until now GBP/NZD has been largely trading between 1.90 and 2.03 without any dedication neither to the bullish nor to the bearish side. Characteristic of this situation, the currency pair formed a symmetrical triangle, but has already broken it to the upside. However, given that the Sterling has just reached the first target

Mon, 28 Jul 2014 07:06:14 GMT

AUD/CAD 1H Chart: Channel Up

The pair of currencies used in two different parts of the world, AUD/CAD, has been tilted upwards since the very beginning of the month and on Jul 21 the instrument embarked upon formation of the bullish tunnel that now is over 110-bar long. AUD/CAD is likely to move in the northern direction before long as suggested by the SWFX numbers –

Mon, 28 Jul 2014 07:06:01 GMT

USD/NOK 1H Chart: Rising Wedge

Following a rise to a six-month high of 6.2648, USD/NOK was trading sideways, slightly below the recent peak. However, more than two weeks of tranquillity ended on Jul 21 when the instrument entered a rising wedge pattern. At the moment the pair is vacillating not far away from the upper boundary of the formation but the bullish trend is expected to

Mon, 28 Jul 2014 06:56:12 GMT

CHF/SGD 1H Chart: Channel Down

The beginning of July was a starting point of a long-lasting depreciation performed by CHF/SGD. Currently, the retreat is developing inside a 145-bar long channel down pattern and there are no indications of the pair's willingness to reverse its trend in the foreseeable future. The instrument is sitting in the upper range of the corridor but its ability to re-test the

Mon, 28 Jul 2014 06:55:58 GMT

EUR/TRY 1H Chart: Descending Triangle

A dive to a nine-month low of 2.8071 took place when EUR/TRY exited a 100-bar long descending triangle pattern started in the second part of July. Despite plunging to the recent low, the pair managed to confirm that the breakout was false by settling above the lower boundary of the formation at 2.8134 a few hours earlier. However, market players

Fri, 25 Jul 2014 12:12:09 GMT

EUR/CAD 4H Chart: Channel Down

The currency pair remains bearish since the second half of March and is likely to stay that way in the foreseeable future, given that it is trading between two parallel downward-sloping lines. However, if EUR/CAD rebounds from the Jan 6 low at 1.44 and pierces through the down-trend line at 1.4550, there will be a possibility of a double bottom

Fri, 25 Jul 2014 12:01:14 GMT

USD/DKK 4H Chart: Rising Wedge

Using the support at 5.4664 as a springboard USD/DKK was able to commence a strong recovery. However, while the technical Indicators suggest that the bullish potential has not yet been fully realised, there are concerns how sustainable is the current rally. The main counter-argument is represented by the pattern the currency pair is presently forming, namely the rising wedge. Accordingly,

Fri, 25 Jul 2014 07:20:59 GMT

GBP/JPY 1H Chart: Double Bottom

A rise to the seven-month high of 175.36 exhausted GBP/JPY potential and the pair was forced to commence a long-lasting decline that eventually pushed the instrument into a double bottom pattern. Although the currency pair started to erase losses after bottoming out at 172.62 for the second time two days earlier, the 50-hour SMA at 172.94 has been creating the

Fri, 25 Jul 2014 07:20:40 GMT

AUD/USD 1H Chart: Channel Up

Almost a hundred-bar long and more than a 90-pips wide bullish corridor is now being shaped by AUD/USD on a one-hour chart. Currently the instrument is moving in the northern direction and is likely to preserve this trend in the hours to come given the SWFX sentiment – more than 72% of market players hold long positions. To confirm prolong the

Fri, 25 Jul 2014 07:19:19 GMT

USD/CHF 1H Chart: Channel Up

Since mid-July, the U.S. Dollar has been appreciating against the Swiss Franc and on Jul 18 the pair embarked upon formation of the bullish tunnel that now is over 90-bar long. After a retreat that followed a rally to a six-month high of 0.9038 lying on the upper limit of the pattern, the pair was unable to re-approach the pattern's

Fri, 25 Jul 2014 07:18:55 GMT

CAD/CHF 1H Chart: Descending Triangle

A week of strong gains by CAD/CHF ended after Jul 20 when the pair touched a seven-month high of 0.8431. After that, the pair has been less volatile but mostly bearishly-biased, being bounded by the trend-lines of the 76-bar long descending triangle. At the moment, the Canadian Dollar is trading sideways compared to the Swiss Franc and notable changes in

Thu, 24 Jul 2014 14:19:16 GMT

EUR/SGD 4H Chart: Channel Down

A channel on EUR/SGD we have discussed several times in the past stays topical. The pair has recently confirmed the lower edge of the pattern. Consequently, it might be a good idea to stay away from this pair for now, until it finishes the upwards correction. The current rally is likely to extend through the nearest resistances, such as the

Thu, 24 Jul 2014 14:19:06 GMT

CAD/CHF 4H Chart: Channel Up

Considering the main peaks and valleys observed during the last two months, there seems to be a bullish channel emerging on the CAD/CHF chart. Accordingly, we expect the currency pair to surpass its recent high at 0.8421 and advance further North, towards the up-trend line at 0.85, where the Loonie may start a bearish correction. And most of the technical

Thu, 24 Jul 2014 06:34:05 GMT

USD/PLN 1H Chart: Double Top

The 50-hour SMA at 3.0740 seems to be strong enough not to allow USD/PLN to fall to the neck-line of the 150-bar long double top pattern. The short-term SMA has been acting as a strong support level for almost 12 hours and may continue doing so as over 70% of traders on the SWFX bet on appreciation of the pair

Thu, 24 Jul 2014 06:33:38 GMT

EUR/NOK 1H Chart: Channel Down

The Euro has been losing ground against the Norwegian Krone for around a week. While moving in the southern direction, EUR/NOK shaped a 141-bar long channel down pattern, inside which it is trading now and is likely to remain the foreseeable future. This is propped up by a strong bearish bias on the SWFX – over 90% of market

Thu, 24 Jul 2014 06:33:10 GMT

CAD/JPY 1H Chart: Ascending Triangle

CAD/JPY entered an ascending triangle pattern in mid-July; however, an upside pressure pertaining to the nature of the pattern may have failed to push the pair higher. In particular, CAD/JPY has exited the formation to the downside and given the proximity of the apex (it will be reached later in the day) the breakout may appear to be

Thu, 24 Jul 2014 06:27:40 GMT

EUR/TRY 1H Chart: Channel Down

EUR/TRY has been rapidly depreciating since mid-July. At that time the pair was caught by a downward sloping channel that sent the instrument to a seven-month low of 2.8115 on Jul 23. Currently the likelihood of continuation of the bearish tendency is rather high, especially given steepness of the pattern and the SWFX sentiment. According to the SWFX numbers, more

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