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Technical Overview of EUR/USD, GBP/USD, NZD/USD & USD/CHF: 13.03.2018

By:
Anil Panchal
Published: Mar 13, 2018, 11:46 UTC

EUR/USD With the failure to sustain its bounce off the 50-day SMA, EURUSD reignites the importance of the same SMA level before crucial inflation release.

Technical Overview of EUR/USD, GBP/USD, NZD/USD & USD/CHF: 13.03.2018

EUR/USD

With the failure to sustain its bounce off the 50-day SMA, EURUSD reignites the importance of the same SMA level before crucial inflation release. Should the CPI figures disappoint USD Bulls, the pair may continue recovering towards 1.2360 and then to the 1.2480 but a month-long descending trend-line, at 1.2420, could confine its following upside. In case if buyers refrain to respect the 1.2420 mark, the 1.2470, the 1.2520 and the 1.2555 may appear in their radars to target. Assuming the headline inflation gauge’s higher print favoring increased pace of Fed rate-hike, aforementioned 50-day SMA level of 1.2280 seems an immediate support to watch for traders, breaking which 1.2240 and the 1.2210 can entertain the sellers ahead of challenging them with the 1.2165-50 horizontal-region. Given the pair’s daily closing beneath the 1.2150, the 1.2090-85 and the 100-day SMA level of 1.2030 could become Bears’ favorites.

GBP/USD

Unlike EURUSD, the GBPUSD is near to more than six-week old descending trend-line, at 1.3945 now, that could offer strong resistance to the pair if it advances after the U.S. CPI. If prices rise beyond 1.3945, the 1.4000, the 1.4070 and the 1.4155 are likely consecutive levels to pop-up on the chart before highlighting the 1.4280 and the January high around 1.4345. Alternatively, the 1.3780, the 1.3715 and the 1.3655 shouldn’t be missed if the quote takes a U-turn from present levels. Moreover, the 1.3620-15 horizontal-area, 100-day SMA level of 1.3595 and an upward slanting trend-line stretched since late-August 2017, at 1.3495, could become crucial after 1.3655’s break.

NZD/USD

Considering the NZDUSD’s latest up-moves, the pair is likely running in direction to the 0.7345 and the 0.7365 resistances; though, it’s further rise may have to surpass the 0.7405 in order to aim for the 0.7435-40 zone. If at all the pair conquers 0.7440 on a daily closing basis, chances of its rally to the 61.8% FE level of 0.7470 and the 0.7500 mark can’t be denied. Meanwhile, the 0.7300 and the 0.7250 might act as immediate supports for the pair, which if broken could drag it to the 0.7200 and then to the 0.7185-75 support-zone, comprising 200-day SMA. Additionally, pair’s sustained downturn below the 1.7175 might not hesitate flashing 0.7140 and the 100-day SMA level of 0.7100 as supports.

USD/CHF

While pullbacks from 0.9535 couldn’t fetch the USDCHF beneath 0.9470-65 horizontal-line, it becomes wise to support the pair’s upside to 0.9500 and then to the 0.9535 should US details portrays that the world’s largest economy is finally heating and requires more rate-hikes than the Fed’s promised three. During the pair’s successful trading above 0.9535, the 0.9570 and the resistance-line of short-term ascending trend-channel, at 0.9590, gain importance, breaking which 0.9640 and the 0.9660-65 seem crucial to observe. On the downside, break of 0.9465 can avail 0.9440 and the channel-support, at 0.9400, as consecutive rests, clearing which 0.9355 and the 0.9320 can play their roles. Given the pair’s additional weakness below 0.9320, the 0.9285 and the 0.9250 may please the Bears.

Cheers and Safe Trading,
Anil Panchal

About the Author

An MBA (Finance) degree holder with more than five years of experience in tracking the global Forex market. His expertise lies in fundamental analysis but he does not give up on technical aspects in order to identify profitable trade opportunities.

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