GBPNZD has just recently broken out of a down pennant formation near a significant low. This shows the market lacks the necessary strength to push through the support area. Also after breaking the upper containing trend line the market started to move sideways forming a congestion area(green rectangle). This provide a good risk reward ratio for entering the market on the long side.A stop loss should be placed just below the congestion area and the take profit should be where the most recent swin…
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EUR/PLN Still in that Multi-Year Range
The 5.5 years long range in the EUR/PLN is still in play. Since the start of 2011 this pair has moved without a clear trend or direction. We opened 2012 at 4.4464 and we're currently quoted at 4.2518. This is around 4.3 percent, a negligible amount for several years of trading in forex.
On the weekly chart above we see the multiple years range the pair has been stuck in. The high of this range is at 4.60 while the low is at 3.95. But these are only the price extremes. The majority of the time th…
On the weekly chart above we see the multiple years range the pair has been stuck in. The high of this range is at 4.60 while the low is at 3.95. But these are only the price extremes. The majority of the time th…
Multiple Years Range Remains Unbroken
The 5 years long range in the EUR/PLN is still in play. Since the start of 2011 this pair has moved without a clear trend or direction. We opened 2012 at 4.4464 and we're currently quoted at 4.1782. This is around 6 percent, a negligible price difference for several years of trading in the forex market. Most currency pairs moved that much in a two-three months.
If that doesn't convince you of the mean reverting nature of this pair then take a look at the blue line in the chart above. This is the…
If that doesn't convince you of the mean reverting nature of this pair then take a look at the blue line in the chart above. This is the…
Five-years-long Range Still in Play
The 5 years long range in the EUR/PLN is still in play. Since the start of 2011 this pair has moved without a clear trend or direction. We opened 2012 at 4.4464 and we're currently quoted at 4.2303. That's just above 4.7 percent, negligible for several years of trading.
In addition to this the chart clearly shows that the price remains inside the bounds of this range, with a high at 4.5961 and a low at 3.9661.
On the lower time-frame chart below we can see that the situation looks somewhat simil…
In addition to this the chart clearly shows that the price remains inside the bounds of this range, with a high at 4.5961 and a low at 3.9661.
On the lower time-frame chart below we can see that the situation looks somewhat simil…
EUR/SEK Still in Years-Long Range
The EUR/SEK has been trading in years-long range. It briefly ventured outside of the bounds of this range immediately after the mayhem post-Trump election. This period is marked with a large rectangle. Soon after sanity returned, as can be seen on our first chart below.
The second picture shows a more recent snapshot from the latest month. We opened at 9.5573, then rallied to a high of 9.6295 only to get sold into a low of 9.4560 just few days later. From here however we got yet another mean-rev…
The second picture shows a more recent snapshot from the latest month. We opened at 9.5573, then rallied to a high of 9.6295 only to get sold into a low of 9.4560 just few days later. From here however we got yet another mean-rev…
Another Range-Bound Month for the Euro
The Euro had another range-bound month. We opened March at 1.0576, first traded to a low of 1.0494, then to a high of 1.0906, only to fall back down to 1.0654 today.
The chart above shows this volatile but ultimately indecisive market movement. On our second chart below we can see that this range-bound movement has been happening for the past few months, not just one month. The large rectangle on this chart shows March while the smaller ones show important turning points in the market.
Notice ho…
The chart above shows this volatile but ultimately indecisive market movement. On our second chart below we can see that this range-bound movement has been happening for the past few months, not just one month. The large rectangle on this chart shows March while the smaller ones show important turning points in the market.
Notice ho…
More of the Same in EUR/TRY
The EUR/TRY looks set for more of the same. In order to explain why, let us first look at what transpired in this pair during March. We opened the month near the 3.8500 level as can be seen on the chart below.
From here we rallied all the way up to 4.0168, only to get sold aggressively in the next few days to a low of 3.8825. After a dead-cat bounce the move lower continued until finally we closed March at 3.8687, less then half-percent from the monthly open. The second chart below shows the pic…
From here we rallied all the way up to 4.0168, only to get sold aggressively in the next few days to a low of 3.8825. After a dead-cat bounce the move lower continued until finally we closed March at 3.8687, less then half-percent from the monthly open. The second chart below shows the pic…
AUD/NZD in Range on Multiple Timeframes
The AUD/NZD has been trading in a tight 550 pips range since July of 2016. On our first chart below we can see that the high of this range is around 1.0770 while the low is at 1.0220.
Zooming out a bit we're seeing another range, inside which the range above can be placed. In fact the AUD/NZD has been congested since the start of 2014. A situation of two years lack of trends is not an easy thing to overcome. Thus I'm placing my forecast at 1.0653, close to the current price.
Zooming out a bit we're seeing another range, inside which the range above can be placed. In fact the AUD/NZD has been congested since the start of 2014. A situation of two years lack of trends is not an easy thing to overcome. Thus I'm placing my forecast at 1.0653, close to the current price.
Years Long Congestion Persists in EUR/PLN
The +5 years long congestion in the EUR/PLN continues. Since the start of 2011 this pair has moved without a clear trend or direction. We opened 2012 at 4.4464 and we're currently quoted at 4.3024. That's just above 3 percent, negligible for several years of trading.
On the lower time-frame chart below we can see that the situation looks very similar. There's lack of clear direction with prices swinging back and forth.
This just underscores how range-bound this pair has become. Becaue of this I'…
On the lower time-frame chart below we can see that the situation looks very similar. There's lack of clear direction with prices swinging back and forth.
This just underscores how range-bound this pair has become. Becaue of this I'…
Singapore Dollar Back to Long-Term Fair Value
After some volatility, especially right after last year's election of Donald Trump, the USD/SGD seems to be coming back to its long-term fair value. On our first chart below we can see that the pair is now trading near the 1.4000 round figure.
This is the same price as back in August of 2015. So 18 months later and the pair hasn't made any gains. We can safely say that the bullish trend is in remission.
On our final chart below we see that even on the lower time-frames the USD/SGD remains undeci…
This is the same price as back in August of 2015. So 18 months later and the pair hasn't made any gains. We can safely say that the bullish trend is in remission.
On our final chart below we see that even on the lower time-frames the USD/SGD remains undeci…