Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
AUD, USD, NZD, EUR: technical layout
Information is not investment advice
The last Monday was depressive, Tuesday changed gears later in the day, while Wednesday is cautiously positive. Most currency pairs appear to be a bit confused by this scrambled beginning of the week. Consequently, charts are showing either consolidation or slow retraces on the previous moves.
Against both the US dollar and the Japanese yen, the AUD trades at the level were local uptrend and downtrend collide. The current disposition in line with the Awesome Oscillator suggests it may slide down to touch the supporting uptrend and eventually get back up to test the downtrend marked above.
NZD/CAD is showing a pure sideways motion since the first week of June. In the last episode, it inched above the channel’s resistance of 0.8780 and slid down to its support at 0.8720. The current local uptrend suggests it may be the beginning of another bullish wave – the Moving Averages will be capping and checking this upward intention.
The US dollar gave up a bit of its positions against the CAD, dropping down to the local support of 1.3510 in a downtrend since last Friday. Against the JPY, it is in fluctuation in the channel between the levels 107.50 and 107.20, currently testing the resistance of the 50-MA.
Against the USD, the EUR is crouching upwards after an undone peak at the beginning of the week. The resistance of the 50-MA at 1.1282 is being tested and will check if the current bullish push is enough to advance higher. Against the GBP, the EUR is dropping after a sharp drop on Tuesday – the bearish target lies at 0.8950.
This kind of market sentiment is pretty prone to quick changes on any income from the fundamental side. Meaning, as soon as there is any news that seems relatively important, these sluggish movements may quickly reverse or gain a higher pace. For this reason, watch the news carefully and prepare for some movement.
Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?
Today, at 5:00 pm (GMT +2), the Bank of Canada will publish the Overnight Rate, which represents short-term interest rates, and is pivotal to the overall pricing of the Canadian Dollar in the global markets. Let's look at how the markets are faring ahead of the BoC rates release.
In a call scheduled for January 25, 00:30 am GMT+2, Microsoft will publish the company's earnings for the final quarter of 2022 and comment on the results, projections, and outlook for the nearest future of the company.