EUR/JPY rebounded from the 123.00 level on the H4. The pair formed a “piercing line” pattern.
NZD/JPY will soon be out of the rage
Information is not investment advice
NZD/JPY has started recovering at the beginning of January. The pair consolidated in the middle of the bullish channel during the last 5 days. For now, it’s trading above the weekly pivot point at 76.06. The 50-day MA went above the 200-day MA forming a so-called “golden cross”. At the same time, if we check the monthly chart, we’ll see that the pair ran into the 100-month MA at 76.35, so the way up is not so easy either.
A spike in volatility may be expected this week on Thursday when New Zealand releases GDP figures. The forecasts are not that good. The decline below 76.00 will move NZD/JPY down to 75.60 (100-day MA, channel support). Buyers may reappear in this zone. At the same time, a break of the upper border of the consolidation range around 76.75 will open the way up to 77.30 (100-week MA).
NZD/CAD has reached a 200-week MA (0.8950) and formed a “shooting star” candlestick on the D1. On the H4, we see a lower high.
XAU/USD has moved this week in line with its short-term uptrend and the overall long-term uptrend reaching $1 865.
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Gold has started a remarkable downside correction and stands on the key 23.6% retracement area after a failure to hold the 38.2% retracement area.