FOREX CHART ANALYSIS FEB 11 - NOT MUCH TO TRADE
The first session of the week did not have noticeable variables, but today Mr. Powell will have a hearing, so remember to pay special attention to the USD. We shall see what forex trading strategies we should use today.
- A bit of optimism appeared in the first sessions of the week amid some early signs that the spread of the Wuhan pandemic could slow down and when some large businesses resumed work in China after the Lunar New Year holiday.
- Gold is stable despite the strength of the Dollar, the instability around the Wuhan flu still makes gold attractive and limits its losses against the USD.
- Oil is trading stably from the beginning of the session after 5 consecutive weeks of decline, causing it to lose 22%, officially falling into the "bear market". The impetus from the supply cut was also diminished after the Russian Energy Minister delayed the approval of OPEC's proposal to cut an additional 600,000 barrels a day. He noted that Moscow needs more time to assess the situation.
- People’s Bank of China policy council member Ma Jun said authorities should consider lowering interest rates to help businesses get through this difficult time.
- The EU investor confidence index has eased slightly after reaching the highest level since November 2018 in January as fears of a flu pandemic have been spreading for weeks.
USDJPY pair did not change much. The MA20 line on the daily chart still holds. We still maintain the view of yesterday as buying in the uptrend thanks to the signals on the daily chart and H4 chart. Buy now. Or if you are more careful, wait at 109.
The price officially broke the support level of 1,093 and is heading to the bottom of 1,088. Looking at the signal and the downtrend on the weekly chart, it is likely that the downtrend will continue in the medium to long term, especially when the bottom area for more than 2 years has been broken. However, in the short term, the market is in the state of oversold may appear to adjust. In short, anyone who is trading in a short-term downtrend should exit or postpone the Stop Loss. If medium-long term, keep the order. If it is reversal, you have not entered this zone yet, but wait for the signal.
The price corrected slightly in the first session of the week but it was not worrisome. The rising signal is quite weak and the MA20 and resistance are still strong. Continue to follow the bearish view and keep the sell orders. The target area is 1.275 - 1.277.
USDCAD is still going up the hard way. MA20 is still maintained. However, as warned many times before, the rally is very urgent. Adjustments may come at any time. Do not continue buying and wait for a short opportunity at the zone of 1.335.
The price bounced back at the bottom of 0.667. This is a very strong support zone, but the rebound is very weak, which is an ominous signal for those who want to join the long side. Temporarily if there is no command, we continue to observe and wait for more signals before acting. Remember that when a critical area is broken, prices can move very quickly and sharply.