FOREX CHART ANALYSIS MAR 17 - BE CAREFUL!

Mar 17, 2020
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More historical figures were written in the first session of the week. With current market conditions, think about the risks before you think of earning some pips! Let's take a look at the charts and find out which trading strategies we should use today.

Latest updates:

  • At the beginning of the new week, bonds surged while the stock markets collapsed when the Fed made an unexpected emergency easing to deal with the covid-19 epidemic.
  • A series of easing measures of FED in the first session of the week have deepened the anxiety of some investors about the effectiveness of stimulus measures from policy makers.
  • China's industrial output dropped by 13.5% in the first two months of 2020 due to the corona virus - the strongest plunge in three decades. These data show a small probability of a shrinking economy in Q1. Government policy will need to be focused on preventing large-scale bankruptcy and unemployment.

USD/JPY

The price could not fill the gap before there were some bearish signals and the price fell to the lower boundary of the up channel. Although the current price is also a resistance area, it is suspended in the middle of the channel, so limiting the trading of this price area. Today's session is expected to approach the peak of 108.3 and rebound.

EUR/USD

The price bounced back quite well from the MA30, where the confluence with the resistance line of 1.12. However, the price could not break the level of 1.10. In the short term, prices will fluctuate within range. You may consider trading at this range when the RR allows.

GBP/USD

Price has reached an extremely important resistance area. Although there have not been any noticeable signals on the H4 chart, there is a giant doji on the daily chart. Expect to see an upward revision from the current price level before continuing the previous downtrend. Note: be careful with the Stop Loss sweep.

USD/CAD

Although there was a time to penetrate the MA20, the price was later denied quite strong and is now returning to test the stiff resistance zone 1.40. Still holding the view that this is a resistance area not easily broken. The RR level in this area is quite good, so if there is noticeable dropping signal, you can consider short order. Note must not "forget" to set Stop Loss for this area.

AUD/USD

Price is still accumulating around the 0.610 zone. The longer the accumulation time, the less chance for you to hit the wave recovery. The general trend is still down, but it is likely to be corrected. We still prefer to buy in the short term when there is a clear signal, but to be safe, wait for a Stop Loss scan or when the price approaches the round number 0.60.