FOREX CHART ANALYSIS MAR 5 - MAKING PREDICTIONS


Fluctuation has dropped significantly since yesterday. However, this is probably just the accumulation waiting for important news tomorrow - non-farm payrolls data of the US. Let's take a look at the charts today and see what forex trading strategies we should prepare for the future.

Latest updates:

  • BoC followed in the footsteps of the Fed, lowering the benchmark CAD rate by 0.5% last night.
  • The ECB's rate-setting council conducted a teleconference at the end of Tuesday to assess the impact of the corona virus but policy actions were not accompanied, Reuters sources said.
  • Bank of Japan Governor,Mr. Haruhiko Kuroda, on Wednesday said the corona virus outbreak could cause great damage to the economy, stressing the readiness of the BoJ to take appropriate action. The Japanese economy was expected to recover in the current quarter, but the sudden epidemic hurt exports and consumption through the decline of Chinese tourists.
  • So far, market expectations for a reduction in oil production are still around 1 million bpd.
  • Market is priced. The Bank of England will lower the GBP interest rate to ~ 0.32% at the meeting on March 26, corresponding to a decrease of 40 basis points.

USD/JPY

There are no major changes on USDJPY. Price approached the MA20 as expected. You can sell at this price. If more careful, wait at the upper boundary of the descending channel. If the price can penetrate the 107 zone, the target will be the 105.8 zone.

EUR/USD

The sell orders are very good profit, although it has not been able to penetrate the price of 1.10 but the selling pressure is gradually returning. Continue to keep short-term orders, and move Stop Loss or exit partial orders to reduce risk.

GBP/USD

The price only dropped slightly at the beginning of the session but couldn't penetrate the 1,277 price area. The recovery at the end of the session is bringing changes. Specifically, the daily chart appeared a reverse hammer pattern and a set of 3 reversing candles. Therefore, it is likely that the price will go up to the upper trend line today. Not recommended to buy at this time because the RR level is not good.

USD/CAD

Although the interest rate was lowered significantly, CAD did not weaken too much before USD. The important resistance zone of 1,345 has not been broken. Keep watching selling in the short term. The target is still the lower boundary of the up channel.

AUD/USD

Price is showing signs of breaking down of the downtrend line, so we still keep our short-term uptrend view for this pair. If a buy order is made, keep holding and moving a Stop Loss. If not, wait for a buy signal at the MA20. The immediate target is the 0.668 zone.

Mario Draghi
Mario Draghi
Hey, I’m Mario Draghi. I’m a writer currently resided in Thailand. For my forex experience, I have been working with brokers and trading for 5 years. Hope that you'll enjoy my articles about all forex-related matters.

1 Comments

  1. trishawg60 says:

    Great content! The website provide Forex news

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