Technical Analysis

The USD is lower after the US jobs report which came in weaker than expectations with non-farm payroll rising just 114K versus 175K estimate. The unemployment rate pushed up to 4.3% from 4.1% estimate and 4.1% last month. Average earnings were weaker at 0.2% versus 0.3%. Finally, the average workweek fell from 34.2 hours from

The major indices are opening lower with the NASDAQ leading the way. Yesterday the: S&P fell -1.37% Dow industrial average fell -1.21%. NASDAQ -2.3% Russell 2000 index fell -3.03% A snapshot of the major indices shows:. Dow Industrial Average average is down -511.4-1.27% at 39850 S&P index is down -89.0-1.64% at 5356 NASDAQ index is

The Nasdaq index opened lower, rallied up and briefly moved above the 100-day MA at 16876.83 Just above that sits at the 50% of the move up from the May low to the July high. That level came in at 16946.92. THe high price today reached 16920.63 between the two levels. Buyers turned to sellers.

The USDCHF has moved sharply lower today on the back of the weaker US jobs report, sharply lower yields, and lower stocks. The CHF tends to be a safe-haven currency in times of trouble, and that is what we are seeing in the fair today as it races away from its 100 hour moving average.

The GBPUSD is higher on the day in sympathy with the dollar selling after the weaker US jobs report. However, the move to the upside did find willing sellers near a swing area target area between 1.2644 and 1.2667. That area did stall earlier rallies this week ahead of the interest cut by the BOE

The old adage is that if the US catches a cold, Canada gets the flu. The market is certainly sending warning signals about the US economy as yields plunge but USD/CAD hasn’t made a decisive move yet. But that moment might not be far off as the pair threatens a trio of highs from the

The USDCHF is trading back to the low from earlier today at 0.87277. That level corresponds to the low from March 8 at 0.8728 (see red circle 3) and a swing high going back to January 23 at the same level. (see red circle 1). So far support is holding. The topside resistance now is

High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not

The EURUSD has continued its move to the downside and currently is printing new session lows for the day and testing the 50% midpoint of the move up from the June 26 low. Earlier today, the low price reached 1.08059. The 50% midpoint comes in 1.08061. The price just reached a new day low of

The EURJPY moved higher earlier today, breaking above the 100-hour MA (blue solid line on the chart below) in the process (currently at 166.679. The subsequent move higher extended toward the 100-day MA (step blue line on the chart below) in the Asian and early European session, but fell short of that target at 167.98.

The USDCHF stretched higher yesterday to start the trading week, and in doing so moved toward the key 200-day MA/38.2% of the move up from the December 2023 low. Those levels came in near 0.8879 to 0.8883 respectively. The high price reached 0.8867 today (close but still a safe distance from the 200-day MA). Staying

The price of crude oil is settling at $75.81. That is down $-1.35 or -1.75%. The high-priced today reached $77.69. The low price was at $75.35. The low was the lowest since June 7. Fundamentally, summer doldrums with weak demand from China is being offset by Middle East violence. Technically looking at the daily chart,

When technical levels overlap and find sellers (or buyers) leaning against that level, it should raise an antenna for traders as a “key risk focused level”. That is, if the price cannot get back above that level, the sellers (or buyers) are in control. Moreover, if multi-time frames (i.e. daily, or 4-hour , hourly, etc)

As the North American session begins, the AUD is the strongest and the JPY is the weakest. That combination reverses what has been more of a familiar theme with the AUD (or NZD) weakest and the JPY the strongest. Not surprisingly, there is a rebound in US stocks in the pre-market which is helping the

In the kickstart video for July 26, 2024, I take a look at three other major currency pairs from a technical perspective – the EURUSD, USDJPY and GBPUSD. The EURUSD is trading up and down over the last three trading days. In the buyer’s favor, the low price today stalled ahead of its 38.2% retracement

The AUDUSD and NZDUSD have been running in tandem this week to the downside, but the NZDUSD has seen more downside momentum. Yesterday, the AUDUSD fell below its key 200 day moving average and 50% retracement near 0.6583 and 0.6579 respectively. The price then increase momentum with a break below the 61.8% retracement of the

The US stocks are moving lower with the broader S&P and Nasdaq indices below the midpoint of the days trading ranges. The indices still remain higher on the day, but in a week that has seen sharp moves lower, the leaking back to the downside is a disappointment. Looking at the Nasdaq, it is still

High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance. You could lose some or all your initial investment; do not