2018-08-02
When the European market opens, some economic data will be released such as the results of the French and Spanish 10-y Bond Auctions, PPI m/m, and the Spanish unemployment change. The US will release economic data too such as the natural gas storage, factory orders m/m, unemployment claims, and challenger job cuts y/y. So amid the reports, EUR/USD will move in a low to medium volatility during this day.
TODAY'S TECHNICAL LEVELS:
Breakout BUY Level: 1.1721.
Strong Resistance:1.1714.
Original Resistance: 1.1703.
Inner Sell Area: 1.1692.
Target Inner Area: 1.1664.
Inner Buy Area: 1.1636.
Original Support: 1.1625.
Strong Support: 1.1614.
Breakout SELL Level: 1.1607.
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GBP/USD analysis for August 02, 2018
2018-08-02
Recently, the GBP/USD has been trading downwards. The price tested the level of 1.3067. Anyway, according to the M30 time frame, I found a potential end of the downward movement. The price stopped exactly at the support 2 (1.3073), which is a sign that selling looks risky. I also found 2 hammer candles, which suggests that buyers are taking control from sellers. My advice is to watch for potential buying opportunities. The upward targets are set at the price of 1.3098 and at the price of 1.3120.
Resistance levels:
R1: 1.3146
R2: 1.3170
R3: 1.3194
Support levels:
S1: 1.3098
S2: 1.3073
S3: 1.3050
Trading recommendations for today: watch for potential buying opportunities.
Analysis of Gold for August 02, 2018
2018-08-02
Recently, the Gold has been trading downwards. The price tested the level of $1,215.40. Anyway, according to the M30 time frame, I found a potential end of the downward movement. The price stopped exactly at the yesterday's level of $1,215.40, which is a sign that selling looks risky. My advice is to watch for potential buying opportunities. The upward targets are set at the price of $1,218.43 and at the price of $1,221.50.
Resistance levels:
R1: $1,221.50
R2: $1,227.45
R3: $1,230.50
Support levels:
S1: $1,212.49
S2: $1,209.45
S3: $1,203.50
Trading recommendations for today: watch for potential buying opportunities.
Fundamental Analysis of EUR/GBP for August 2, 2018
2018-08-02
EUR/GBP has been pushing higher despite the volatile momentum it has been struggling for a few months now. Both currencies in the pair are struggling fundamentally and technically which is a result of indecisive actions taken fundamentally and by the market participants.
Ahead of the GBP Official Bank Rate hike from 0.50% to 0.75%, the market is expected to be quite volatile which is expected to lead to certain spikes in the process. As of the Brexit impact and Trade War affecting the growth of the GBP in many ways, the Bank of England is currently looking forward to maintaining the Inflation rate at 2% to keep the economy stable. This is the second time after the big recession at a 2008-2009 session that the UK is increasing its Official Bank Rate. Some of the officials still believe that the UK should have increased the rate earlier to maintain the stability in the economy and by the next few years, there should be at least 2-3 rate hikes for the UK for better outcomes in the future.
On the other hand, ECB has been struggling as well about the recent economic reports including today's Spanish Unemployment Change increasing to -27.1k from the previous figure of -90.0k which was expected to be at -87.6k and PPI also decreasing to 0.4% from the previous value of 0.8% but it managed to be slightly above from the expected value of 0.3%.
As of the current scenario, GBP is all set to gain certain momentum over EUR while latest economic reports on the EUR side is still quite dovish and mostly indecisive. As Official Bank Rate of UK increases and any optimistic update from the BOE Inflation Report and UK Monetary Policy Summary publishes, GBP is expected to gain further momentum in the process against EUR in the coming days.
Now let us look at the technical view. The price has been quite bearish recently having a Bearish Divergence in place which pushed the price lower off the 0.8950 area with a daily close. Currently, the price is being held by the dynamic level of 20 EMA which is expected to push the price lower with a target towards 0.8850 in the coming days before showing any evidence of bullish intervention in the process. If price fails to push higher off the 0.8850 area, a daily close below 0.8850 is expected to inject impulsive bearish momentum in the pair in the coming days.
SUPPORT: 0.8850
RESISTANCE: 0.8950
BIAS: BULLISH
MOMENTUM: VOLATILE
Technical analysis of USD/CHF for August 02, 2018
2018-08-02
Overview:The USD/CHF pair is still set above the pivot point of the price 0.9857 since days. The USD/CHF pair faced resistance at the level of 0.9943. The strong resistance has been already formed at the level of 0.9943 and the pair is likely to try to approach it in order to test it again. However, if the pair fails to pass through the level of 0.9943, the market will indicate a bearish opportunity below the new strong resistance level of 0.9943 (the level of 0.9943 coincides with a ratio of 50% Fibonacci and 61.8%). Moreover, the RSI starts signaling a downward trend, as the trend is still showing strength above the moving average (100) and (50). Thus, the market is indicating a bearish opportunity below 0.9943, so it would be good to sell at 0.9940 with the first target of 0.9795. It will also call for a downtrend in order to continue towards 0.9733. The daily strong support is seen at 0.9733. On the other hand, the stop loss order should always be taken into account, for that it will be reasonable to set your stop loss at the level of 1.0053.
Technical analysis of NZD/USD for August 02, 2018
2018-08-02
Overview:The NZD/USD pair continues to trade downwards from the levels of 0.6807/0.6840 (bearish channel).
The pair has dropped from the level of 0.6807 to trade around the 0.6824 level. This level of 0.6807 coincides with the minor resistance today.
Today, the first resistance levels are seen at 0.6807/0.8640 followed by 0.6880, while daily support 1 is found at 0.6742.
Also, the level of 0.6775 represents a key price today for that it is acting as major resistance/support this week.
Amid the previous events, the pair is still in a downtrend, because the NZD/USD pair is trading in a bearish trend from the new resistance line of 0.6807 towards the first support level at 0.6742 in order to test it.
If the pair succeeds to pass through the level of 0.6742, the market will indicate a bearish opportunity below the level of 0.6742. Then, resell again at the price of 0.6742 with the targets of 0.6716 and 0.6697.
On the other hand, if a breakout happens at the resistance level of 0.6840, then this scenario may be invalidated.
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