Forex crosses technical analysis 1/25/2017

Forex crosses technical analysis EURJPY, NZDJPY, AUDJPY, USDSEK, USDNOK, GBPAUD, GBPNZD

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EURJPY

EURJPY has broken below consolidation triangle. Look for short entries on a possible bearish retest reaction from 122 level targeting 118. This will also depend on an EUR weakness across the market. If the pair closes daily above 122 we could see this as a false break and continuation higher. The pair is retesting the broken consolidation triangle.

 

NZDJPY

The pair is above 81.797 level and could continue higher into 83.740, but it depends on NZD positioning in the market. Below 81.400 we could see a strong 80.800 support retest for continuation downside.

AUDJPY

The pair is back again to a strong support 85.400 level after a brief run upside. Below this level, we could see deeper downside correction especially in the case of a break below 85 level. If we get another bounce look upside targeting 87.

USDSEK

The pair has reached strong uptrend support, Pitchfork channel uptrend line, 8.8400 level. The pair is in a wedge. In order to break a wedge, we need to see a close above 9.0300. Below 8.8300 there is a scope for further downside into 8.500-8.600 zone. Look only for long trades here with SL below 8.8000 level.

 

USDNOK

The pair is on hold by a falling Pitchfork channel and long term Pitchfork channel edge. Strong support zone 8.3000-8.3500. Look for longs here with the stop loss below 8.3000 level. Only a daily break below 8.3000 level would lead to a deeper correction.

 

GBPAUD

The pair has broken below consolidation box 1.6738 level. Now the pair is retesting broken 1.6700 level. Reaction from this level is important for more upside and a push into 1.6900 or continuation downside into 1.6100 level.

 

GBPNZD

Similar to GBPAUD, GBPNZD has broken below consolidation triangle 1.7360 level. The broken level is on a retest now and a break above could lead to and upside test of 1.7500. Look for reaction from this level for a possible downside continuation and a retest of lower 1.6800 level.

 

Crosses are simply a measure of the relative strength of an individual currency against the dollar. Crosses are distinguished by the fact that they do not include the dollar as either the numerator or the denominator of the pair. As such, they offer traders a tremendous opportunity to make far more nuanced bets in the currency market than the simple pro- or anti-dollar trade.

What makes crosses especially interesting to currency traders is the fact that they can provide much cleaner trend or range signals which will be unaffected by the day-to-day oscillations of the greenback.

Technical analysis is just an indication of possible price movement and does not indicate any trade action which could be initiated by investors and members of this site.