Daily Market Analysis By FXOpen

[FXOpen Trader]

EUR/USD and EUR/JPY Could Climb Further Higher


EUR/USD is eyeing an upside break above the 1.0750 resistance zone. EUR/JPY is rising and might climb further higher above the 142.50 resistance.

Important Takeaways for EUR/USD and EUR/JPY

• The Euro started a fresh increase above the 1.0650 resistance zone.
• There is a key contracting triangle forming with resistance near 1.0745 on the hourly chart.
• EUR/JPY started a strong increase and settled above the 142.00 support zone.
• There is a major bullish trend line forming with support at 141.20 on the hourly chart.

EUR/USD Technical Analysis

The Euro formed a base above the 1.0500 zone and started a decent increase against the US Dollar. The EUR/USD pair was able to clear the 1.0550 and 1.0580 resistance levels.

There was a clear move above the 1.0650 level and the 50 hourly simple moving average. The pair even climbed above 1.0700 and traded as high as 1.0760 on FXOpen. Recently, there was a downside correction below the 1.0750 support zone.

EUR/USD Hourly Chart


On the downside, the pair might find support near the 1.0720 level. The next major support sits near the 1.0695 level. The 23.6% Fib retracement level of the upward move from the 1.0482 swing low to 1.0760 high is also near 1.0695, below which the pair could even test the 1.0650 support zone.

If there is a downside break below the 1.0650 support, the pair might accelerate lower in the coming sessions. In the stated case, it could even test 1.0620 or the 50% Fib retracement level of the upward move from the 1.0482 swing low to 1.0760 high.

On the upside, an immediate resistance is near the 1.0750 level. There is also a key contracting triangle forming with resistance near 1.0745 on the hourly chart.

The next major resistance is near the 1.0780 level. A clear move above the 1.0780 resistance might send the price towards 1.0850. If the bulls remain in action, the pair could visit the 1.0950 resistance zone in the near term.

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Disclaimer: This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

[FXOpen Trader]

FTSE 100 rockets to 1 year high! Will it reach 8,000?


Today, London's stock market is experiencing a bonanza, as the FTSE 100, which is the index that includes the 100 most prestigious and well capitalized blue-chip companies which are listed on the London Stock Exchange, has rocketed to an astronomic 7,741 points.

This represents the highest level that it has reached in over one year, by quite some margin.

In fact, today's lofty value demonstrates a level that the FTSE 100 index did not even come close to during the entirety of 2022.

It was only a year and a half ago that the news channels were awash with sensationalism as the FTSE 100 index broke past the 7,000 mark, and now, at over 7,740, it is heading for the 8,000 mark!

There has been tremendous volatility within corporate stocks over the past two years, especially within the indices because these contain a range of different companies in different sectors, and whilst in 2020 and 2021 the big pharmaceuticals boomed, the travel and hospitality industries paid a large price for draconian lockdowns.

Equally, traditional goods manufacturers had their fortunes hampered by logistical problems which meant getting materials and goods from suppliers was difficult enough to cause them to be unable to deliver enough goods to meet orders. House builders did well because of the short-term break in stamp duty resulting in investors buying up smaller value properties, however the reintroduction of that plus rising interest rates curtailed that boom swiftly.

In 2022, it was all about energy companies and 'big oil', which boomed as the supply could not meet the demand, whereas some tech stocks and airline stocks languished.

Some analysts are saying that today's FTSE 100 high value, which comes after a continued upward direction since the beginning of this year, has been helped by seasonal retail buying as JD Sports and Sainsbury's made bumper profits.

JD Sports, one of Britain's largest national chains of sportswear, reported revenues growth for the 22 weeks to 31 December of more than 10%, which compared with growth of 5% over the first half of its financial year.

Sainsbury’s, one of the UK's largest supermarket chains stated that trading in general merchandise had been stronger than expected, with overall like-for-like sales growth of 5.9% in the 16 weeks to 7 January reflecting inflation and “relatively resilient” volume trends.

There is certainly a lot of volatility in the blue-chip stocks, which is a relatively new dynamic as such large firms which go to make up indices such as the FTSE 100 are traditionally very slow movers in terms of stock value, largely due to their conservative positions and need to please long-term shareholders.

Making this a little more interesting is FX Open's recent decision to remove commission from all index CFDs, therefore trading the FTSE 100 is now commission-free, adding to the excitement of this week's volatile markets.

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Disclaimer: This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

[FXOpen Trader]

ETHUSD and LTCUSD Technical Analysis – 12th JAN, 2023


ETHUSD: Bullish Harami Pattern Above $1237

Ethereum was unable to sustain its bearish momentum and after touching a low of 1237 on 06th Jan, the price started to correct upwards against the US dollar crossing the $1400 handle today in the European trading session.

The prices are ranging near a new record high of 1 month.

We have seen a bullish opening in the markets this week.

We can clearly see a bullish harami pattern above the $1237 handle which is a bullish pattern and signifies the end of a bearish phase and the start of a bullish phase in the markets.

ETH is now trading just above its pivot level of 1398 and moving in a strongly bullish channel. The price of ETHUSD is now testing its classic resistance level of 1401 and Fibonacci resistance level of 1403 after which the path towards 1500 will get cleared.

We have also seen the formation of an upside gap in the 15-minute time frame indicating the bullish nature of the markets.

The relative strength index is at 70.66 indicating a strong demand for Ether and the continuation of the buying pressure in the markets.

The Williams percent range is indicating an overbought market, which means that the price is expected to decline in the short-term range.

Most of the technical indicators are giving a STRONG BUY market signal.

Most of the moving averages are giving a STRONG BUY signal at the current market levels of $1399.

ETH is now trading Above both the 100 hourly simple and 200 hourly exponential moving averages.

• Ether: bullish reversal seen above the $1237 mark
• The short-term range appears to be strongly bullish
• ETH continues to remain above the $1350 level
• The average true range is indicating HIGH market volatility

Ether: Bullish Reversal Seen Above $1237


ETHUSD continues to trade higher against the US dollar and bitcoin. The price of Ethereum remains supported above the $1300 level and now we are testing the break of the $1500 handle.

The momentum Indicator is back over zero in the weekly time frame.

We can see the formation of a bullish price crossover pattern with moving average MA20 in the weekly time frame.

The resistance of the channel is broken in the daily time frame indicating bullish trends.

ETHUSD touched an intraday low of 1341 in the Asian trading session and an intraday high of 1417 in the European trading session today.

The daily RSI is printing at 75.77 indicating a STRONG demand for Ether in the long-term range.

The key support levels to watch are $1275 at which the price crosses 9-day moving average and at $1313 which is a 38.2% retracement from a 4-week high.

ETH has increased by 4.62% with a price change of 61.65$ in the past 24hrs and has a trading volume of 9.607 billion USD.

We can see an increase of 74.76% in the total trading volume in the last 24 hrs which is due to the heavy buying pressure seen in the global markets.

The Week Ahead

ETH has already made a successful attempt at crossing the $1400 level and the next targets are located at $1500 and $1600 levels in the medium-term.

We can see the formation of an ascending channel from $1237 towards $1421.

The immediate short-term outlook for Ether has turned strongly bullish, the medium-term outlook has turned bullish, and the long-term outlook for Ether is neutral under present market conditions.

The resistance zone is located at $1413 which is a 1-month high, and at $1442 which is a 38.2% retracement from a 13-week high.

The weekly outlook is projected at $1550 with a consolidation zone of $1500.

Technical Indicators:

The STOCH (9,6): is at 57.42 indicating a BUY

The MACD (12,26): is at 16.00 indicating a BUY

The ultimate oscillator: is at 51.75 indicating a BUY

The rate of price change: is at 4.24 indicating a BUY

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Disclaimer: This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

[FXOpen Trader]

Gold Price and Crude Oil Price Extend Gains


Gold price is gaining pace above the $1,870 level. Crude oil price is also rising and might clear the $80 resistance zone in the near term.

Important Takeaways for Gold and Oil

• Gold price started a strong increase and tested $1,900 against the US Dollar.
• There is a key bullish trend line forming with support near $1,885 on the hourly chart of gold.
• Crude oil price started a fresh increase from the $74.00 support zone.
• There is a major bullish trend line forming with support near $75.40 on the hourly chart of XTI/USD.

Gold Price Technical Analysis

Gold price formed a base above the $1,820 level against the US Dollar. The price started a strong increase above the $1,840 and $1,850 resistance levels to move into a positive zone.

The bulls even pumped the price above the $1,880 and the 50 hourly simple moving average. The price even tested the $1,900 level. A high is formed near $1,901 on FXOpen and the price is now consolidating gains.

Gold Price Hourly Chart


An immediate support on the downside is near the $1,894 level. It is close the 23.6% Fib retracement level of the upward move from the $1,871 swing low to $1,901 high.

The next major support is near the $1,885 level. There is also a key bullish trend line forming with support near $1,885 on the hourly chart of gold. The trend line is near the 50% Fib retracement level of the upward move from the $1,871 swing low to $1,901 high.

The next major support is near $1,882, below which there is a risk of a larger decline. In the stated case, the price could decline sharply towards the $1,865 support zone.

On the upside, the first major resistance is near the $1,900 level. The next key hurdle is near the $1,912 level, above which it could even test $1,925. A clear upside break above the $1,925 resistance could send the price towards $1,950.

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Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

[FXOpen Trader]

Watch FXOpen's January 9 - 13 Weekly Market Wrap Video

In this video, FXOpen UK COO Gary Thomson sums up the week’s happenings and discusses the most significant news reports.

• Major events of the coming days
• GBP/USD and GBP/JPY aim higher
• FTSE 100 rockets to 1 year high! Will it reach 8,000?
• The financial market is preparing for a shake-up

Watch our short and informative video, and stay updated with FXOpen.




FXOpen YouTube


Disclaimer: This forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

[FXOpen Trader]

GBP/USD Gains Pace While EUR/GBP Corrects Lower


GBP/USD started a fresh increase above the 1.2200 resistance zone. EUR/GBP is slowly moving lower below the 0.8880 support zone.

Important Takeaways for GBP/USD and EUR/GBP

• The British Pound started a fresh increase above the 1.2200 resistance against the US Dollar.
• There is a key bullish trend line forming with support near 1.2220 on the hourly chart of GBP/USD.
• EUR/GBP started a downside correction below the 0.8880 support zone.
• There was a break below a connecting bullish trend line with support near 0.8860 on the hourly chart.

GBP/USD Technical Analysis

The British Pound remained well bid above the 1.2120 level against the US Dollar. The GBP/USD pair gained pace above the 1.2200 level to move into a positive zone.

There was a clear move above the 1.2220 level and the 50 hourly simple moving average. The bulls seem to be in control and a high is formed near 1.2287 on FXOpen. It is now consolidating gains and showing positive signs above the 1.2250 level.

GBP/USD Hourly Chart


On the upside, an initial resistance is near the 1.2300 level. The first major resistance is near the 1.2320 level. A clear move above the 1.2320 level could spark a decent increase.

The next major resistance sits near the 1.2200 level. Any more gains might send the pair towards the 1.2400 resistance zone. On the downside, an initial support is near the 1.2250 level or the 23.6% Fib retracement level of the upward move from the 1.2150 swing low to 1.2287 high.

The next major support is near the 1.2220 level. There is also a key bullish tend line forming with support near 1.2220 on the hourly chart of GBP/USD.

The trend line is near the 50% Fib retracement level of the upward move from the 1.2150 swing low to 1.2287 high. Any more losses could lead the pair towards the 1.2150 support zone.

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Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as financial advice.

[FXOpen Trader]

Crypto winter giving way to Crypto spring? Bitcoin suddenly wakes up


The long, drawn-out period which has lasted several months in which Bitcoin, previously as volatile as a piece of magnesium ribbon over a naked flame, has been utterly stagnant.

The days of $60,000 values and cliffhanger tweets by influencers suddenly crashing and inflating the value of the world's most valuable cryptocurrency seem a distant memory.

If 2021 was the year of the Bitcoin-related rollercoaster ride, 2022 has been a year of absolute hibernation, representing a contrast so great that it is hard to imagine that it is the same investment vehicle.

The doldrums which have existed for a few months now have been dubbed 'crypto winter' by analysts and journalists, a term used to depict the low values and lack of market movement which has overshadowed the previous enthuaiasm for Bitcoin trading.

Today, however, during the Asian session, Bitcoin suddenly rose in value by a substantial amount, to $21,382 by 2.25am UK time.

On Thursday last week, Bitcoin was languishing at $18,880 therefore the rise over just 3 working days has been over $2,000.

As the price of Bitcoin headed toward the $20,000 mark at the beginning of this week, the total cryptocurrency market capitalization figure began to approach £1 trillion.

This is the first time that Bitcoin has passed the $20,000 mark since before the collapse of cryptocurrency exchange FTX in November.

Last week, cryptocurrencies began to rise in value, with Ethereum, the world's second most popular cryptocurrency, having also increased its capitalization leading to a speculation among some analysts that the crypto winter may be over and some degree of resurgence is beginning.

Of course, these small increases are a far cry from the huge surges in value experienced in 2021, but they are significant when considering the totally flat values that have been in place for a few months.

Crypto-denominated stocks are also on the up, largely due to the sudden bullish approach to cryptocurrencies that has come about, and some pundits are considering that the lingering issue of continued inflation among centrally issued currencies and centralized economies dogged by recessions and rising costs are waking up the prices of cryptocurrencies as people look toward another year of high costs and depreciating fiat currencies and search for alternatives.

These opinions all amount to guesswork, however, but what is for sure is that there is a definitive sudden interest in cryptocurrencies once again and that is clearly demonstrated by looking at the chart patterns this morning.

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Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as Financial Advice.

[FXOpen Trader]

FTSE 100 still at highest levels in 5 years despite this morning's drop


The performance of the 100 most prestigious companies listed on the London Stock Exchange has made for exciting viewing over recent days, with the FTSE 100 index that tracks them having rocketed in value.

Last week, the FTSE 100 index raced to its highest point in over three years, with some analysts across the City of London having begun to wonder whether it may reach 8,000 points.

Yesterday, the rally continued, and the FTSE 100 reached its highest position in five years, which is a remarkable milestone, as the trading day ended at a very high 7,856.

This morning, the trading bonanza came to an abrupt end, as a sudden drop took place at 9.00am during the London trading session, signaling a break in the FTSE 100 index's almost unstoppable rally.

However, even after such a drop, the FTSE 100 was still standing at 7,845 points which is still its highest point in five years apart from yesterday's peak.

The sudden drop was quickly reversed, and by 9.30am there was a slight movement upwards once again, which by 9.45am resulted in a climb back to 7,849 points.

Now it is hard to tell whether this upward movement will continue and cancel out this morning's drop entirely, or whether this is the end of the massive rally experienced by the FTSE 100 index over recent weeks.

Interestingly, in this age of high technology in which internet giants such as Amazon and Google dominate the world's corporate stage, NASDAQ has been hit badly with weakening overall stock values as the US tech stocks and electric vehicle manufacturers' poor performance has had an impact.

Meanwhile the FTSE 100 which tracks traditional firms such as airlines, mining companies, banks, pharmaceuticals, retail giants, supermarkets and healthcare firms among others, is booming.

All this with a backdrop of a weak economy in the United Kingdom and high inflation compared to greater production output and lower inflation in the United States.

For the moment, it certainly appears that there is life in 'low tech' and that London's trading floor is a hive of activity.

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Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as Financial Advice.

[FXOpen Trader]

BTCUSD and XRPUSD Technical Analysis – 17th JAN 2023


BTCUSD: Three Inside Up Pattern Above $17323

Bitcoin continues its bullish momentum from last week and after touching a low of $17323 on 11th Jan, the price started to correct upwards against the US Dollar and is now ranging above the $21000 handle in the European trading session today.

We can see an upwards rally in the BTCUSD which managed to touch the level of $21390 on 16th Jan.

We can clearly see a three inside up pattern above the $17323 handle which is a bullish reversal pattern because it signifies the end of a downtrend and a shift towards an uptrend.

Bitcoin touched an intraday high of 21288 and an intraday low of 20952 in the Asian trading session today.

The price of bitcoin is ranging near a new record high of 1 month.

The ichimoku is indicating a bullish crossover with tenkan and kijun in the 30-minute time frame.

Both the STOCH and Williams percent range are indicating overbought levels which means that in the immediate short term, a decline in the prices is expected.

The resistance of the channel is broken in the 15-minute time frame indicating bullish trends.

The relative strength index is at 72.09 indicating a very strong demand for bitcoin, and the continuation of the buying pressure in the markets.

Bitcoin is now moving above its 100 hourly simple moving average and above its 100 hourly exponential moving averages.

Most of the major technical indicators are giving a buy signal, which means that in the immediate short term, we are expecting targets of 22000 and 23500.

The average true range is indicating less market volatility with a strong bullish momentum.

• Bitcoin: bullish continuation seen above $17323
• The STOCHRSI is indicating an OVERSOLD level
• The price is now trading just below its pivot level of $21167
• The short term range is strongly bullish

Bitcoin: Bullish Continuation Seen Above $17323


The price of Bitcoin witnessed a rally after crossing the $18000 levels, and now we can see some market consolidation above the $21000 levels.

After the consolidation phase is over, we are expecting upside moves in the range of $22000 to $24000 levels.

There is an ascending channel forming with the current support at $17379 which is a 14-3 day raw stochastic at 20%.

We can see the formation of a bullish trend reversal pattern with the adaptive moving average AMA20 in the 15-minute time frame.

The immediate short-term outlook for bitcoin is strongly bullish, the medium-term outlook has turned bullish, and the long-term outlook remains neutral under present market conditions.

Bitcoin’s support zone is located at $18865 which is a 50% retracement from a 4-week high/low and at $19892 which is a 14-3 day raw stochastic at 70%.

The price of BTCUSD is now facing its classic resistance level of 21263 and Fibonacci resistance level of 21320 after which the path towards 22000 will get cleared.

In the last 24hrs BTCUSD has increased by 1.28% by 266.18$ and has a 24hr trading volume of USD 22.330 billion. We can see a decrease of 4.90% in the trading volume compared to yesterday, which appears to be normal.

The Week Ahead

Bitcoin’s price rocketed higher recently and moved to a 2-month high crossing the $21000 levels. We are now looking for the next upwards move towards the $22000 and $24000 levels.

The daily RSI is printing at 86.91 which indicates a very STRONG demand for bitcoin and the continuation of the bullish phase present in the markets in the short-term range.

We can see the formation of a bullish trend line from $17323 towards the $21324 level.

The price of BTCUSD is now facing its resistance zone located at $21466 which is a 13-week high and $22981 which is a 3-10 day MACD oscillator stalls.

The weekly outlook is projected at $23000 with a consolidation zone of $22000.

Technical Indicators:

The MACD (12,26): is at 689.90 indicating a BUY

The commodity channel index, CCI (14): is at 86.32 indicating a BUY

The rate of price change, ROC: is at 1.60 indicating a BUY

Bull/bear power (13): is at 593.30 indicating a BUY

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Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as Financial Advice.

[FXOpen Trader]

EUR/USD Could Correct Lower While USD/JPY Starts Fresh Increase


EUR/USD is correcting lower and trading below 1.0820. USD/JPY could gain bullish momentum if there is a clear move above the 130.80 resistance.

Important Takeaways for EUR/USD and USD/JPY

• The Euro started a downside correction from the 1.0870 resistance zone.
• There was a break below a key bullish trend line with support near 1.0800 on the hourly chart of EUR/USD.
• USD/JPY is attempting a fresh increase above the 130.00 support zone.
• There was a break above a major bearish trend line with resistance near 129.20 on the hourly chart.

EUR/USD Technical Analysis

This past week, the Euro found support near the 1.0700 zone against the US Dollar. The EUR/USD pair started a steady upward move above the 1.0750 and 1.0800 resistance levels.

There was a clear increase above the 1.0820 resistance zone and the 50 hourly simple moving average. The pair even climbed towards the 1.0850 resistance zone. A high was formed near 1.0874 on FXOpen and the pair is now correcting gains.

EUR/USD Hourly Chart


There was a move below the 1.0820 support zone. The bears pushed the pair below the 50% Fib retracement level of the upward move from the 1.0730 swing low to 1.0874 high.

Besides, there was a break below a key bullish trend line with support near 1.0800 on the hourly chart of EUR/USD. The pair is now showing bearish signs near 1.0785.

It is consolidating near the 61.8% Fib retracement level of the upward move from the 1.0730 swing low to 1.0874 high. An initial support on the downside is near the 1.0775 level. The first major support is near the 1.0750 level.

The main support sits near the 1.0720 zone, below which the pair could start a major decline. In the stated case, the pair might dive towards the 1.0650 support zone.

On the upside, an immediate resistance is near the 1.0820 level. The next major resistance is near the 1.0850 level. An upside break above 1.0850 could set the pace for another increase. In the stated case, the pair might visit 1.0920. Any more gains might send the pair towards 1.0980.

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Disclaimer: This Forecast represents FXOpen Companies opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Companies products and services or as Financial Advice.