Market Update by Solidecn.com

[Solid ECN]

USD/JPY Consolidation and Fibonacci Levels


Solid ECN—The USD/JPY currency pair started to consolidate some of its recent losses in today's trading session, testing the 23.6% Fibonacci level at 154.2. The technical indicators suggest the current uptick momentum should resume to the 38.2% Fibonacci, a level coinciding with the descending trendline at approximately 155.68.

From a technical standpoint, a close above the 154.2 resistance could extend the consolidation phase to the 155.68 mark.

On the flip side, the downtrend will likely resume if the price dips below the immediate support at 153.3. If this scenario unfolds, the 151.9 key resistance will likely be tested.

[Solid ECN]

EUR/USD Analysis: Bearish Trend Weakens


Solid ECN—The EUR/USD currency pair moves sideways after it hit the 1.0825 low, below the 50-period simple moving average, signaling a bear market. However, other technical indicators suggest the bearish momentum is weakening, and the price could rise.

From a technical standpoint, for the bearish trend to resume, the EUR/USD price must dip below the immediate support at 1.0825. If this scenario unfolds, the 1.080 level will be the following supply zone.

On the other hand, if the bulls cross and stabilize the price above the immediate resistance at 1.070, which is backed by the 50 SMA, the bear market should be invalidated. In this scenario, the next bullish target will be the 1.090 resistance.

[Solid ECN]

DAX 30 Faces Key Resistance at $18,148


Solid ECN—The DAX 30 index struggles with the July 19 low at $18,148 resistance, which has held the selling pressure so far. Meanwhile, the stochastic oscillator has stepped into the oversold territory, indicating that the market could be saturated from the selling pressure.

From a technical standpoint, the primary trend is bearish. However, sellers must close below the $18,148 mark for the downtrend to continue. If this scenario unfolds, the July 2 low at $18,024 will likely be the next target.

Conversely, the price will likely consolidate if the bulls (buyers) stabilize above $18,189 before the downtrend resumes.

[Solid ECN]

Key Levels to Watch in XAG/USD


Solid ECN—Silver closed below the 50-period simple moving average in the daily chart, a robust signal for the current downtrend. However, the stochastic oscillator stepped into the oversold territory, meaning the U.S. Dollar could be overvalued against Silver, and the market might bounce from this point or consolidate.

Going short in a market saturated with buying pressure is not advisable, and the daily chart demonstrates the price is testing the lower line of the bearish channel. That said, we expect the XAG/USD price to consolidate near the key resistance level at 28.5, which should be monitored for bearish signals such as a shooting star candlestick pattern or a bearish engulfing pattern.

Furthermore, please note that if the silver price closes above the $29.4 resistance, the bearish outlook should be invalidated.

[Solid ECN]

Gold Hits Key Fibonacci Levels in Bear Market


Solid ECN—Gold tests the 61.8% Fibonacci retracement level in today's trading session. The XAU/USD price is below the 50-period simple moving average, indicating that the bear market prevails. The technical indicators also suggest the bearish momentum should resume.

However, sellers must close and stabilize the price below the 61.8% Fibonacci level at $2,362 for the bear market to continue. If this scenario unfolds, the 78.6% Fibonacci level at $2,328 will be the next bearish target.

Conversely, the bear market should be invalidated if the price exceeds the 38.2% Fibonacci level at $2,408, a resistance backed by the 50-period SMA.

[Solid ECN]

Bitcoin's Bullish Signs: Will $70K Be Next?


Solid ECN—Bitcoin's price is bouncing from the 50-period simple moving average, a support level that aligns with the July 17 high at $65,426. The stochastic oscillator demonstrates an oversold market, while other technical indicators suggest the bullish trajectory should resume.

That said, if the July 17 high holds, the $68,451 resistance will likely be tested again. Moreover, if the buying pressure exceeds this barrier, the bulls' way to the $70,000 psychological level could be paved.

Conversely, a close below the immediate support at $65,424 could trigger a consolidation phase, and the price could test the $63,265 supply area, backed by the 100-period SMA and the ascending trendline.

[Solid ECN]

USD/CAD Uptrend: Overbought Warning


Solid ECN—The USD/CAD bullish trajectory is not testing the key resistance level at 1.379, the June 11 high. Despite the robust uptrend, the momentum indicators warn of an overbought condition.

That said, the USD/CAD price is likely to dip and test the lower resistance levels, starting with the 1.375 mark. In this scenario, traders and investors should monitor the key levels for bullish signs to join the uptrend.

[Solid ECN]

Fibonacci Analysis: Gold's Path to $2,483


Solid ECN—Gold is stabilizing above the 38.2% Fibonacci at $2,411. The technical indicators suggest the uptrend should resume, but the price might consolidate before the uptrend continues.

The 100-period simple moving average is a key resistance level. The primary trend remains bullish as long as the price holds above $2,388. In this scenario, the next bullish target could be the 23.6% Fibonacci at $2,438. Furthermore, if the buying pressure exceeds $2,438, July's high at $2,483 could be retested.

Conversely, the bull market should be invalidated if the price dips below the 100-period simple moving average.

[Solid ECN]

Silver Price Consolidates at $28.5 Low


Solid ECN—Silver price started to consolidate after it hit the $28.5 low, which was expected because the stochastic oscillator was hovering in the oversold territory. The image above represents the XAG/USD 4-hour chart. However, the bears formed a shooting star candlestick pattern in the 1-hour chart, a bearish sign.

From a technical standpoint, the downtrend will likely resume, and the $28.5 supply area will be tested again if the price is below 23.6% Fibonacci.

Conversely, if the bulls (buyers) cross and stabilize the price above the immediate resistance at $29.3, the consolidation phase could test the 38.2% Fibonacci at $29.8.

[Solid ECN]

USD/CHF Price Analysis Update


Solid ECN—The USD/CHF price approaches the key resistance level at 0.891, while the stochastic oscillator signals an oversold market. The downtrend will likely resume if the price closes below the immediate support at 0.887. In this scenario, the sellers will initially target the 0.881 support.

Conversely, if the USD/CHF price exceeds the descending trendline, the bearish scenario should be invalidated, and the price can rise to test the 0.897 resistance.