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[HubuFX]

Gold: Ready to Break 1972 as Bullish Trend Resumes

After touching the bottom line of the rising channel around $1,957, gold has resumed its bullish trend. The appearance of a long wick candlestick signaled the end of the correction, and the market is now stabilizing above the $1,961 support level. It is likely that the market will continue to rise, targeting $1,972 followed by $1,980. The market trend remains bullish, and the uptrend channel is expected to continue during today’s session.




On the other hand, if the $1,961 support level breaks, the market correction may test the next major support around $1,945. This level has acted as strong and valid support during the recent decline.

In terms of fundamentals, there are no major economic releases scheduled for today. As a result, the market is likely to focus on the ongoing conflict in Ukraine and the potential for further sanctions against Russia. These factors could continue to support gold prices as investors seek safe-haven assets.

[HubuFX]

EURJPY: How to Trade the Recent Price Action

The EURJPY currency pair has recently experienced a rise, holding steady near its last high, which is acting as a resistance level at 158. However, the price had a negative reaction to this resistance and started Monday with a decline. This could potentially be just a temporary correction before another surge in price. Despite the 158 resistance appearing fragile, a break could be imminent as long as the bulls are able to maintain control of the market above the rising trendline.



On the other hand, it is important to note that there is also support at 153.46, which correlates with the 23.6% Fibonacci retracement level. In the unlikely event that this support level is broken in a downward direction, the decline may continue to lower levels of the Fibonacci retracement. As always, it is important to carefully monitor market trends and make informed decisions when trading.

[HubuFX]

XAUUSD

Gold is currently trading around the support level of $1,963 within an ascending channel. This could be a correction phase of the uptrend that began on June 29, 2023. If the market remains within the channel, it is likely that the upward movement will continue, targeting the previous high of $1,087.

On the other hand, if the bears succeed in pushing the price outside of the rising channel, the correction may continue to a lower support level starting at $1,945. At this time, we suggest monitoring the price action and waiting for a bullish candlestick to emerge before executing a buy order or exiting a sell order.




In terms of fundamental analysis, the gold market is currently supported by concerns about inflation and economic growth. Additionally, the US dollar is trading weaker, making gold more attractive to investors. However, there are also some headwinds facing the gold market from rising interest rates. The US Federal Reserve is expected to raise interest rates several times this year, which could put downward pressure on gold prices.

[HubuFX]

Bulls Stabilize USDJPY Above Key Support Level

The USDJPY currency pair has recently retested the 23.6% Fibonacci retracement level. Despite this retest, the bulls have managed to stabilize the price above the minor support level of 139.4. This stabilization is a positive sign for traders who are bullish on the pair. If the price can hold above the aforementioned support level, it is likely to target the next support level at 140.9 in the following trading sessions. This would represent a continuation of the bullish trend and could provide further opportunities for traders to enter long positions.

The MACD indicator is currently trading above its signal line, which is typically considered a bullish sign. This suggests that the underlying asset may be experiencing upward momentum and could continue to rise in price.




On the other hand, if the minor support at 139.4 breaks, it could signal a resumption of the decline. In this scenario, the price could retest the next support level at 137.33. Traders who are bearish on the pair may look to enter short positions if this support level is broken.

[HubuFX]

GBPJPY: Wait for 179 Support Before Making a New Decision

The GBPJPY currency pair is trading in a narrow declining channel near the support at 179.5. A hammer candle stick indicates that the market is keen to push the price higher, but the bulls were unsuccessful in breaking the minor resistance at 180.6. HubuFX analysis team suggests waiting for the price to test the 179.5 support for a double bottom pattern. If the pair holds above this level, it is likely to target 182.12 followed by 184. Therefore, both sellers and buyers of the currency pair should be patient and carefully monitor the price action behavior near the support before making a new decision. The currency pair is likely to trade in the range between 179.5 and 182.1 today.

However, if the bears succeed in breaking the aforementioned support, the GBPJPY decline is likely to continue.




Fundamental Analysis

There are a few major economic releases scheduled for tomorrow July 21, 2023, which could influence the pair. These include:

• GBP: GFK consumer confidence
• GBP: Retail sales data
• JPY: Core inflation rate
• JPY: Inflation Rate

[HubuFX]

Silver: Bulls on the Prowl

Silver prices have been on the rise in recent days, trading above support at $24.53 for the third consecutive day. This has created a new higher low, which is a bullish technical signal. The price also tested support on July 17th and formed a long wick shadow candle, which indicates that bulls are pressing to push the price higher.

The next resistance level to watch is around $26.12. If silver can break above this level, it could signal the start of a new uptrend. However, if the price breaks below support at $24.53, it could indicate that the bullish trend is on hold. In this case, traders should monitor the price action closely before making any new decisions.



Fundamentally, the outlook for silver is also bullish. The global economy is growing, which is increasing demand for industrial metals like silver. Additionally, the recent sell-off in the stock market has led investors to seek out safe-haven assets like silver.

[HubuFX]

EURJPY: Forming a Double Bottom

The EURJPY is exhibiting an upward trend and has rebounded from the support level at 155.13, which coincides with the Fibonacci 38.2 retracement level. This convergence lends further credibility to this support area. Notably, the instrument is forming a double bottom pattern at the edge of the rising trend line. If the price remains above 155.13, the initial target will be 156.34.

At present, the candlestick pattern is forming a long wick shadow, representing the third bullish signal for taking a long position on this currency pair.





Conversely, if the price falls below the 155.13 support level, the 156.34 high will be considered a new higher high and the decline may extend to lower Fibonacci retracement levels at 50 and subsequently 61.8.

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What is Double Bottom Pattern?
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A Double Bottom Pattern in forex is a chart pattern that signals a potential bullish reversal. It comprises of two distinct bottoms of similar width and height, forming near a similar horizontal price level, resembling the letter “W”. A measured strengthening in price will occur between the two low points showing some support at the price lows.

[HubuFX]

USDCHF Analysis: Bearish Trend and Potential Price Correction

The USDCHF currency pair is currently trading sideways between the lower low at 0.8567 and the lower high at 0.8631. The trend direction is strongly bearish in favor of the Swiss franc, with the MACD signaling an enormous divergence. Since the price action does not show strength in rising, it is likely that we will see a sideways trend and a correction to upper levels. If the price remains stable above 0.8567, it may lead to a price correction at higher levels around the 23.6 Fibonacci retracement level at 0.8706.




On the other hand, if the minor support at 0.8567 breaks, the bearish bias will probably resume. The next supply area is located approximately 300 pips away, around 0.8293. In this scenario, it is possible that the downtrend may continue in the upcoming days.

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What is MACD Divergence?
In forex trading, divergence refers to a situation where the price of a currency pair is moving in the opposite direction of a technical indicator, such as the MACD or RSI. This can signal an imbalance between price and the oscillator, which may indicate an impending directional change in price. There are two types of divergences: regular divergence and hidden divergence. Each type of divergence can contain either a bullish or bearish bias.

[HubuFX]

USDJPY Key Levels to Watch

The USDJPY currency pair is trading around 138.35 trying to stabilize the price above the demand zone at 137.33. The green long wick shadow candle-stick signals a continuation to the mail bullish trend. Continuing to the current market situation, please note that the price reacted downward to the 23.6 level of the Fibonacci Retracement which act as a minor support to the pair. The inverted hammer candle stick supports the sellers will in keeping the downtrend active.

The 23.6 level acts as today's resistance, the bullish trend would probably resume if the market can close above 139.4 in the 4H time-frame. On the other hand 137.33 is the main support, and a breach in this level will signal the continuation of the negative movements which was initiated from 145.




The USDJPY currency pair is currently trading around 138.35, as it attempts to stabilize its price above the key demand zone at 137.33. Notably, the appearance of a green long-wick shadow candlestick signals a potential continuation of the main bullish trend. In light of the current market situation, it’s important to note that the price has reacted downward to the 23.6 level of the Fibonacci Retracement, which is acting as a minor support for the pair. Furthermore, the presence of an inverted hammer candlestick further supports the sellers’ efforts to keep the downtrend active.

In terms of resistance, today’s level is at the 23.6 mark. If the market can close above 139.4 in the 4H time-frame, it’s likely that the bullish trend will resume. On the other hand, 137.33 serves as the main support level, and a breach of this level could signal a continuation of the negative movements that were initiated from 145.

In conclusion, key levels to watch for USDJPY on July 18th, 2023 include a support level at 137.33 and a resistance level at 139.4.


What is an Inverted Hammer
An inverted hammer is a type of candlestick pattern that is usually found after a downtrend and is often taken to be a trend-reversal signal. The pattern is made up of a candle with a small lower body and a long upper wick, which is at least two times as large as the short lower body. The body of the candle should be at the low end of the trading range, and there should be little or no lower wick in the candle.

[HubuFX]

USDCHF Downtrend Continues: Key Levels to Watch

The USDCHF currency pair saw a recent uptick that was stopped at the resistance level of 1.3232. After hitting this point, the pair experienced a sharp drop and broke past the support level of 1.32. It is expected that the downward trend will persist towards the previously tested support levels of 1.3129 and 1.3093.



Traders should pay attention to crucial resistance levels at 1.3205 and 1.32324, which may serve as a supply zone for bears to drive the market down once more. These levels present opportunities for traders to initiate short positions and capitalize on the continuing downtrend in the USDCHF currency pair.



What is a supply zone:

A supply zone in forex trading is an area on a price chart with significant selling power, resulting in a price decrease or a reversal of an uptrend. You can identify supply zones by looking at a level where the price has struggled to break through several times, indicating intense selling pressure. Forex supply zones are areas where banks and institutions are placing a large number of sell positions at a particular price zone. If a portion of these sell orders remain unfilled when the price moves lower, then they’re likely to be left there, just sitting untouched.