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[HubuFX]

RSI Indicator Flips Above Signal Line for NZDUSD

The NZDUSD currency pair is currently experiencing a surge as it moves toward the upper band of the declining channel in the 4 hour time frame. Interestingly, the RSI indicator has flipped above the signal line, providing a favorable forecast for bulls. This indicates that the NZDUSD has the potential to touch channel resistance and possibly even break outside the channel to test the 0.236 level of Fibonacci.

Despite the RSI signaling a rise in the value of NZDUSD, there are two bullish engulfing patterns and a hammer that are in line with this bullish scenario. However, for this scenario to be considered more valid, the NZDUSD bulls must close above the 0.5963 minor resistance. Only after this occurs will the road to 0.6019 be paved.



It is important to note that the overall outlook for the NZDUSD remains bearish and that this recent rise can be considered as a correction. The 0.236 Fibonacci retracement level plays a crucial role in determining the future outlook of the pair. As long as the pair continues to trade within the channel and under the 0.6019 resistance, the bearish outlook will remain valid.


Trading Ideas:
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HubuFX analysis team suggests closely monitoring the price action and candlestick patterns to identify an optimal entry point for a short order, either around the upper band of the channel or near the 0.236 Fibonacci retracement level.

[HubuFX]

EURUSD Near Resistance: Short Opportunities Ahead

The EURUSD currency pair has recently bounced from the support zone at 1.085 and is currently testing the resistance area between 1.0915 and 1.0935. Interestingly, the EURUSD formed a bullish engulfing candlestick on its daily chart, which is usually a signal for the start of an uptrend or the end of a downtrend. However, it is important to note that based on price action trading, the 1.0915 - 1.0935 area is a significant barrier for the bulls and the market must close above this level on EURUSD before we can confirm the bullish scenario.

Despite this, the overall outlook for the EURUSD remains bearish as long as it is trading below 1.0935.



On the other hand, the EURUSD is currently hovering near a demand zone where selling pressure is likely to increase. As such, traders looking to go short on EURUSD should consider placing a stop loss above 1.0935 with a potential reward target at the previous low around 1.085.

In summary, while there are some bullish signals for the EURUSD currency pair, it remains in a bearish trend and traders should exercise caution when considering going long on this pair. As always, it is important to manage risk carefully and use appropriate stop loss levels when trading.

[HubuFX]

USDJPY Forecast: 143.86 Support in Focus

The USDJPY currency pair experienced an uptrend that came to a halt after reaching a high of 146.51 on August 17. Subsequently, it returned to the previous high around the 145 area, which now acts as support for the USDJPY. The outlook for the USDJPY remains bullish, with the 145 level providing support for the bulls. As a result, it is likely that the price will continue to rise and target the 149.14 resistance level.



On the other hand, if the market closes below the 145 support level on USDJPY, the path will be cleared for a test of the 143.86 support level. This scenario could potentially lead to further downside movement in the USDJPY currency pair.

[HubuFX]

GBPUSD: A Close Look at Resistance and Support

The GBPUSD currency pair failed to breach the 1.2785 resistance level once again and declined from the resistance, closing below the 1.273 pivot. There is a minor support for GBPUSD at 1.2704. With the RSI hovering below the 50 line, there is a high chance for the bears to break this level and continue the downtrend.

The HubuFX analysis team suggests waiting for the price action around this level before making a decision. It is wise to wait since the GBPUSD price around the 1.2704 support has been erratic, as seen in the 1-hour chart. A close below the 1.27038 support will be considered a continuation of the downtrend, and the GBPUSD price is likely to target the 1.2622 supply zone.




The resistance level remains at 1.2785. The bulls must break this level in order to rise the price to upper levels.

It is important to note that the forex and stock markets always move between support and resistance levels. Therefore, it is vital to trade the assets based on when and how these levels are breached.

[HubuFX]

GBPJPY Recent Decline: A Technical Perspective

The GBPJPY currency pair is currently hovering around the 184.81 mark. This comes after a noticeable break in the rising trendline, a development that was somewhat expected. The reason for this anticipation was the RSI indicator, a tool used by traders to identify potential market reversals. The RSI had been lingering in the overbought zone for several sessions, hinting at a possible decline.

This recent drop in GBPJPY is seen as a correction, a common occurrence in financial markets. It has allowed the bears, or those betting on a price decrease, to temporarily take control of the market. This has led to a lowering of the price to the 0.236 level of Fibonacci retracement, a popular technical analysis tool used by traders. Following this, the price has reached the 183.26 support level, which serves as a robust supply zone for GBPJPY bulls, or those betting on a price increase.

As long as this level holds firm, the market direction of GBPJPY is considered bullish, indicating an upward trend. The resistance level, another key concept in technical analysis representing a price level that an asset struggles to exceed, is at the recent high of 186.46.




Despite these market fluctuations, the outlook for GBPJPY remains bullish. The 0.236 level of Fibonacci and the 183.26 supply zone provide a reasonable bid for bulls to enter long positions in the market.

Our dedicated analysis team at HubuFX suggests keeping a close eye on these two levels and looking out for candlestick patterns and price action behaviors. These are key elements of technical analysis that can provide valuable insights into future price movements. We will continue to provide more updates on the GBPJPY pair in future sessions. So stay tuned with us for more insightful technical analysis on GBPJPY and make informed trading decisions.

[HubuFX]

Bitcoin's Double Bottom Pattern: A Sign of Hope?

Bitcoin is back in a key area of support, which ranges from 28,484 to 28,266. This happened after the bulls failed to overcome the strong resistance at 30,000. This point is not just a pivot point, but also a level that carries a lot of psychological importance. The bears have taken over and pushed the price down from the pivot area. They are currently testing the high of May 28th, which is between 28,484 and 28,266.

Our team of analysts at Hubufx suggests being patient at this stage. They advise against rushing into a long trade. The important thing is to watch if the bears can close below the low of August 1st. If they can't, we might see a double bottom pattern forming in the support area.




When we look more closely at the 4-hour timeframe, we see a long wick candlestick. This shows that the bulls are trying to keep the price above 28,000. So far, they have stopped the bears from closing below this important level. If a double bottom pattern does form, Bitcoin's market price could surge to test the psychological resistance at 30,000. The minor resistance at 28,794 is crucial in this situation. For the uptrend to continue and for confirmation of a double bottom pattern, it's vital for the market to close above this resistance.




On the flip side, if the bears manage to break through the support at 28,240, we could see Bitcoin's value continue its downward trend towards lower support levels as shown on the daily chart.

[HubuFX]

Navigating the XAUUSD Downtrend: Key Levels to Watch

The XAUUSD, or gold price, has been on a downward trend. This happened after the upward trendline was broken. The decline in gold prices slowed when it reached a significant support level at $1894.6, which is just below the 50% mark of the Fibonacci retracement tool. Please note, the RSI indicator is hovering near the oversold area.

For those who are bullish on gold, it’s crucial to prevent the price from closing below this level on the daily chart. They need to push the price above the 50% Fibonacci level to halt the steep decline. If they succeed, there’s a possibility for the price to fluctuate between $1894 and $1945.



However, if the price closes below this key level, the next target could be the 0.618 level of the Fibonacci retracement around $1865.

[HubuFX]

GBPUSD Analysis From Daily to 4-Hour Charts

Upon a detailed examination of the GBPUSD daily chart, it's evident that the trend has shifted sideways following the pair's break from the upward channel. The resistance zone is currently situated at 1.26, a critical level that the market must surpass to maintain the downward trend initiated on July 14th.



Taking a closer look at the 4-hour timeframe, we observe that GBPUSD has managed to close above the 1.2773 pivot and exit the downward channel. This development has led to an increase in bearish pressure, causing the currency pair to test the previously broken resistance, which now serves as a minor support. The primary resistance is firmly established at 1.2785. As long as this level remains intact, we can consider the downtrend to be valid. Consequently, we can anticipate the market would target the 1.26 support and potentially attempting to breach this level.

[HubuFX]

EURUSD Trading Below Middle Line of Declining Channel

The EURUSD currency pair is currently experiencing a downward trend, trading below the middle line of the declining channel at approximately 1.0920. The bears have managed to close under the 1.0915 support level, and the market is now testing this level as it acts as resistance. The long wick of the candlestick and the RSI indicator, which hovers below the 50 signal line, both indicate that the bears are still in control. As a result, another drop to the 1.08833 support level is possible.





In summary, the outlook for the EURUSD currency pair remains bearish as long as it continues to trade within the downward channel.

[HubuFX]

GBPJPY Sets for Gains as Bears Offer Little Resistance

The GBPJPY currency pair has recently closed above the key resistance level of 183.26, indicating that a rise is imminent. In fact, the pair is now poised to test the second weekly resistance at 184.28. Furthermore, there appears to be little resistance from the bears, suggesting that the uptrend is likely to continue. This is certainly an exciting development for traders and investors alike.



Fundamental Highlights for JPY

• Japan's economy grew at a slower pace in the second quarter of 2023, as rising inflation and a weak yen weighed on consumer spending. The economy expanded at an annualized rate of 0.5% in the April-June quarter, down from 2.5% in the previous quarter.
• The Japanese government is considering raising the minimum wage by a record 4.3%, in an effort to boost consumer spending. The current minimum wage in Japan is around $9 USD per hour, and the government believes that a higher minimum wage would help to improve the purchasing power of low-income workers.
• The Japanese yen has fallen to its lowest level against the US dollar in 20 years, as investors have lost confidence in the Japanese economy. The weak yen is making it more expensive for Japanese companies to import goods and raw materials, which is raising costs and could lead to further inflation.