03rd August 2022 Wednesday: Technical Outlook and Review

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USD/JPY:

On the H4, price is bearish biased and moving strongly in an ascending trendline. It is still respecting the Ichimoku indicator, and has already broken the key support level at 131.527. The chart has confirmed a strong downside momentum and is now going to test at 134.233 which coincides with 50% Fibonacci retracement. If price were to pull back further, it will test the 2nd resistance at 134.798. Alternatively, price could bounce back to test at 132.543 which is the Fibonacci 23.6% and previous swing low

Areas of consideration:

  • H4 time frame, 1st resistance at 134.233
  • H4 time frame, 1st support at 131.543

DXY:

On the H4, prices have broken the ascending trend into an overall bearish biased trend. Prices have made a turn into a slightly bullish biased trend, though it is still respecting the Ichimoku cloud. It is now testing 23.6% Fibonacci Projection. If price were to break this resistance level, it will pull back further to test at 23.6% Fibonacci Projection and 50% retracement level at 107.271. Alternatively, price could bounce back and test at the first intermediate support at 105.539 then 105.084 which is the the previous swing low and key support level 

Areas of consideration:

  • H4 time frame, 1st resistance at 107.271
  • H4 time frame, 1st support at 105.084

EUR/USD :

On the H4, prices have broken the bearish trend moving into a bullish biased trend. Price has rejected the 1.027 level, 50% retracement. It might pull back to test the  previous swing low at 1.011, first support level. Alternatively, If price fails to break the first support it might bounce off the first support to test at 1.027, 50% resistance level

Areas of consideration :

  • H4 1st resistance at 1.027
  • H4 1st support at 1.011

GBP/USD:

On the H4, with prices moving in an ascending channel and respecting the Ichimoku cloud, we are bullish biased. Price is now testing the first support at 1.216 which coincides with 23.6% Fibonacci retracement. If price fails to break support, and confirm an upside trend, we would expect bullish momentum to carry price to 1st resistance at 1.227 78.6% Fibonacci retracement then second resistance at 1.24129

Areas of consideration:

  • H4 1st resistance at 1.227
  • H4 1st support at 1.216

USD/CHF:

On the H4, prices are moving in a strong bearish momentum, respecting the descending channel. We have a bearish bias and price is testing at the first resistance level, 23.6% retracement 0.957. If prices break this level, it will test at the second resistance level 0.965. Alternatively if price rejects, it will pull back to test the first support level 0.947 subsequently 78.6% fibonacci projection level at 0.945

Areas of consideration

  • H4 1st resistance at 0.957
  • H4 1st support at 0.947

XAU/USD (GOLD):

On the H4, with prices going along the ascending trendline, we have a bullish bias that price may rise from the 1st support at 1760.85, which is in line with the 78.6% fibonacci projection to 1st resistance at 1785.74 where the the 127.2% projection and 50% fibonacci retracement are. If the price keeps going up, it may reach the 2nd resistance at 1804.11, which is in line with the 61.8% fibonacci retracement. Alternatively, prices may drop to 2nd support at 1736.55 where the 50% fibonacci retracement is. Take note of the intermediate support at 1746.33, which is in line with 38.2% fibonacci retracement.

Areas of consideration: 

  • H4 time frame, 1st support at 1760.85
  • H4 time frame,  1st resistance at 1785.74

AUD/USD:

On the H4, with price breaking the ascending trend channel, we have a bearish bias that price will drop from the 1st resistance at 0.68620, where the 50% fibonacci retracement is to the 1st support at 0.67616 where the swing low and 78.6% fibonacci retracement are. Alternatively, price may reverse off 1st resistance and rise to the 2nd resistance at 0.70546 at 61.8% fibonacci retracement. 

Areas of consideration 

  • H4 1st resistance at 0.68620
  • H4 1st support at 0.67616

NZD/USD:

On the H4, with price breaking the ascending trendline, we have a bearish bias that price may drop from the 1st support at 0.62053 where 50% fibonacci retracement is to the 2nd support at 0.60605 where the swing low is. Alternatively, price may reverse off the 1st support and rise to the 1st resistance at 0.63525 at the swing high, 61.8% fibonacci projection and 50% fibonacci retracement. Take note the price of 0.61234 could be the intermediate support, which is in line with the 78.6% fibonacci retracement.

Areas of consideration:

  • H4 time frame, 1st support at 0.62053
  • H4 time frame, 2nd support at 0.60605

USD/CAD:

On the H4, with the price breaking the descending trendline, we have a bullish bias that the price may rise from our 1st resistance at 1.28706, which is in line with 23.6% fibonacci retracement to our 2nd resistance at 1.29382, which is in line with the overlap resistance and 38.2% fibonacci retracement. Alternatively, the price may drop to the 1st support at 1.27652, which is in line with the swing low. 

Areas of consideration:

  • H4 time frame, 1st resistance at 1.28706
  • H4 time frame, 2nd resistance at 1.29382

OIL:

On the H4, with price fluctuating between 1st support and 1st resistance, we have a neutral bias that price might rise from the 1st support at 103.203, where the overlap support is to 1st resistance at 108.965 where the swing lows are. Otherwise, the price may drop to our 2nd support at 99.134, where the overlap support is. 

Areas of consideration:

  • H4 time frame, 1st support of 103.203
  • H4 time frame, 1st resistance of 108.965

Or

  • H4 time frame, 1st support of 103.203
  • H4 time frame, 2ndt support of 99.134

Dow Jones Industrial Average:

On the H4, with price breaking out of an ascending trendline and reversing off the stochastic resistance, we have a bearish bias that price will drop from our 1st resistance at 32654 where the pullback support is to the 1st support at 31924 where the pullback support, 38.2% fibonacci retracement and 78.6% fibonacci projection are. Alternatively, price could break 1st resistance structure and rise to 2nd resistance at 33467 where the swing high resistance and -61.8% fibonacci expansion are.

Areas of consideration:

  • H4 time frame, 1st resistance of  32654
  • H4 time frame, 1st support at 31924

DAX:

On the H4, with price moving above the ichimoku indicator and along the ascending trendline, we have a bullish bias that price will rise from 1st support at 13378.95 in line with overlap support to the 1st resistance at 13827.97 where the 61.8% fibonacci retracement, 127.2% fibonacci extension and 78.6% fibonacci projection are. Alternatively, price could break 1st support structure and drop to 2nd support at 13026.25 where the pullback support, 50% fibonacci retracement and 100% fibonacci projection are.

Areas of consideration:

  • H4 time frame, 1st resistance of  13827.97
  • H4 time frame, 1st support at 13378.95

ETHUSD:

On the H4, with RSI moving along a descending trendline, we have a bearish bias that price will drop from our 1st resistance at 1644.27 where the overlap resistance and 38.2% fibonacci retracement are to the 1st support at 1464.11 where the pullback support, 100% fibonacci projection and 38.2% fibonacci retracement are. Alternatively, price could break 1st resistance structure and rise to 2nd resistance at 1792.30 where the swing high resistance, 61.8% fibonacci projection, 127.2% fibonacci extension and 61.8% fibonacci projection are.

Areas of consideration:

  • H4 time frame, 1st resistance of  1644.27
  • H4 time frame, 1st support at 1464.11

BTCUSD:

On the H4, with price moving within a bullish channel and bouncing up from the stochastic support, we have a bullish bias that price will rise from our 1st support at 22560.82  where the pullback support, 50% fibonacci retracement and 61.8% fibonacci projection are to the 1st resistance at 24331.68 where the pullback resistance is. Alternatively, price could break 1st support structure and drop to 2nd support at 20716.80 where the swing low support and 100% fibonacci projection are.

Areas of consideration:

  • H4 time frame, 1st resistance of 24331.68
  • H4 time frame, 1st support at 22560.82

S&P 500:

On the H4, with price moving above the ichimoku indicator and within an ascending channel, we have a bullish bias that price will rise from our 1st support at 4087.733 where the pullback support is to  the 1st resistance at 4182.677 where the swing high resistance and 100% fibonacci projection are. Alternatively, price could break 1st support and drop to 2nd support at 4014.714 where the pullback support and 23.6% fibonacci retracement are.

Areas of consideration:

  • H4 time frame, 1st resistance of 4182.677
  • H4 time frame, 1st support at 4087.733

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