The GBP/USD pair did a volt face on Thursday. It fell during the initial trading half of the day and then shot like an arrow through the 1.50 level.As the ending of the day approached near the the 1.52 level became fiercely resistive. The resistive nature of 1.52 level has forced us take a short position with an eye on a safe target of 1.50 whereas if it betrays us and breaks above the 1.53 level, the market should continue to go higher.
The European Central Bank(ECB) crushed all hopes lined with its stimulus and offered only disappointment which quickly resonated with the EUR/USD pair making a sudden take-off to the upside following its initial fall during the day. The launch in the later half of the day made the pair to enter into the bottom of the uptrend line that had previously made the ascending triangle.
All eyes now await the Non–farm Payroll Friday, which can turn the tables around if we get a very strong jobs number. A confirmation from a resistive candle would then give us the confidence to enter into the short position.
The AUD/USD fell during the initial half of the day but then turned around owing to the strength of the Australian dollar. Currently the resistive zone of 0.74 level is visible and also there’s impending volatility due to the awaited unemployment data. We are set to take a short position as soon as we cross the lowest point of the preceding days candle. With passage of time, the direction of markets intentions would become clear and we would be free to make an impulsive move higher or face a break down .
The disappointment that the European Central Bank(ECB) delivered echoed through the USD/JPY too resulting on the Euro gaining and Dollar falling,consequently the pair fell apart during the day on Thursday. This particular market is very sensitive to the jobs number, hence hoping if we get a decent number, we are to positive in seeing this market retrace its path back to the top of the triangle that is on the chart. Two supports one at 122 , and the 121 level are visible.
DAILY FOREX TECHNICAL REPORTPosted: December 4, 2015 in Forex