A Trend Change For ASX200?

• 9 Sep 2021

USD/JPY

The USDJPY pair is oscillating within an ascending triangle pattern as price action begins to narrow within the range and as the pair approaches the apex of the triangle. An upper bound exists at the 110.66 price line which has contained rallies since June. Momentum indicators have flattened in neutral territory.  

 

 

 

 

GBP/USD

The GBPUSD pair began to sell off at the beginning of the trading week. However, price action has stalled mid-range as buying pressure rose sharply in yesterday’s trading. Horizontal trading will likely ensue in the absence of any significant change in fundamentals. Momentum indicators remain in neutral territory.

 

 

 

 

EURUSD

The Eurodollar is set to continue oscillating within a tighter trading range between 1.177 and 1.188 price levels.  Bearish sentiment once again prevented a break of the 1.188 resistance line which remains a key obstacle for future rallies. Momentum indicators are bullish. 

 

 

 

 

USDCHF

The USDCHF pair has broken the descending trendline in an apparent change in sentiment. Price action is now approaching the 0.925 resistance line where previous pullbacks have taken place- therefore significant bullish conviction will be required for a break. Momentum indicators have turned bullish.

 

 

 

 

XAUUSD

The XAUUSD has plummeted from the descending trendline and 1831 resistance line, resulting a break out of a consolidation range at the 1795 lower bound. Another support level exists at the 1761 support line. Momentum indicators have flattened in neutral territory.

 

 

 

 

ASX200

The ASX200 index has pulled back to the 7399.95 support level which is also the cross-section with the ascending trendline. A break could signal a longer-term change in sentiment which may now be more bearish. Sellers’ conviction will be tested. Momentum indicators have downward trajectories.

 

 

 

 

WS30

The WS30 has broken the ascending trendline in the first sign of a potential trend reversal. Price action is now testing a key support level at the 34,864 support line, where selling momentum appears to have weakened. Momentum indicators remain bearish.