HK50 Accelerates Towards 2019 High

• 20 Jan 2021

USD/JPY

The USD/JPY pair is approaching the apex of a descending triangle indicating a downside breakout is on the cards.  This trajectory is support by the fact that each bullish attempt in recent trading has been interrupted by selling pressure. Momentum indicators have stalled in neutral territory.

 

 

 

 

GBP/USD

The GBP/USD pair will likely make another attempt at the 1.368 resistance line as the retracement only went as far as the long-legged doji in a previous trading session. Overall, the longer-term trajectory is bullish and a break seems likely. Momentum indicators have flattened in bullish territory.  

 

 

 

 

EURUSD

The Eurodollar has returned to the 1.214 price level which may now act as a resistance level for the pair. Buyers returned shortly after the break and therefore the pair will likely return to a previous trading range at the 1.214 and 1.229 price levels. Momentum indicators have turned bearish. 

 

 

 

 

USOUSD

USOUSD will likely oscillate around the 52.63 price line with intermittent pullbacks. Longer-term sentiment is bullish and therefore, as long as economic sentiment improves, oil price action will likely remain at these elevated levels. Momentum indicators are bullish with moderate pullbacks.  

 

 

 

 

ASX200

The ASX200 index has broken the 6762 price area to the upside indicating significant bullish conviction, especially considering the index has consolidated within the 6522-6762 trading range for some time. Whether the break can be sustained remains the question. Momentum indicators are bullish with further upside potential. 

 

 

 

 

NDX100

The NDX100 has made one other previous attempt at the 13,141 resistance level and buyers have returned after a previous rejection of the price level. Again, the longer-term trajectory for the index is moderately bullish. Momentum indicators have moderate bearish trajectories. 

 

 

 

 

HK50

The HK50 index has broken the 29,626 resistance level and is now approaching the 30,282 ceiling- a price level that has not been reached since March 2019. There is clear, strong bullish momentum in the index with a break of several resistance levels despite rising selling pressure. Momentum indicators are bullish with RSI breaking the 70 line.