News comentary
US-China trade tensions ease as the US is set to send a delegation to Beijing for negotiations next week.
Details are still awaited from Trump on an Chinese imports subject to tariffs, but Trump is likely to hold fire for now while negotiations go on. This makes the dollar climbing higher
While the risk of a trade war is easing, the risk of a longer-lasting US-China tech war is on the rise.
The strength in the dollar this month is posing a major risk to trades from stocks to currencies to commodities
USD/CAD
On the daily chart, the price has reached supply area (1.243-1.252). which is also 61.8% Fibonacci. The price formed a flag that is considered a continuation pattern. After reaching its oversold zone in RSI & breaking the descending trend line connecting the highs it showed doji & engulfing candles, the price is expected to move up to the first target at 1.292
EUR/USD
On the daily, the price had broken the up channel continuing with penetrating down the triangle
Taking into account that the price has rebounded from the lower trend line from the high of 2008
These all make the probability of bears higher with the expectation of its price to reach 1.215-1.2085
GBP/USD
On the daily chart, the price has rebounded from the key resistance breaking the upper trend line & the support zone 1.406-1.3965
The price formed two reversal patterns with wedge & double top
With confirmation of divergence in RSI, the price is supposed to continue going bearish down to the next support zone 1.373-1.3645
©Forex.Academy
