USDJPY is in a downward trend all the time

Despite several attempts to break local resistance levels, JPYUSD is still in a downward trend. The situation in the US does not show a significant improvement in economic terms, but the situation of this country is also not deteriorating, which is a good factor for a relatively slight strengthening of the dollar against certain currency pairs.

For several days we have been seeing the upward behavior of the USDJPY pair, which for over seven months was in a downward trend creating a falling wedge noticeable from the D1 time interval.

Currently, the trend may be broken after breaking the resistance from March 2018, which is marked with a line in the image. After breaking the rate above this level, we can expect a stronger rebound, as shown in the image below. As long as the price fluctuates on the local resistance, we can see that there is no clear signal of the direction yet, as the trend is still downward.

USDCAD in the local relegation channel

The US dollar has recently appreciated against most currencies, and we have seen it paired with the Canadian dollar as well, one while other currencies slowed down, the Canadian currency was gaining momentum. Until yesterday, I assumed a long position, retest to support and the rebound in the book confirmed me in this, but as you can see the situation is a bit different.

Now, assuming further declines, the last rebound point may be the area where the red line ends at the border with the downtrend channel. If this level does not cause an intense rebound, a further decline is inevitable.

Today, next macroeconomic data for the US and the speech of the president of the Fed which usually has a big impact on the market. Macro data, analysts assume that the currency will be bullish, so maybe the FED president will additionally fuel an avalanche of good news, thanks to which we can observe a reversal of trends on some currency pairs with the US dollar.

Speech scheduled for 6.30 pm European time

If the currency continues to decline, we can expect a stronger stop at 1.2505 where the designated resistance zone may hold the currency for a longer time

DAX possible continuation of increases to local resistance

The German DAX index does not actually surprise too much. Regardless of whether we are long-term traders or scalping, we are able to trade with the prevailing trend. DAX responds well to Over Balance, so we can predict many positions for several hours or sometimes days ahead.

But now the DAX has visibly decelerated. We remain in an uptrend and assuming declines is a bit of asking for trouble, but we do not rule out a correction. If this happens, and we break the local trend line, we can expect another attempt to attack the support level, which will probably give a positive impulse for further increases to the levels indicated in the previous analyzes.

However, as long as they last, we hold the long position ;)

Due to the limited possibility of adding posts, analyzes will be added collectively.

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