Technical analysis of Silver for May 19, 2014 2014-05-19 Technical outlook and chart setups: 1. Silver is bouncing off ahead of $19.00 levels as seen here. The metal has kept the immediate line of support intact for now. A push above $20.00 and subsequently $20.40 from here would confirm that bulls are back in control and dips could be bought. Recommendation for now is to remain flat. 2. Support is seen at $19.20/19.00 levels, followed by $18.90, $18,75 and lower while resistance is seen at $20.40, followed by $21.70, $22.30 and higher respectively. 3. The structure indicates that Silver needs to break below $19.00 and subsequently below $18.75 levels to confirm bearish reversal. Till then prices would want to push higher. Trading recommendations: Remain flat for now. Good luck! Technical analysis of Gold for May 19, 2014 2014-05-19 Technical outlook and chart setups: 1. Gold is seen to be bouncing off ahead of support at $1,285.00 levels as seen here. The metal is producing a bullish morning star trading signal indicating that the next move could be higher up. The metal needs to break out of the cone consolidation though to confirm the direction of next big move. Recommendation for now is to remain flat. 2. Support is seen at $1,280.00, followed by $1,270.00, $1,230.00/40.00, $1,210.00 and lower while resistance is seen at $1,330.00, followed by $1,350.00/60.00, $1,388.00 and higher up respectively. 3. The structure indicates that Gold is showing signs off a bullish reversal from current levels but still needs to break above cone consolidation to confirm further direction. The $1,330.00 level needs to be taken out subsequently for bulls to continue further. Trading recommendations: Remain flat for now. Good luck! USD/CAD intraday technical levels and trading recommendations for May 19, 2014 2014-05-19 cddaily.jpgcad4h.jpg The chart shows that the USD/CAD bulls failed to show enough momentum above 1.1200 during the last visit on March 20. The bears took advantage and pushed the pair towards the price zone of 1.0910-1.0850 (50-61.8% Fibonacci levels on the daily chart). Although previous daily closure below 1.0920 took place, it didnt take long time to get a bullish engulfing daily candlestick as a bullish reaction on the next day pushed the pair again towards 1.1000. On the other hand, in the 4H chart, the price zone of 1.0995-1.1045 (38.2% Fibonacci of the most recent bearish swing) was expected to provide a valid sell entry and it did. The previously suggested bearish position taken at 1.0995 achieved its full projection target by hitting 61.8% Fibonacci level on the daily chart around 1.0830. Later on, price zone of 1.0875-1.0830 (extending down to 61.8% Fibonacci level and the lower limit of the ongoing movement ) provided significant bullish pressure. The market has shown significant bullish recovery around 1.0830 (bullish engulfing daily candlestick) aiming to push higher towards 1.0910-1.0950 and probably 1.0980 where 38.2% Fibonacci level is located on the 4H chart. However, price levels around 1.0920 paused the bullish limb and allowed the bears to resume their bearish momentum towards 1.0840 again. Bearish positions can be taken again at the price zone of 1.0940-1.0950. Its the most recent resistance zone that comes to meet the pair. Bearish targets are estimated to be at 1.0910 and 1.0950 initially. SL should be located slightly above 1.1000. Bearish breakdown of 1.0840 will expose 1.0800 immediately where 61.8% Fibonacci level is located. The USD/CAD pair will probably establish a sideway consolidation zone between 1.0930-1.0830 for sometime before bearish breakout can take place towards the lower limit of the ongoing channel around 1.0770.� EUR/AUD intraday technical levels and trading recommendations for May 19, 2014 2014-05-19 1400497805_eurauddaily.jpgeuraud4h.jpg On March 24, by breaking down 1.5175, the Double Top pattern could not only achieve its projection target at 1.4820-1.4800, but it also confirmed a bigger Head and Shoulders pattern. The bears managed to break down 1.4950 corresponding to 50% Fibonacci level once before (the nearest support level). This exposed the price level of 1.4750 (61.8% Fibonacci) on March 10. The bears failed to fixate below 1.4750 on a daily basis previously. This hindered further bearish progression giving some time for a sideway consolidation for retesting of 1.4945 (50% Fibonacci). Two bullish spikes above 1.4950 (50% Fibonacci level on the daily chart) were executed. However, the bulls fail to pursue the bullish breakout leading to failure of the bullish breakout attempt. On the other hand, Intraday support level around 1.4850 failed to provide enough support for the pair. Instead, bearish breakdown took place pushing towards 1.4730 (61.8% Fibonacci level) which was broken down as well as depicted on the chart. Overall, the daily chart suggests bearish tendency especially if the daily candlesticks maintain closures below 1.4700 where successive daily closures are located. On the other hand, price zone above 1.4530-1.4500 should be watched for bullish price action. This price zone corresponds to previous broken tops which offers a high probability trade at retesting. Bullish reaction may be expressed to offer a valid BUY entry with stop loss as daily closure below 1.4470. GBP/USD intraday technical levels and trading recommendations for May 19, 2014 2014-05-19 gbpdaily.jpggbp4h.jpg The pair has established recent resistance zone between 1.6765 and 1.6815 during February and March. These levels correspond to the previous tops in a successful Double Top pattern. The depicted BLUE uptrend line remains intact since it was established in November 2013. However, this time the bulls are failing to achieve a new high above 1.6800-1.6840. Successive ascending bottoms were established around 1.5850, 1.6250, and 1.6460, and recently another ascending bottom around 1.6735 was established. As long as the recent bottom around 1.6735 remains defended by the bulls. The market will keep developing bullish pressure to push above 1.6840. Otherwise, the bears will push strongly to the downside to keep moving within the depicted 4H channel especially after no significant bullish pressure was expressed upon the recent bullish breakout on the 4H chart. Four-Hour closure below 1.6800 will gather enough bearish momentum to push lower. On the other hand, bullish breakout above 1.6840 will expose 1.6900 and 1.6940 respectively.
Posted on: Mon, 19 May 2014 14:54:33 +0000
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