• Contact Us
  • Homepages
Most Forex
  • For Beginners
  • Strategies
  • Technical Analysis
  • Product Reviews
  • News
  • Videos
No Result
View All Result
  • For Beginners
  • Strategies
  • Technical Analysis
  • Product Reviews
  • News
  • Videos
No Result
View All Result
Most Forex
No Result
View All Result
Home Technical Analysis

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

Forex Tips by Forex Tips
July 22, 2020
in Technical Analysis
0
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter


AUD/USD, NZD/USD, S&P 500, Trader Positioning – Talking Points

In financial markets, currencies like the growth-linked Australian and New Zealand Dollars recently achieved upside breakouts along with cautious gains in the S&P 500. In this week’s session on IG Client Sentiment (IGCS), I break down these movements. IGCS is typically viewed as a contrarian indicator. For a further in-depth analysis that branches into fundamental discussion, check out the recording of the session above.

Starts in:

Live now:

Jul 29

( 00:07 GMT )

Join me each week for positioning analysis!

What Do Other Traders Buy/Sell Bets Say About Price Trends?

Register for webinar

Join now

Webinar has ended

AUD/USD Sentiment Outlook – Bearish

The IGCS gauge implies that 28.90% of retail investors are net long AUD/USD. Upside exposure in this pair has decreased by 10.36% and 10.60% over a daily and weekly basis respectively. The combination of current sentiment and recent changes offers a stronger bullish contrarian trading bias. From a psychological standpoint, this could speak to a rising share of traders who perceive the price as too expensive.

Develop the discipline and objectivity you need to improve your approach to trading consistently

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

Australian Dollar Technical Analysis

AUD/USD surged past the key resistance range between 0.7015 – 0.7064, setting course to retest highs from 2019. This is arguably the most meaningful upside progress since early June as prices spent most of the past few weeks consolidating. Negative RSI divergence does show that upside momentum is fading, and that can at times precede a turn lower. In the event of a turn lower, keep an eye on the 20-Day Simple Moving Average (SMA) for support.

AUD Forecast

AUD Forecast

Recommended by Daniel Dubrovsky

What is the road ahead for AUD in Q3?

AUD/USD – Daily Chart

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

AUD/USD Chart Created in Trading View

NZD/USD Sentiment Outlook – Bearish

The IGCS gauge implies that 43.45% of retail investors are net long NZD/USD. Upside exposure has increased by 16.24% and 19.82% over a daily and weekly basis respectively. Traders are also less netshort over the same periods. With that in mind, recent changes in sentiment warn that the current price trend may soon reverse lower despite the fact traders remain netshort.

How to Use IG Client Sentiment in Your Trading

How to Use IG Client Sentiment in Your Trading

Recommended by Daniel Dubrovsky

Improve your trading with IG Client Sentiment Data

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

New Zealand Dollar Technical Analysis

NZD/USD surged past the key resistance range between 0.6551 – 0.6585, pausing its rise on the 23.6% Fibonacci extension at 0.6644. This has exposed the December 31st high at 0.6756. Much like with AUD/USD, negative RSI divergence is present here which may precede a turn lower. If prices turn lower, the 20-day SMA sits below and may keep losses at bay.

NZD/USD – Daily Chart

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

NZD/USD Chart Created in Trading View

S&P 500 Sentiment Outlook – Bearish

The IG Client Sentiment (IGCS) implies that 27.99% of retail traders are net long the S&P 500. Net short bets have decreased by 9.63% and 2.30% over a daily and weekly basis respectively. Recent changes in sentiment warn that the current price trend may soon reverse lower despite the fact traders remain netshort.

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

S&P 500 Technical Analysis

S&P 500 futures recently took out highs from June, exposing the all-time peak at 3397. Tuesday’s candle does fit the parameters of a Shooting Star candlestick, a sign of indecision. A further upside close could invalidate it. Negative RSI divergence shows fading upside momentum. A turn lower places the focus on near term rising support from late June – red line on the daily chart below.

S&P 500 Futures – Daily Chart

AUD/USD, NZD/USD, S&P 500 Breakouts Analyzed, Where to Next?

S&P 500 Chart Created in Trading View

*IG Client Sentiment Charts and Positioning Data Used from July 21 Report

— Written by Daniel Dubrovsky, Currency Analyst for DailyFX.com

To contact Daniel, use the comments section below or @ddubrovskyFX on Twitter





Source link

Share76Tweet47

Related Posts

Nasdaq 100 Technical Outlook in for a Big Test in Days, Weeks Ahead

S&P 500, Nasdaq 100 Pushing Onward; Watch FANMAG Breakout

by Forex Tips
January 26, 2021
0

U.S. Indices Technical Highlights:S&P 500 may be ready to break out of its channel soonNasdaq 100 beginning to trade...

Our data shows traders are now net-long Germany 30 for the first time since Dec 11, 2020 when Germany 30 traded near 13,135.60.

Our data shows traders are now net-long Germany 30 for the first time since Dec 11, 2020 when Germany 30 traded near 13,135.60.

by Forex Tips
January 25, 2021
0

Number of traders net-short has decreased by 32.23% from last week. SYMBOL TRADING BIAS NET-LONG% NET-SHORT% CHANGE IN LONGS...

On the Verge of a Bullish Breakout? Levels for CAD/JPY, USD/CAD

by Forex Tips
January 25, 2021
0

Canadian Dollar Forecast Overview:CAD/JPY rates look ready to trade higher as multi-year resistance is pressured. USD/CAD rates look like...

DAX 30 Technical Outlook – Triggering Short-term Bearish Pattern

DAX 30 Technical Outlook – Triggering Short-term Bearish Pattern

by Forex Tips
January 25, 2021
0

DAX Technical Highlights:DAX snaps the neckline of a head-and-shoulders patternDaily levels to watch below on further weakness The DAX...

GBP/USD, EUR/GBP Wedge Patterns in Focus

by Forex Tips
January 24, 2021
0

GBP/USD, EUR/GBP Technical Forecast – Talking PointsGBP/USD rally in question as prices test Rising Wedge trendline resistance Falling Wedge...

Load More

Categories

  • Crypto Strategies
  • Currency
  • For Beginners
  • Forex News
  • Forex Trading Tips & Strategies
  • Investment
  • Technical Analysis
  • Videos
Forex Pulse Detector

Categories

  • Crypto Strategies
  • Currency
  • For Beginners
  • Forex News
  • Forex Trading Tips & Strategies
  • Investment
  • Technical Analysis
  • Videos

Newsletter

  • Home
  • Contact
  • Privacy Policy
  • Store

© 2018 Forex Blog

No Result
View All Result
  • Contact Us
  • Homepages

© 2018 Forex Blog.