Tag Archives: Technical Analysis

Investing in China’s Stock Exchanges

China is the world’s second-largest economy, with a population of 1.4 billion contributing around 30 per cent of global growth in the last eight years.

China made impressive economic and social developments the previous years, but the market reforms are incomplete, and it’s per capita income remains at 25% of the average of the high-income countries. Chinese Government forecasts that it will eliminate absolute poverty by 2022. Statistics show that there are an estimated 372.8 million people below the “upper middle income” international poverty line of $5.50 a day.   

The Chinese economy has registered an impressive growth the last decade but now faces a major threat as USA has imposed tariffs to Chinese products. Chinese companies now facing increasing market-access challenges in the US, especially in B2B markets. A recent example is the ban of Huawei Technologies and ZTE from the telecom-infrastructure market, but also, federal government restricting its purchases of goods and services from Chinese companies but also discourages its core vendors from buying from China.

According to many analysts, China will overtake the U.S. by 2030 to become the No. 1 economy by GDP in the world.  China’s size and GDP growth rate, which hit 6.6% in 2018 and forecasts setting the growth rate at 6.3% for 2019, it’s not a surprise that global traders and investors are interested in China stocks and China funds.

Investing in Chinese companies involve risks such as currency risk (forex), volatility, regulatory risks, and country risk. Traders can buy stocks listed on the main Chinese stock exchanges, the Hong Kong Stock Exchange, the Shanghai Stock Exchange and the Shenzhen Stock Exchange. There are also many Chinese companies, that are listed in US Stock Exchanges through ADR’s.

Shenzhen Composite Index Technical Analysis

The Shenzhen Composite Index (SZSE Composite) is trading at 1631.88 registering gains for the second day in a row after yesterday the SZSE Composite tested successfully the 50-day moving average and managed to rebound keeping the bullish momentum for the index as now it trades above all major moving averages. On the upside immediate resistance stands at 1,696 the high from September 11th 2019, while the next resistance is at 1,798 the high from April 8th 2019.

Shanghai Composite Technical Analysis

The Shanghai Composite Index trading at 2,947 gaining 18.20% since the beginning of 2019 while for the 12-month period is adding 14.10%. In the daily chart, the momentum is positive as the index is trading above all major daily moving averages. The index found support at 2,920 the 100-day moving average. On the upside, first resistance for the Shanghai Composite Index stands at 3,042 the high from September 16th, while the next barrier will be the high from April 22nd at 3,274. On the flipside support for the index stands at 2,885 the 200-day moving average while next support is at 2,764 the low from August 15th.

Forex Technical analysis week: 9-13 October 2017

Forex Technical analysis week: 9-13 October 2017

10-12-2017

GBPUSD regains bullish momentum breaking above the 50 hour moving average and also breaking above the 50 daily moving average after rumors that EU may offer UK a 2 year transition period, stay long as the pair is trading above 1.32

10-11-2017

EURUSD keeps the positive momentum today for third day as EUR relief came from Catalunia president. Short term bullish is well intact as the pair trades above the hourly averages and now is testing the 50 day moving average, a break above will give the bulls the upper hand targeting 1.1862.

10-9-2017

GBPUSD made an impressive rally today gaining more than 100 pips from the lows at 1.3073. Consistent bids send the price higher to the first resistance level at the 100 hour MA at 1.3183 but the lack of volume gave the opportunity to sellers to take control, a move back to 1.31 area looks possible.

 

10-6-2017

EURUSD is trading higher for third day after it managed to find support at 1.1695. The pair has broken above the 50h MA today and reached the 100h MA at 1.1738. EUR was very strong today against USD despite strong NFP data.

For now next resistance is at 1.1830, support could be found at 1.1695 (low Oct 3) and 1.1662 (low Aug 17).

I am watching short term action closely as the bullish momentum on the daily chart is still intact, but I believe reading the short term signals suggest for a move to 1.15.

10-5-2017

USDJPY is trading in narrow 105 pip trading range for the last week. The price is trading below the 100h MA and finds support at 112.45, the 200h MA.  The biggest driver is the Fed rates decision in December and also Donald’s Trump tax reform which supports the US Dollar.  First resistance is 113.26 and then 113.82. A break below 112.45 will be bearish and can drive the price down to 111.75.




 

EURUSD is trading higher for second day after it managed to find support at 1.1695. The pair has broken above the 100h MA and reach today 1.1779. Stay long as long as the pair is trading above 1.1762.

For now next resistance is at 1.1830, support could be found at 1.1695 (low Oct 3) and 1.1662 (low Aug 17)

 

 

 

Forex Technical analysis week: 17-21 July 2017

USDJPY Technical analysis July-19-2017

USDJPY is under selling pressure today and sellers now are in full control as the pair broke below the 50d MA and 100d MA and now it is targeting the 111.21 level, meanwhile USD is weak across the board.

AUDUSD Technical analysis July-12-2017

AUDUSD made an impressive rally the last days but now have reached overbought levels, meanwhile USD looks strong across the board, a profit taking looks possible.

EURUSD Technical analysis July-12-2017

EURUSD is under pressure after Yellen’s speech and broke all the supports just to hit the daily low at 1.1391 the strong support of 200h MA I will enter a long position as we expect the pair to rebound from that support and regain 1.14 level

EURUSD Technical analysis July-11-2017

EURUSD is making new yearly highs, the consolidation around 1.14 has ended with a break to the upside getting help from Donald Trump Jr. posts about email chain with Russian lawyer offer to provide information on Clinton. A close above 1.1465 will give bulls a chance to reach 1.15

GBPUSD Technical analysis July-11-2017

GBPUSD is trading higher today and has already made two attempts to break above the 100h MA. 1.2920 level looks like a strong resistance and we expect the pair to pullback.

USDJPY Technical analysis July-10-2017

The pair failed today to break above the May high at 114.36, it stopped at 114.29, but there is nothing to worry the longs as the pair holds above 114. So stay long as USDJPY is trading above 114, first resistance at 114.36 and then 114.95

GBPUSD Technical analysis July-07-2017

GBPUSD breaks below the 1.29 level after worst than expected manufacturing and industrial production data. Investors dump GB amid expectations that the UK economy could be headed for a slowdown and short term trend broke below the 200h MA

EURUSD Technical analysis July-04-2017

EURUSD is trading in narrow trading range just 41 pips from low to high as us markets are closed. EUR bullish momentum is still intact but we expect a minor pullback for later today

USDCAD Technical analysis June-28-2017

USDCAD is approaching again the daily lows at 1.2964, an early USD reaction earlier today ended just above 1.30. Stay short as long as the pair is trading below 1.2985. Remember that the CAD is often traded as a proxy for crude oil, so make sure that you are watching to what’s going on in that market. Today is Independence Day in USA, and that will work against volume in USDCAD, as the pair is heavily weighted towards North American trading




USDCAD Technical analysis June-28-2017

USDCAD is down 1.10% to lows that we haven’t seen since February 24. The pair has reached oversold level and the crude price is still under pressure, we expect a short recovery from that level.

EURUSD Technical analysis June-27-2017

EUR bulls are back in town breaking above the 1.13 level and bears are running away. I expect more buying as long as the pair hold above 1.13

EURUSD Technical analysis June-26-2017

There is something that we don’t like about the EUR today. The pair moved above last week high at 1.1212 and hit 1.1219, even the macro news was against USD like the Dallas Fed activity index which was lower than expectations, the pair failed to hold the gains and broke below the 1.12 level. The move today suggests that buyers are not very confident and a move lower looks possible.

EURUSD Technical analysis June-23-2017

Finally the pair after trading for 4 days in very narrow trading range (30-40 pips) managed to break emphatically above the 200h MA enhancing the long term bullish momentum for EUR

USDCAD  6-22-2017

Strong Canadian retail sales send the USDCAD to daily low at 1.3207 down more than 100 pips for the day. Meanwhile crude oil is trading 1.4% higher after 4 days of losses. Sellers are in full control of the situation here as better macro data increase the chance of a rate hike on July 12th by Bank of Canada.

GBPUSD  6-21-2017

It looks like the gbpusd found support at the 100d MA and that gave the buyers some confidence. We are not very sure if the rebound will last but i will give it a try targeting the area below intraday high around 1.2682

EURUSD Technical analysis June-20-2017

EURUSD short term outlook has turn negative as sellers took control and every rebound looks like an opportunity for entering short positions. Major support is the 50d MA at 1.1012

GBPUSD bearish momentum 6-20-2017

GBPUSD is under heavy selling pressure today and found support just at 1.2602 level. The pairs momentum turn bearish as it broke below the 100d MA and now the next support could be found in 1.2578 which is the 50% of the move up from March low. Stay short as long as the price trades below the 100d MA

EURUSD Technical analysis June-19-2017

EURUSD is trading in a narrow trading range but since last week the pair short term view looks bearish even that the long term picture is bright. We believe that as long as the pair is trading below 1.12 you should keep your short position, a break above 1.12 will give bulls a chance.




 

 

Risk Warning

Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade forex you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and, therefore, you should not invest money you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.

ATTENTION
The information is not an offer, no promotion, no consultation and no advice to buy or sell stocks, indices or currencies.  Trading stocks, indices or currencies is not only a chance, there is always a risk to lose money. Please only trade currencies if you are able to compensate possible losses. Please note that high profits always also contains a high risk. Please also trade with money that you dont need for daily costs.  Interferences with availability over the internet, availability of email deliverability or other software problems are further possible risks when trading with currencies.
Disclaimer: Trading foreign exchange (“Forex”), Commodity futures, options, CFDs and SpreadBetting on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange (“Forex”), Commodity futures, options, CFDs or SpreadBetting you should carefully consider your monetary objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your deposited funds and therefore you should not speculate with capital that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange, Commodity futures, options, CFDs and SpreadBetting trading, and seek advice from an independent advisor if you have any doubts. Past returns are not indicative of future results.
This technical analysis is intended to provide general information and does NOT constitute the provision of INVESTMENT ADVICE. Investors and traders should, before acting on this information, consider the appropriateness of this information having regard to their personal objectives, financial situation or needs. We recommend investors obtain investment advice specific to their situation before making any financial investment decision.
TCResearch guarantees neither the entirety nor accuracy of the analysis. Any consequent exposure related to the advice / signals which emerge in the analyses is completely and entirely at the investors own expense and risk. TCResearch is not responsible for any loss, either directly or indirectly, which arises as a result of the use of TCResearch analyses. Details of any arising conflicts of interest will always appear in the investment recommendations.

USDJPY and AUDUSD Technical analysis

Technical analysis

USDJPY changes direction to bullish as it breaks below the 50h MA. The pair hit the daily high at 111.59 during the Draghi speech, but sellers took control and driving the pair to 111

AUDUSD hits fresh 3 month lows at 0.7439 the lowest level since January 12, it is the fourth daily decline in a row and the pair has reached oversold level, we expect a small rebound.

GBP still holds the bullish momentum and every pull back is a buy opportunity. Bulls will get a boost if the pair will regain the 1.29 level

Technical Analysis for EURUSD and USDCAD

Technical Analysis for EURUSD and USDCAD

EURUSD gapped up higher today and is keeping most of the gains after the results of French election. The pair hit the daily high at 1.0904 and made the low at 1.0820 just below the 200d MA and is moving slower higher after. It is bullish that EURUSD tested with success the 200d MA, so we will stay long as the pair is trading above that support.

USDCAD makes and impressive comeback after touching the daily low at 1.3410, enhancing the bullish momentum that we wrote about last week. We are expecting short covering to start soon in the US session.

 

ATTENTION
The information is not an offer, no promotion, no consultation and no advice to buy or sell stocks, indices or currencies.  Trading stocks, indices or currencies is not only a chance, there is always a risk to lose money. Please only trade currencies if you are able to compensate possible losses. Please note that high profits always also contains a high risk. Please also trade with money that you dont need for daily costs.  Interferences with availability over the internet, availability of email deliverability or other software problems are further possible risks when trading with currencies




Disclaimer: Trading foreign exchange (“Forex”), Commodity futures, options, CFDs and SpreadBetting on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange (“Forex”), Commodity futures, options, CFDs or SpreadBetting you should carefully consider your monetary objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your deposited funds and therefore you should not speculate with capital that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange, Commodity futures, options, CFDs and SpreadBetting trading, and seek advice from an independent advisor if you have any doubts. Past returns are not indicative of future results.
This technical analysis is intended to provide general information and does NOT constitute the provision of INVESTMENT ADVICE. Investors and traders should, before acting on this information, consider the appropriateness of this information having regard to their personal objectives, financial situation or needs. We recommend investors obtain investment advice specific to their situation before making any financial investment decision.

 

GBPUSD Technical Analysis

GBPUSD Technical Analysis

GBPUSD spiked higher early today breaking the 50h and 100h MA and hit the daily high at 1.2255, and now retracing back, breaking below the 1.22 level. This is a nice entry point for longs as long the 100h MA support is on hold.

 

AUDUSD Technical Analysis

AUDUSD deploys positive momentum from 9th March low at 0.7487 and is close to break above the 0.76 level after the FOMC decision today. The 100 days MA offers the long term support and the 50h MA tested today and send the pair higher.

 

All forms of trading carry a high level of risk so you should only speculate with money you can afford to lose. You can lose more than your initial deposit and stake. Please ensure your chosen method matches your investment objectives, familiarize yourself with the risks involved and if necessary seek independent advice.
CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAN ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.

Technical Analysis USDJPY and EURUSD

Technical Analysis USDJPY and EURUSD

USDJPY is under pressure today breaking and the 113 level. The pair will rebound from current level as it has reached oversold level and the shorts will run for some profit taking.

EURUSD is trading today in positive bias again as dollar is under pressure. The pair reached the daily high t 1.0754 and i will stay bullish as long as the pair is trading above the 1.0715 level.

Support levels for EURUSD at: 1.0699 – 1.0686 – 1.0677
Resistance levels for EURUSD at: 1.0746 – 1.0763 – 1.0781

ATTENTION
The information is not an offer, no promotion, no consultation and no advice to buy or sell stocks, indices or currencies.  Trading stocks, indices or currencies is not only a chance, there is always a risk to lose money. Please only trade currencies if you are able to compensate possible losses. Please note that high profits always also contains a high risk. Please also trade with money that you dont need for daily costs.  Interferences with availability over the internet, availability of email deliverability or other software problems are further possible risks when trading with currencies
Disclaimer: Trading foreign exchange (“Forex”), Commodity futures, options, CFDs and SpreadBetting on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange (“Forex”), Commodity futures, options, CFDs or SpreadBetting you should carefully consider your monetary objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your deposited funds and therefore you should not speculate with capital that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange, Commodity futures, options, CFDs and SpreadBetting trading, and seek advice from an independent advisor if you have any doubts. Past returns are not indicative of future results.

USDJPY Morning Report

 

The less than hawkish FOMC report send the pair below the 116 level hitting the lows at 115.57 crushing all supports. The technical picture is deteriorating for USDJPY and have already lost 200 pips in the Asian trading session. The massive sell off drove the pair to oversold levels and some traders will run to buy the dip for the rebound. First target on the upside the 116.25 level.

 

EURUSD hits fresh 14-year low at 1.0339

Daily Technical Aanlysis

ATTENTION
The information is not an offer, no promotion, no consultation and no advice to buy or sell stocks, indices or currencies.  Trading stocks, indices or currencies is not only a chance, there is always a risk to lose money. Please only trade currencies if you are able to compensate possible losses. Please note that high profits always also contains a high risk. Please also trade with money that you dont need for daily costs.  Interferences with availability over the internet, availability of email deliverability or other software problems are further possible risks when trading with currencies
Disclaimer: Trading foreign exchange (“Forex”), Commodity futures, options, CFDs and SpreadBetting on margin carries a high level of risk, and may not be suitable for all investors. Before deciding to trade foreign exchange (“Forex”), Commodity futures, options, CFDs or SpreadBetting you should carefully consider your monetary objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your deposited funds and therefore you should not speculate with capital that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange, Commodity futures, options, CFDs and SpreadBetting trading, and seek advice from an independent advisor if you have any doubts. Past returns are not indicative of future results.
This technical analysis is intended to provide general information and does NOT constitute the provision of INVESTMENT ADVICE. Investors and traders should, before acting on this information, consider the appropriateness of this information having regard to their personal objectives, financial situation or needs. We recommend investors obtain investment advice specific to their situation before making any financial investment decision.

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