Daily Market Analysis

USD/CAD has turned sharply down at the start of January and has been declining since then.

Gold is at the upper Bollinger band and 50-week MA went below 100-week MA.

The pair formed a “hammer” on W1 and is now likely to retrace to higher levels.

The picture on W1 looks very much like the “Head and Shoulders” with the neckline at 3.68 or 3.56.

The pair broke above the resistance line going through October highs but then was stopped by the 50% Fibonacci at 14.6380.

The pair recoiled down from the 50-day MA at 0.6750 and closed below 50% Fibonacci at 0.6715.

On the daily chart of EUR/GBP, there is the transformation of the "Shark" pattern into the 5-0 one.

On the daily chart of EUR/USD, bulls try to break the upper border of the 1.1265-1.1445 consolidation range, which was formed as a part of the "Spike and Ledge" pattern's implementation.

EUR/USD keeps trading with volatility but in a small range. There’s a very strong support level at 1.1310 (200-week MA).

EUR/JPY has reached the support line connecting 2018 lows and the lower weekly Bollinger band in the 125.50 area.

On the daily chart of USD/CHF, the return of the pair towards the resistance near the parity level (1.00), will push the pair towards the targets of the 5-0, "Wolfe Waves" and AB=CD patterns.

On the daily chart of USD/JPY, bears managed to reverse the uptrend due to the implementation of the "Three Indians" and "Spike and Ledge" patterns' combination.