A Mixed Bag To Start The Trading Week

• 8 Jan 2018

EUR/NZD

The EUR/NZD pair has reached a recent support level at the 1.676 price line. The question is whether the pair will be able to break to the downside or the support level will stall the current move.  Momentum indicators have flattened in bearish territory which may indicate a lack of appetite from Euro sellers to push prices lower.

AUD/JPY

The AUD/JPY pair appears to have reached exhaustion in the uptrend with a series of doji- style candles indicating indecision near a previous market top. RSI has also reached overbought conditions. The next likely price target for sellers is the 88.026 price line which represents a fairly significant support area.

NZD/CHF

The NZD/CHF is approaching a previous market top at the 0.7010 price area as well as overbought conditions on RSI. At the same time MACD indicates that momentum has stalled in bullish territory, which may suggest the end of the uptrend.

AUD/USD

A doji candle at the top of the AUD/USD bullish run likely represents the beginning of a bearish reversal. The current session’s candle confirms buyers are dominating. RSI confirms the bearish move and is moving out of overbought conditions.