Technical analysis on AUDUSD, USDCAD, and EURJPY: 12th December -16th December

AUDUSD technical analysis: 12th December -16th December

  

Figure: AUDUSD daily chart

After breaking the triangle support region, the AUDUSD pair hit the critical support level at 0.73120.From that level pair started its bullish correction in the daily chart but stalled after hitting the minor resistance level at 0.75000 level. In the last week, the AUDUSD pair exhibited ranging movement in the market and traders were entering short at the minor resistance level. The upcoming is extremely important for the AUDUSD pair since the FED is going to declare their interest rate decision in 14th December. A hawkish hike will break the current support level of this pair. If the critical resistance level at 0.75000 holds then the pair will most likely drop towards the critical support level at 0.73120.From that level, the pair might show some bullish move but a clear decisive break of that level will lead this pair towards the next critical support level at 0.71521.This level is going to play a significant role in the market since a valid break of this level will cause a huge downfall in the AUDUSD pair.

Technically the AUDUSD pair might visit the broken trend line resistance at 0.75774 level if it manages to breach the current resistance level at 0.75000 level. From that level, the pair is most likely to find a significant amount of selling pressure in the market. The first bearish target for the pair would be the critical support level at 0.71484 level. A clear decisive break of that level will lead this pair towards the critical support level at 0.68286.This level is going to play a major role in the next prolonged direction of the AUDUSD pair. However, the pair will have some difficulty in breaching that level but a clear decisive break of that level will bring the long-term bearish trend again into action. Considering all the parameters the overall sentiment for the AUDUSD pair remains bearish for the upcoming week.

USDCAD technical analysis: 12th December -16th December  

Figure: USDCAD daily chart

There has been sharp fall in the USDCAD pair in the last week. The pair starts its bullish run two months ago but after hitting the critical resistance level at 1.35836 the pair started its bullish momentum in the market. In the last week, the broke a critical support level in the market at1.32426.This level was supposed to provide a significant amount of support to the pair but due to the OPEC recent decision regarding the oil production capping the Canadian dollar gained a significant amount of strength in the market. Currently, the pair is heading towards the trend line support zone which is situated at 1.30805.This level is going to provide a significant amount of buying pressure to the USDCAD pair and professional traders will be looking to enter long with bullish price action signal near the trend line support zone.

Currently, the Canadian dollar is significantly strong in the global market and in the upcoming week we are going to see an interest rate hike by the FED in their FOMC meeting minutes.TO be precise both the currency is exhibiting immense strength in the market. Professional price action traders are looking to go long in this pair at the trend line support zone. However, a clear break of the trend line support at 1.30805 will bring strong bearish momentum in the USDCAD pair. The first bearish target for the USDCAD pair will be the critical support level at 1.27644.This level will provide some initial support to this pair but if the pair falls to such a low level then we might see a retest of the key support level at 1.24526.Considering all the parameter we will look to buy this pair near the trend line support only with bullish price action confirmation signal.

EURJPY technical analysis: 12th December -16th December 

Figure: EURJPY weekly chart

There has been a strong rally in the EURJPY pair after it broke the channel resistance on the daily chart at 116.386.From that level, the pair started its bullish movement on the daily chart and finally stalled after hitting the critical resistance level at 123.00.If the pair manages to breach that level then we will see an another bullish run in the EURJPY pair towards the next critical resistance level at 126.43.From that level, we are expecting strong selling pressure in the EURJPY pair in favor of the long-term bearish trend. However, a valid break of that level will confirm the establishment of the new bullish trend in the market.

IF the current critical resistance level at 123.00 manages to restrict the bullish move of the pair then the first bearish target for the pair would be the critical support  level at 118.80.From that level, we might see some fresh buying pressure in the market. A clear decisive break of that level will bring strong bearish movement in the market targeting the key support level at 116.386.This level is going to play a significant role in the EURJPY pairs since it was the previous tough resistance zone for the EURJPY pair. A valid break of that critical support level will lead this pair towards the key support level at 112.330.If the pair manages to breach that level then we will see the long-term bearish trend again into action. Considering the current situation the overall bias remains slightly bearish for the EURJPY pairs. But selling this pair at the current level without any price action confirmation signal will be an immature act.