Daily analytical report (07/08/18)

Alpari Market Review
Alpari Market Review

USDJPY is still under the influence of the inverse head and shoulders pattern, which in the last week resulted in a nice buy signal. Currently, we have a correction, but this is a flag and encourages a breakout of its upper line. The green support is crucial here. As long as we are above, the buy signal is on.

EURAUD finally broke the lower line of the sideways trend that has lasted for the past few weeks. That is quite a sell signal, further strengthened by the RBA and their hawkish statement. The price is now drawing the right shoulder of the H&S formation. The potential for a sell signal could be huge.

CHFJPY is having a great pattern on the weekly chart. There is a double top formation at the resistance. There are two shooting stars, a bounce from the 38.2 % Fibonacci, and a breakout of the lower line of the wedge. That could be a strong sell signal!

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