On Thursday, the following strong calendar news came out:
- 8:55 PM London time. EUR, PMI in Germany for January is expected at 61.2, versus the previous value at 61.2;
- 9:30 AM London time. GBP, business activity index in the manufacturing sector (PMI) for January is projected at 56.5, versus the previous value of 56.3;
- 3:00 PM London time. USD, PMI for January is anticipated at 58.8, compared with the previous value of 59.3.
EUR / USD pair
Trend analysis (Figure 1)
On Wednesday, the price in the side channel failed again to overcome the upper target of 161.8% (red dotted line). On Thursday, an attempt to move upward had started. The complex analysis will more accurately determine the price direction.
Fig. 1 (daily chart).
Indicator analysis on the daily schedule (Figure 2).
The system of ADX indicators (Figure 2).
On the last run, the fast line (indicator 5 - white) and the slow line (indicator period 8 - blue) moved down. In this case, the trend should be determined by the oscillator type of indicators.
Stochastic indicator (period 3/3/4) on the daily chart shows a downward trend (Fig. 2).
The system of RSI indicators (Figure 2).
When working with the daily chart, the following periods are used in the RSI indicator system: 21 (brown), 8 (blue), 13 (yellow), 5 (red).
At the last day's closed candle.
The calculation of the RSI indicator (5) on the properties moves down.
Calculation of the RSI indicator RSI (8) by properties moves down.
The bottom line of the RSI indicator system indicates a downward trend.
The calculation of the CCI indicator on the properties moves down.
The bottom line of the CCI indicator system indicates a downward trend.
The result of the indicator analysis shows the price will have a downward trend.
Fig. 2 (daily chart).
Complex analysis:
- indicator analysis - down;
- Fibonacci levels - down;
- volumes - upwards;
- candle analysis - neutral;
- trend analysis - up;
- Bollinger lines - down;
- Weekly schedule - down.
General conclusion.
On Thursday, the market would likely to move downwards with the first target at 1.2336 (lower fractal).
Pair GBP / USD
Trend analysis (Figure 1)
On Wednesday, the price continued to move upward, hitting off the support line. The market may continue to move up on Thursday. The complex analysis will more accurately determine the price direction.
Fig. 1 (daily chart).
Indicator analysis on the daily schedule (Figure 2).
The system of ADX indicators (Figure 2).
On the last run, the fast line (indicator 5 - white) and the slow line (indicator period 8 - blue) moved down. In this case, the trend should be determined by the oscillator type of indicators.
Stochastic indicator (period 3/3/4) on the daily chart gives a downward trend (Fig. 2).
The system of RSI indicators (Figure 2).
When working with the daily chart, the following periods are used in the RSI indicator system: 21 (brown), 8 (blue), 13 (yellow), 5 (red).
At the last day's closed candle.
The calculation of the RSI indicator (5) on the properties moves down.
Calculation of the RSI indicator (8) by properties moves down.
The bottom line of the RSI indicator system indicates a downward trend.
The calculation of the CCI indicator on the properties moves down.
The bottom line of the CCI indicator system indicates a downward trend.
The result of the indicator analysis shows the price will have a downward trend.
Fig. 2 (daily chart).
Complex analysis:
- indicator analysis - down;
- Fibonacci levels - down;
- volumes - upwards;
- candle analysis - neutral;
- trend analysis - up;
- Bollinger lines - up;
- Weekly schedule - down.
General conclusion:
On Thursday, the GBP / USD pair may have a downward movement with the first target of 1.4150.
* The presented market analysis is informative and does not constitute a guide to the transaction.
