MARKET FIX 28/02/2022

USDZAR Possible Inverted Head and Shoulders

What appeared to be an initial rejection from the Yearly Pivot on Friday has now turned around again and instead is showing the YP to act as strong support. This is also now setting up a potential inverted Head and Shoulders with the right shoulder yet to fully form. But once we do get a break above ~15.50 it will set up a target near 16.40.

EURUSD Testing Major Support

We are currently seeing a test of major support from the current yearly low @ 1.112. If we get a break of price structure the short target would be at the Yearly S1 Pivot @ 1.093. Resistance will now be from the Daily 50 SMA (and 21 EMA) currently @ 1.131

GBPUSD Break in Price Structure

GBPUSD has broken below previous price structure and is well on it’s way to the target area @ 1.315. If however, we see a re-test of the breakout this can happen @ 1.351

GBPNZD Turns Out we had a Double Top

Last week we were speculating on whether we would see a double top or bull flag and as it turned out we did indeed see the double top scenario playing out with price currently trading at the 38.2% Fibonacci retracement level. There is a good chance we could see a deeper pullback towards the 50% level and also support from the Daily 200 and 100 SMA’s @ 1.969.

GBPCAD Rising Wedge Broken To Downside

Following rejection from the Yearly Pivot we have now also seen a break of the rising wedge pattern. Currently price is trading below all major MA’s and will likely start heading towards the target area @ 1.674. If we do get a correction the breakout level @ 1.714 in conjunction with the Daily 200 SMA will likely act as resistance.

USDJPY Consolidating in Bullish Trend

The trend remains bullish albeit price seeing some consolidation over the past few weeks. As long as price remains above the Daily 100 SMA the bullish trend remains intact and new highs (above 116) can be expected in due time.

NASDAQ Head and Shoulders

The NASDAQ has formed a clear head and shoulders pattern with the right shoulder residing right on the Yearly S1 Pivot @ 13430. If we get a break below this level the bearish target will be @ 11200 with the Daily 21 EMA probably acting as dynamic resistance on the way down.

GOLD Heading Higher as Momentum Builds

After a brief spike saw the gold price tag the Yearly R1 @ 1970 we have seen the precious metal quickly mean reverting back to support from the Monthly R2 Pivot @ 1885. My expectation is that this was a just glimpse of what is to still come as the price continues to climb higher and back to the YR1.

BTCUSD Continues To Struggle

Weakness continues to overshadow cryptocurrencies with bitcoin clearly still not able to catch a bid. Price continues to consolidate below the Daily 21 EMA and the bearish target @ 27k remains in place. I still do not rule out a quick correction and pullback to ~46k but suspect such a move will be met with lots of resistance and likely see the price quickly rejected.