MARKET FIX 18/10/2021

EURUSD Bearish Continuation

The expectation is that we will see the bearish trend continue, the question however is whether we will see a deeper correction towards the Daily 50 SMA @ 1.170 or whether interim resistance at the 21 EMA will hold and we see a new structure low before any meaningful correction. In this alternative scenario, a break below lower diagonal support could see a move towards the Monthly S2 pivot @ 1.134

GBPUSD Bearish Continuation

Unlike the EURUSD the GBPUSD has already seen a decent correction with strong resistance from the Daily 100 SMA just a few points above last week’s highs. This sketches a much clearer picture of bearish continuation towards structure lows @ 1.349

EURGBP Expecting a Double Bottom

We have been expecting a bottom in EURGBP for some time now and it would appear that we are now very close. Any bullish price action that will see the price move back above the weekly pivot @ 0.845 could signify the recovery with the first area of resistance @ 0.853 (Daily 100 SMA) followed by 0.858 (Daily 200 SMA)

AUDUSD Reversal or Breakout

AUDUSD is finding itself up against some strong resistance from the Daily 100 SMA and Monthly R1 @ 0.740. If it manages to stay above the Daily 21 EMA there is a chance that we will see a break higher but if not the more likely scenario would be another move lower towards the last swing lows @ 0.718

NZDUSD Rejection of Daily 200 SMA

Based on the latest candle we are witnessing what appears to be a strong rejection of the Daily 200 SMA. This rejection could initially see the price heading lower towards the Weekly Pivot @ 0.702 with a break below it possibly seeing brand new structure lows.

USDCHF Successful Test of Support

USDCHF has seen a successful test of the symmetrical triangle breakout from last month with the Daily 50 SMA also providing some additional support. Possible targets include the Weekly S2 pivot @ 0.936 and the Monthly R1 pivot @ 0.942

NASDAQ Keep An Eye On The Major Levels

The NASDAQ managed to get back above the Daily 21 EMA and are now trading up against the Daily 50 SMA which is showing some resistance hinting towards a possible pullback towards the weekly pivot @ 15k. The other important levels to watch are resistance from the monthly R1 @ 15385 and support from the Weekly S1 @ 14785. Breakouts from either could see a bigger move in the direction of the breakout

ETHUSD Inverted Head and Shoulders

The inverted head and shoulders breakout suggests we could see a move higher towards the Monthly R2 pivot @ 4600. The weekly pivot @ 3750 will act as interim support with a break below it possibly seeing a correction towards the Daily 100 SMA @ 3150