MARKET FIX 20/09/2021

USDZAR Strong Recovery, but Re-test Possible

The USDZAR has seen a good recovery following the recent relentless sell-off. The recovery has now seen a 61% retracement and I suspect it will start finding some resistance around 14.85 to 14.90 which could lead to a re-test around the Daily 200 SMA @ 14.50 to 14.60. The longer term bias remains bullish but this does not technically rule out a much deeper pullback (time will tell).

EURUSD Structure Breakdown Imminent?

The EURUSD is trading back at the 1.170 level which signifies an important market structure level of previous support which if broken could lead to a large double top formation playing out. For now additional support stands @ 1.164 with resistance @ 1.180.

GBPUSD Massive Head and Shoulders Forming

At this point we can only speculate as to when and whether it will play out but there is no denying there is a massive head and shoulders forming with a neckline very near to the current Monthly S1 pivot @ 1.360. Looking at the current market structure and price action I suspect there is a high probability chance we will test the neckline should we lose the 1.366 level of support. Currently, the 200 Daily SMA @ 1.383 will act as resistance should the price head back up.

EURGBP Bullish Reversal: New Trend Emerging

EURGBP is showing all the signs of a new emerging bullish trend with price not being able to make a new low since the lows in August. Once the price closes above the Daily 100 SMA @ 0.856 I suspect a move to the Daily 200 SMA @ ~0.863 is likely since this level coincides with the Monthly R1 Pivot and previous swing highs of July. Support can be found @ 0.850 with a break below this probably looking to test new lows @ 0.844.

AUDUSD Looking to Test Previous Swing Low

Judging from price action at the Monthly R1, it appears the AUDUSD has established now established a new bearish trend and is looking to test the previous swing low currently residing at the Monthly S1 @ 0.712. resistance will be provided by the current Monthly Pivot @ 0.728 with a break above that likely seeing a move back towards 0.741

NASDAQ Will Support Hold?

The NASDAQ has held up well as far as indices go but it is currently testing important Support from previous resistance and the Daily 50 SMA. From here the next level of support is the Yearly R1 Pivot @ 15000. If this level does not hold I suspect a sell-off to the Monthly S2 @ 14400 as this is where some other diagonal levels of support also converge. Resistance is currently @ 15500.

Brent Crude Breakout Re-test in Progress

After breaking out of consolidation Brent Crude appears to be heading for a re-test of the breakout level @ 73.25. If price can find support from there the next level of resistance can be found @ 76.43 (MR1). If however, it fails the next level of support is the Monthly Pivot @ 70.60

Gold Look for Re-test of Breakout

Gold has broken below major diagonal and horizontal support but I am not yet convinced of a sustained bearish move. In the near term, a re-test of the breakout level @ 1780-1790 is very likely with more downside more likely if the re-test fails. Support is currently around 1740 with a recovery probably looking for a test of previous swing highs @ 1830.

BTCUSD Testing Important Support

Bitcoin is currently testing major support from the Monthly Pivot and will need to get back above the Yearly R2 Pivot @ 46k if it wants to recover. Below 44k there is definitely more downside to around 42k where price will have support from the Daily 100 SMA.