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FX Majors Overview: Bearish Trends Dominate

Published 12/17/2018, 04:48 AM
Updated 05/14/2017, 06:45 AM

Today we look at EUR/USD, GBP/USD and AUD/USD daily charts ahead of Wednesday's FOMC meeting.

EUR/USD Daily

  • Friday’s close beneath the triangle consolidation pattern suggests that EUR/USD is breaking out of compression.
  • An elongated bearish hammer marks the third bearish reversal pattern near the highs of a coiling formation.
  • A break of 1.1216 suggests the longer-term bearish trend is ready to resume.

EUR/USD Daily Chart

GBP/USD Daily

  • The dominant trend remains bearish.
  • Last week’s rebound failed to close back above the August low.
  • Friday’s sell-off suggests a swing high could be in place, making the 1.2662/86 resistance zone a pivotal area for bulls and bears.

GBP/USD Daily Chart

AUD/USD Daily

  • A momentum shift at 0.7394 sees bears dominating sentiment.
  • After a shallow retracement, a bearish hammer marks a likely swing high at 0.7247.
  • A break of Friday’s low takes it back beneath a pivotal level (0.7160) and brings the 2018 low into focus.

AUD/USD Daily Chart

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