Monday 20 February UOB Daily Forex Trade ideas, as USA markets are closed in observance of Presidents Day, expect low liquidity and erratic volatility. A light week ahead as far as high impact news is concerned. USD bullish?
AtoZForex – These are UOB forex trade ideas for 20 February on the five major pairs; AUDUSD, EURUSD, GBPUSD, NZDUSD and USDJPY.
Summary of 20 February UOB Daily Forex Trade ideas
AUDUSD: Take half profit at 0.7775-80 – Bullish bias
AUD slid to a Friday low of 0.7656 just above the UOB analysts bullish stop loss at 0.7640 level. The odds towards a upward move to the 0.7775-80 level have diminished even further, with a break of the 0.7640 indicates a temporary top in place. As mentioned last Friday, those long should take half profits at 0.7775-80. UOB added,
“… even though the prospect for such a move is not high.”
EURUSD: Range bound 1.0580-1.0750 – Neutral bias
The weak daily close by the EUR last Friday near the low of the day, indicates a short term bias to the downside. The overall outlook continues to remain neutral. A move below the low the trading range would not be at all surprising, however, the EUR would struggle to move below last week’s low of 1.0530 level. UOB added…
“…Resistance is at 1.0670 and the top-end of the expected consolidation range at 1.0750 is likely strong enough to cap any EUR strength, at least for the next several days.”
Also see: Daily Free Forex Signals
GBPUSD: Possible break lower, tentative signs – Neutral bias
Beginning of the month UOB analysts have been neutral on GBP and price actions has confirmed this. There are early signs of a possible move to the downside, since last Friday’s close has been the weakest in a month. The pair has to break below the 1.2350 with a likely move to the 1.2250 level. UOB added….
“…Overall, the immediate downward pressure is expected to increase further unless GBP can reclaim the very strong resistance at 1.2530.”
NZDUSD: Range bound 0.7150-0.7320 – Neutral bias
Very little to add as the pair traded in a narrow range on Friday. NZD near term bias has slightly shifted to the downside with a possible move below the trading range of 0.7150-0.7320 zone. UOB added…
“….even though last week’s low at 0.7135 is expected to offer solid support.”
USDJPY: Range bound 112.30-114.50 – Neutral bias (outlook unchanged)
The USD move upward from 111.55-60 last week’s low, has found a double top at 114.95 a couple of days ago. UOB added,
“…..USD is deemed to have moved into a consolidation phase and is expected to trade between 112.30 and 114.50.”
This concludes the 20 February UOB Daily Forex Trade ideas.
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