Thursday 23 February Daily Forex trading tips: USD bullish?


Thursday 23 February Daily Forex trading tips, a bit quiet in the markets as the Dow continues on its upward path. What are the currency pairs reacting? Read on …. 

AtoZForex – Brief outlook at today’s Daily Forex trading tips.  On the economic calendar today there is three (3) remaining high impact data news events. There is one (1) high impact news non-data based events remaining.

@1:30pm GMT – USA Unemployment Claims  ( F- 242k; P- 239k)

                               – USA Crude Oil inventories  ( F- 3.4M; P- 9.5M)

@10:30pm GMT – AUSTRALIA RBA Governor Lowe testifies before the House of Representatives Standing Committee on                                        Economics, in Sydney

Thurday 23 February Daily Forex trading tips

AtoZforex Hint: Do not trade on a single news event, look at the total picture when news releases are at similar times. 

 # 1 EURUSD – Thursday 23 February Daily Forex trading tips

Fundamentals – Nothing new to add as far as fundamentals are concerned . As previously mentioned, the new USA administration is expected to be “dogged” with issues through its term in office, which means uncertainty in the markets. Dutch,  French and German  elections this year, the additional issues of GRexit and BRexit loom like a dark cloud over Europe. To add to the challenges the European Community faces, there seems no clear strategy to deal with President Trump.  Europe should be concerned, if the USA commences to negotiate trade deals on a one to one basis with each Member State, further weakening EUR?

Economic side   Remains US dollar driven, any news from the USA will impact the EUR. There are no high impact news from Europe today.

Technicals Intraday Analysis(H1 chart)   

Moving Averages – The 20sma is flat and 100sma  is sloping down, with 20sma below the 100sma. With price sandwiched between the two moving averages.

MACD – MACD histogram and signal line are above the neutral line, supporting the bullish outlook for the pair.

RSI – RSI is above the 50 level and touching 60 level, still in the bullish territory.

Fibonacci retracement zones – Drawing the Fibonacci levels from the high of 1.07189 to the low of 1.03517.

Key levels price touched the 38.2% Fibonacci zone at 1.0492 level before bouncing away to the upside. If we see a break above the 1.0578-80 level we can expect the pair to move upwards to strong resistance at  at 1.0620-15 level.

Current view

We remain neutral, but leaning on the bearish side the 1.0580 resistance level remains intact.

Upside outlook –  if we see price clearly break above the 1.0580 level, our initial target would be at 1.0618-20 level then at 1.0650 level with an interim resistance level at 1.0630-35 level.  

Downside outlooka clear break below 1.0540-35 level once shift our bias to bearish.  With price testing the 1.0490-85 level once again. 

Thursday 23 February Daily Forex trading tips: USD bullish? Daily Forex Trading Tips for EURUSD H1 (click to zoom in)

No  FX trade idea pending order

Please use correct risk and money management in line with your account size and draw down plan. These are not recommendations, you must carry out your own due diligence. 

AtoZ Forex Daily Free Forex Signals

#2 GBPUSD – Thursday 23 February Daily Forex trading tips

Fundamentals – The challenge towards the UK Government and question of accountability to Parliament will continue to be a thorn throughout the Brexit negotiations. We see Brexiters with unclear exit policy. One area to keep an eye out on is the insurance sector and involvement of the UK in the judicial process.

Economic side- See above , no high impact data news today

Technicals Intraday Analysis(H1 chart)   

Moving Averages – The 20sma  has crossed above the 100sma at the time of writing, with 20sma sloping upwards and 100sma flat. This could be the start of a bullish short term phase.

MACD – MACD histogram is above the neutral level and signal line is touching the 50 level, supporting the bullish outlook for the pair.

RSI – RSI is above the 50 level and touching 60 level

Fibonacci retracement zones – Drawing the Fibonacci levels from the low of 1.1856 to the high of 1.2952.

Key levels GBP continues to trade in a trading range between 1.2520 and 1.2385 levels. Trading is still choppy overall for this pair making trading it a challenge.

Current view

With price trading above both moving averages our bias is leaning to the upside, however currently bias is neutral. With price trading essentially between the 50% Fibonacci zone at 1.2401 and 38.2% % Fibonacci zone at 1.2533 levels. We would like to see a more definite trend for a clear trading bias.

Upside outlook –   If  price clearly break above the 1.2533-35 level, our initial target would be at 1.2565-70 level, if price clearly breaks above the 1.2570 level, our focus would turn to the 1.2690 resistance level.

Downside outlooka clear break below 1.2460 support level  would see the test of the 1.2430 level  and then a retest of the 1.2385 level. We can expect further bearish extension towards the 1.2275-70 level near the 61.8% Fibonacci retracement zone.

Thursday 23 February Daily Forex trading tips: USD bullish? Daily Forex Trading Tips for GBPUSD H1 (click to zoom in) 

 

No Fx trade idea currently at time of writing. 

Please use correct risk and money management in line with your account size and draw down plan. These are not recommendations, you must carry out your own due diligence. 

Think we missed something? Let us know in the comments section below.

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