Daily Market Analysis By FXOpen

ETHUSD and LTCUSD Technical Analysis ? 03rd MAR, 2022


ETHUSD: Bullish Engulfing Pattern above $2,550

Ethereum had a major bearish correction last month when it declined below the $3,000 handle after touching a high of $3,268 on February 9th.

This week, ETHUSD started in the consolidation phase after which it had a bullish reversal towards the $2,700 handle and touched an intraday high of $2,982 in today?s Asian trading session.

We can clearly see a bullish engulfing pattern above $2,550 which signifies a trend reversal, and we have already seen ETHUSD crossing the level of $2,700.

We saw the price of Ethereum retracting from its highs due to some profit taking, but the bullish channel continues now, and we are aiming for the upside of $2,900 and $3,100 in this week.

ETH is now trading just below its pivot level of $2,967 and moving in a mildly bullish momentum. The price of ETHUSD is now facing its classic resistance level of $3,020 and its Fibonacci resistance level of $3,094, and is now aiming towards the $3,100 handle in the US trading session.

The moving averages are giving a BUY signal.

ETH is now trading below both the 100 hourly and 200 hourly simple moving averages.

• Ethereum is in a mildly bullish channel
• A short-term trend reversal seen above $2,550
• All the major technical indicators are giving NEUTRAL-to-BUY signals
• The average true range is indicating LESSER market volatility

Ether: Bullish Channel Towards $3,000 Confirmed


ETHUSD is consolidating its gains above $2,700 in the European trading session, and we can clearly see that the bullish channel is back.

We are now aiming for the upsides of $2,900 to $3,100 today in the US trading session today. The retracement from $2,300 was very strong ? which suggests that there is more room for the upsides in Ethereum this month, and the level of $3,500 is the next target.

We can see the MA crossover pattern above the level of $2,850 which means that in the immediate short-term, we will see the continuation of the bullish channel.

ETH has declined -3.47% with a price change of -103.91$ in the past 24hrs, and has a trading volume of 14.424 billion USD.

We can see a decrease of 26% in the trading volume as compared to yesterday, which means that new buyers are now entering the markets and waiting for further correction in Ethereum.

The Week Ahead

Ether is printing above $2,800 today, and we can see levels of $3,000 to $3,200 this week.

The medium-to-long term outlook for Ether remains Bullish with targets of above $3m500 in March, 2021.

Ether has already broken its major resistance level of $2,800, and is now facing the next resistance level of $3,000.

Technical Indicators:

The commodity channel index (14-day): at 94.58 indicating a BUY

The moving averages convergence divergence (14-day): at 3.79 indicating a BUY

The ultimate oscillator: at 53.45 indicating a BUY

The rate of price change: at 0.052 indicating a BUY

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GBP/USD and EUR/GBP Could Extend Decline


GBP/USD started a fresh decline from well above the 1.3350 level. EUR/GBP is also declining and trading below the 0.8250 support zone.

Important Takeaways for GBP/USD and EUR/GBP

• The British Pound started a fresh decline from well above 1.3350 against the US Dollar.
• There was a break below a connecting bullish trend line with support near 1.3325 on the hourly chart of GBP/USD.
• EUR/GBP failed to stay above 0.8300 and started a fresh decline.
• There is a major bearish trend line forming with resistance near 0.8250 on the hourly chart.

GBP/USD Technical Analysis

The British Pound struggled to settle above the 1.3400 resistance zone against the US Dollar. The GBP/USD pair started a fresh decline below the 1.3350 support zone.

There was a clear move below the 1.3280 level and the 50 hourly simple moving average. The bears pushed the pair below the 1.3200 level. A low is formed near 1.3185 on FXOpen and the pair is now consolidating losses.

GBP/USD Hourly Chart


On the upside, an initial resistance is near the 1.3240 level. It is near the 23.6% Fib retracement level of the recent decline from the 1.3417 swing high to 1.3185 low.

The next main resistance is near the 1.3280 zone (the previous support). If there is an upside break above the 1.3280 resistance, the price could test 1.3300 or the 50 hourly simple moving average. It is near the 50% Fib retracement level of the recent decline from the 1.3417 swing high to 1.3185 low.

If there is no upside break, the pair could extend losses below the 1.3185 low. The first key support is near the 1.3150 level. Any more losses could lead the pair towards the 1.3120 support zone. The next major support sits near the 1.3050 level.

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Gold approaching record high as instability fuels switch to physical assets


Ever since the very first items were made from gold over 3,500 years ago in the ancient Egyptian period, this particular precious metal has been held in high esteem as a means of storing a potentially appreciating physical asset.

Throughout the ages, whenever an ancient kingdom came under siege, its population would attempt to accumulate gold.

As time developed, and the industrialization of the world began, gold became a benchmark for investment, and has been constantly regarded as one of the most reliable physical commodities available on the global markets. Even in modern times, when a war occurs, or a political catastrophe, people buy gold.

These past few days have been no exception.

During the course of yesterday (March 8, 2022), gold prices rallied and headed toward an all-time high.

In the United States, by 12.10pm Eastern Standard Time (New York), the trading price of gold had risen by a remarkable 3.5% to $2,068.07 an ounce, which brought it near to its record trading value of $2072.50 which was set in the summer of 2020 during the period in which lockdowns were omnipresent across Europe and America, and fears of losing jobs and private property were widespread.

Those fears are here again, this time fueled by heavy-handed sanctions which are decimating the markets across America and Europe. The US stock market is suffering a tech stock obliteration which is beginning to cause analysts to compare it to the 'dot com' collapse of the early 2000s.

This is a very sudden new direction. Tech stocks were the solid, relatively low-risk investment for most investors and traders all the way from those trading part-time from home, to large hedge funds and wealth managers.

Now, with these in decline, the mainstay of the US economy is being measured and global investors are heading for the hard collateral that is precious metal.

Even nickel, which is used in engineering across most heavy industrial applications worldwide from car manufacturing to construction, has been soaring in price to the extent where pricing has become so difficult in the live market that the London Metal Exchange (LME) has suspended its trading.

One report this morning stated that a Chinese investor is facing losses running into the multi-billion-pound range as a result of the volatility in which nickel soared by as much as 111% to a record $101,365, followed by a two-day increase of up to 250% before falling back to $82,250 a tonne.

The London Metal Exchange has been pricing nickel for over 145 years, and yesterday's volatility was an all time record in the entire trading history of the venue.

Precious metals are therefore in huge demand, and gold is unique in that it is primarily used as a store of value, compared to other high-demand metals like copper and nickel whose primary use is in manufacturing and engineering.

Today, Reuters has explained that one particular futures trader had cited the combination of extremely inflationary energy prices, grain prices and base metal prices has contributed the major underlying support behind gold having increased so much in value.

Certainly investors are hanging onto physical assets, and those metals with an engineering use are rocketing due to the difficulties in obtaining them for factories to be able to meet the demand for their products or remain in business without having to halt production, leaving gold as an outright store of value which is heading for all time highs.

Fascinating market moves brought on by highly well analyzed circumstances.

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Gold Price and Crude Oil Price At Risk of Downside Break


Gold price is correcting lower and trading below $2,000. Crude oil price is facing an increase in selling pressure below $105.

Important Takeaways for Gold and Oil

• Gold price started a downside correction after a strong rally to $2,070 against the US Dollar.
• There is a key bullish trend line forming with support near $1,985 on the hourly chart of gold.
• Crude oil price corrected lower, but it found support near $100.00.
• There was a break below a short-term ascending channel with support near $108.10 on the hourly chart of XTI/USD.

Gold Price Technical Analysis

Gold price formed a support base near $1,950 and started a fresh increase against the US Dollar. The price gained pace for a move above the $2,000 level to move into a positive zone.

There was a clear move above the $2,020 level and the 50 hourly simple moving average. The price even climbed above the $2,050 resistance level. A high was formed near $2,070 on FXOpen before the price started a downside correction.

Gold Price Hourly Chart


There was a break below the $2,000 level. The price even spiked below the $1,980 level, but it found support near $1,970. A low is formed near $1,970 and the price is now consolidating.

There was a move above the 23.6% Fib retracement level of the recent decline from the $2,070 swing high to $1,970 low. On the upside, the price is facing resistance near the $2,000 level and the 50 hourly simple moving average.

The main resistance is now forming near the $2,020 level. The 50% Fib retracement level of the recent decline from the $2,070 swing high to $1,970 low is also near $2,020. A close above the $2,020 level could open the doors for a steady increase towards $2,050. The next major resistance sits near the $2,070 level.

On the downside, an initial support is near the $1,985 level. There is also key bullish trend line forming with support near $1,985 on the hourly chart of gold. If there is a downside break below the $1,985 level, the price could decline to $1,920.

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BTCUSD and XRPUSD Technical Analysis ? 15th MAR 2022


BTCUSD: Double Top Pattern Below $39,800

Bitcoin was unable to continue its bullish momentum last week, and after touching a high of $42,566 on March 9th, started its decline against the US dollar.

The downward phase continues today, and we can see BTCUSD touching $37,500 this week.

Today?s bearish momentum is the result of increased selling by long-term investors due to the continuing war between Russia and Ukraine and its global impact on the safe haven currencies like the US dollar and the yen.

The propagation of the bearish trend continues with bitcoin price trading below the $39,000 mark in today?s European trading session.

We can clearly see a double top pattern below the $39,800 handle which is a Bearish reversal pattern because it signifies the end of an uptrend and a shift towards a downtrend.

The StochRSI is indicating an OVERSOLD level which means that in the immediate short-term, an upwards correction in the prices is expected.

The relative strength index is at 39 indicating a WEAK demand for bitcoin at the current market levels.

Bitcoin is now moving below its 100 hourly simple moving average and below its 200 hourly exponential moving averages.

All of the major technical indicators are giving a STRONG SELL signal, which means that in the immediate short-term we are expecting targets of $37,000 and $36,500.

The average true range is indicating HIGH market volatility with a strong bearish momentum.

• A bearish reversal is seen in bitcoin below $39,900
• The Williams percent range is indicating an OVERBOUGHT level
• The price is now trading just below its pivot level of $38,490
• All of the moving averages are giving a STRONG SELL market signal

Bitcoin: Bearish Momentum Seen Below $39,900


In today?s European trading session, bitcoin continues to move in a strongly bearish momentum with a downside projection towards the level of $36,000.

In the immediate term we are expecting a continuation of this bearish trend, with the prices of bitcoin ranging between the levels of $35,000 and $38,000 as it is due to enter into a consolidation phase now.

The short-term risks have increased for bitcoin, and the selling pressure is expected to continue pushing down the prices below $38,000 today.

The immediate short-term outlook for bitcoin is strongly bearish, the medium-term outlook is bearish, and the long-term outlook remains neutral under present market conditions.

The price of BTCUSD is now facing its classic support level of $37,591 and Fibonacci support level of $38,265 after which the path towards $36,000 will get cleared.

We can see that the daily RSI is also printing at 45 which indicates that in the medium-term prices are expected to fall further.

In the last 24hrs BTCUSD has gone down by -1.49% with a price change of 582$ and has a 24hr trading volume of USD 23.987 billion. We can see an increase of 5.93% in the trading volume as compared to yesterday, which appears to be normal.

The Week Ahead

The prices of bitcoin are due to enter into a consolidation phase below $38,000. We can see some range-bounded movements between $35,000 to $38,000.

We can see that market volatility is increasing due to the global war crisis between Russia and Ukraine and its ripple effects on the major currencies and oil sector.

In the immediate short-term, bitcoin?s bearish momentum is expected to continue pushing below the $36,000 handle this week.

The prices of BTCUSD will need to remain above the important support levels of $35,000 this week.

Weekly outlook is projected at $36,000 with a consolidation zone of $37,500.

Technical Indicators:

The relative strength index (14-day): at 39.91 indicating a SELL

The average directional change (14-day): at 24.86 indicating a SELL

The rate of price change: at -0.937 indicating a SELL

The moving averages convergence divergence (12,26): at -45.00 indicating a SELL

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ETHUSD and LTCUSD Technical Analysis ? 17th MAR, 2022


ETHUSD: Bullish Engulfing Pattern Above $2,400

Ethereum ended its bearish phase after touching a low of $2,498 on March 14 and moved into a consolidation channel.

On March 15, ETHUSD entered into a bullish phase which pushed its prices above the $2,700 handle in today?s European trading session.

We can clearly see a bullish engulfing pattern above the $2,400 handle which signifies the end of a bearish phase and the start of a bullish phase in the markets.

ETH is now trading just below its pivot level of $2,755 and moving in a bullish channel. The price of ETHUSD is now testing its classic resistance level of $2,763 and Fibonacci resistance level of $2,773, after which the path towards $2,900 will get cleared.

The relative strength index is at 59 indicating a STRONG demand for Ethereum and the continuation of the buying pressure in the markets.

All of the technical indicators are giving a STRONG BUY market signal.

All of the MAs are giving a BUY signal, and we are now looking at the level of $2,800 to $2,900 in the short-term range.

ETH is now trading above both the 100 Hourly and 200 Hourly SMAs.

• A bullish reversal is seen in ETH above the $2,400 mark
• The short-term range appears to be strongly BULLISH
• The daily RSI is above 50 at 52, indicating a NEUTRAL market
• The average true range is indicating LESSER market volatility

Ether: Bullish Reversal Seen Above $2,400


ETHUSD has gained a strong bullish momentum with the prices trading above the $2,700 handle in the European trading session today.

The StochRSI is indicating an OVERSOLD market, which means that a pullback in the levels of Ethereum can be expected soon.

Ethereum is now moving in a bullish continuation pattern, meaning further appreciation in the prices of ETHUSD.

ETHUSD is now facing its immediate resistance level of $2,775, after which we will see a linear progression towards $2,900.

The key support level to watch is $2,300, and this week?s key resistance level is $2,900.

ETH has gained 4.11% with a price change of 108.62$ in the past 24hrs and has a trading volume of 15.881 billion USD.

We can see a 5.84% increase in the total trading volume in the last 24 hrs. which appears to be normal.

The Week Ahead

Ethereum has entered a consolidation channel above the $2,400 handle and is now moving in a bullish momentum towards $3,000.

For the first time in 3 years, the US Federal Reserve hiked its interest rate by 0.25% which has weakened the US dollar and sparked a rally in some crypto currencies, including Ethereum, which had been weighed down by the Russia-Ukraine war.

The immediate short-term outlook for Ether has turned strongly BULLISH, the medium-term outlook has turned bullish, and the long-term outlook for Ether is NEUTRAL in present market conditions.

This week, Ether is expected to move in a range between $2,500 and $2,900, and to enter a consolidation phase above $2,900 next week.

Technical Indicators:

The moving averages convergence divergence (12,26): at 30.92 indicating a BUY

The ultimate oscillator: at 52.02 indicating a BUY

The rate of price change: at 1.712 indicating a BUY

The Williams percent range: at -25.91 indicating a BUY

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GBP/USD and GBP/JPY Remain Well Supported


GBP/USD started a fresh increase from the 1.3000 support zone. GBP/JPY is also rising and might gain pace above the 157.20 resistance zone.

Important Takeaways for GBP/USD and GBP/JPY

• The British Pound started a fresh increase from the 1.3000 support zone against the US Dollar.
• There is a key bullish trend line forming with support near 1.3145 on the hourly chart of GBP/USD.
• GBP/JPY also started a fresh increase after it cleared the 155.00 resistance zone.
• There is a short-term rising channel forming with support near 156.65 on the hourly chart.

GBP/USD Technical Analysis

After forming a base above the 1.3000 support zone, the British Pound found started a fresh increase against the US Dollar. The GBP/USD pair gained pace above the 1.3120 resistance zone to move into a positive zone.

There was also a break above the 1.3150 zone and the 50 hourly simple moving average. It even spiked above the 1.3200 level, but failed to continue higher. The recent high was formed near 1.3196 on FXOpen and the pair is now correcting lower.

GBP/JPY Hourly Chart


There was a move below the 1.3175 level. The pair even traded below the 38.2% Fib retracement level of the upward move from the 1.3110 low to 1.3196 high.

It is now approaching the 1.3150 support zone. There is also a key bullish trend line forming with support near 1.3145 on the hourly chart of GBP/USD. It is near the 50% Fib retracement level of the upward move from the 1.3110 low to 1.3196 high.

The next major support is near the 1.3110 level. If there is a break below the 1.3110 support, the pair could test the 1.3050 support. If there are additional losses, the pair could decline towards the 1.3000 level.

If there is a fresh increase, the pair could test the 1.3190 level. The next major hurdle is near 1.3200, above which the pair could surge towards 1.3250 in the near term.

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EUR/USD Faces Hurdle, USD/CHF Could Gain Pace


EUR/USD is facing resistance near the 1.1050 and 1.1080 levels. USD/CHF could gain pace if there is a move above the 0.9375 resistance.

Important Takeaways for EUR/USD and USD/CHF

• The Euro started a downside correction from the 1.1140 resistance zone against the US Dollar.
• There is a key bearish trend line with resistance near 1.1040 on the hourly chart of EUR/USD.
• USD/CHF formed a base above the 0.9300 support zone and corrected higher.
• There was a break above a major bearish trend line with resistance near 0.9330 on the hourly chart.

EUR/USD Technical Analysis

The Euro gained pace above the 1.1000 resistance level against the US Dollar. The EUR/USD pair even gained pace above the 1.1100 resistance level.

It traded as high as 1.1139 on FXOpen before the pair started a downside correction. There was a sharp decline below the 1.1100 and 1.1020 support levels. The pair even spiked below 1.1000 and traded as low as 1.0916.

EUR/USD Hourly Chart


EUR/USD is now rising and trading above 1.1000. There was a break above the 50% Fib retracement level of the recent decline from the 1.1071 swing high to 1.0961 low.

It is now consolidating above the 1.1020 level and the 50 hourly simple moving average. On the upside, an initial resistance is near the 1.1040 level. There is also a key bearish trend line with resistance near 1.1040 on the hourly chart of EUR/USD.

The next major resistance is near the 1.1070 zone. A clear upside break above the 1.1070 zone could open the doors for a steady move. The next major resistance sits near the 1.1140 level.

On the downside, an immediate support is near the 1.1015 level. The next major support is near the 1.0950 level. A downside break below the 1.0950 support could start another decline.

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