Technical Analysis

EUR/USD

There appears to be a bearish cross forming on the 4-hour Slow Stochastic while the 4-hour RSI is just entering the over-bought region, signaling a downward correction may be in order later in the day. The hourly MACD supports this notion with its own bearish cross. Going short may be the preferable strategy today.

GBP/USD

Short-term indicators are beginning to level-off showing signs of neutrality. On the other hand, there is a very clear bullish cross on the 4-hour MACD and daily Slow Stochastic, pointing to the notion of an upward correction in the mid- to long-term for this pair. Waiting for the upward move and then entering long positions could be a good way to make money on this pair.

USD/JPY

A bullish cross has just formed on the hourly MACD and Slow Stochastic, signaling a fast upward tick may be in the works. However, longer-term indicators are showing downward signals. This pair may be range-trading in consolidation towards the 95.75 price level before making a volatile jump. Waiting for the breach and then entering the new trend early may be a wise choice.

USD/CHF

The price appears to have entered the over-sold territory on the 4-hour RSI, but it still points downward, indicating that the downward movement may not have finished just yet. The bearish cross on the 4-hour MACD supports this notion. Staying short on this pair for the time being may not be a bad tactic today.

Wild Card

NZD/USD

This pair has been in a steady bullish channel for a number of months now with hardly any signs of stopping. However, the daily and weekly charts show the price floating in the over-bought territory of their respective RSIs. A bearish cross on the weekly Slow Stochastic has also just formed, indicating that this pair is due for a strong downward movement giving forex traders a great opportunity to call the reversal and ride out the downward wave for some hefty profits.