We review the most important levels for key financial instruments and the probable scenarios.
Key topics
- Euro (EURUSD)
- Swiss Franc (USDCHF)
- Japanese Yen (USDJPY)
- Canadian Dollar (USDCAD)
- Australian Dollar (AUDUSD)
- Bitcoin (BTC)
- Ether (ETH)
- Apple Inc (AAPL)
- NVIDIA Corp (NVDA)
- Tesla Inc (TSLA)
- Summary
Euro (EURUSD)
The bullish trend continues, a corrective wave is developing. The last broken level is resistance (1.1618 — 1.1624). The breakout occurred 2 candlesticks ago.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 1.1680 — 1.1711. In case of successful trend development, the further target will be located at the resistance level with boundaries at 1.1809 — 1.1809.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be insignificant (around 0.6:1). When choosing the further target — approximately 1.8:1. If the correction ends near the support level (1.1565 — 1.1579), the potential reward/risk ratio may be around 1.6:1. For the further target — more than 3:1.
Long positions will remain relevant as long as the market is above the nearest support level with boundaries at 1.1565 — 1.1579. If the market successfully consolidates below this support, the trend will reverse to the opposite (bearish).
EURUSD. Technical analysis. D1.
Swiss Franc (USDCHF)
The bearish trend continues, 2 candlesticks ago the price reacted to the level, a corrective wave is developing. The last broken level is support (0.8055 — 0.8069). The breakout occurred 13 candlesticks ago.
The intermediate target for the downward movement is the support level with boundaries at 0.8027 — 0.8042. In case of successful trend development, the further target will be located at the support level with boundaries at 0.7908 — 0.7931.
If the correction ends near the resistance level (0.8129 — 0.8156), the potential reward/risk ratio may be around 1.2:1. When choosing the further target — more than 2:1.
Short positions will remain relevant as long as the market remains below the nearest resistance level on the daily timeframe with boundaries at 0.8129 — 0.8156. If the market successfully consolidates above this nearest resistance, the trend will reverse to the opposite (bullish).
USDCHF. Technical analysis. D1.
Japanese Yen (USDJPY)
The trend changed to bearish 2 candlesticks ago when the support level (158.00 — 158.16) was broken. A corrective wave is developing.
The intermediate target for the downward movement is the support level with boundaries at 155.47 — 155.86. In case of successful trend development, the further target will be located at the support level with boundaries at 152.27 — 152.68.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be small (around 0.1:1). When choosing the further target — also small (approximately 0.6:1). If the correction ends near the resistance level (160.18 — 160.39), the potential reward/risk ratio may be approximately 3:1. For the further target — around 5:1. If the correction ends near the last broken level (158.00 — 158.16), the potential reward/risk ratio may be insignificant (around 0.6:1).
Short positions will remain relevant as long as the market remains below the nearest resistance level with boundaries at 160.18 — 160.39. If the market successfully consolidates above this nearest resistance, the trend will reverse to the opposite (bullish).
USDJPY. Technical analysis. D1.
Canadian Dollar (USDCAD)
The bearish trend continues, a corrective wave is developing. The last broken level is support (1.3842 — 1.3868). The breakout occurred 13 candlesticks ago.
Upon resumption of the downward movement, the first target will be the support level with boundaries at 1.3729 — 1.3767. In case of successful trend development, the further target will be located at the support level with boundaries at 1.3548 — 1.3580.
If the correction ends near the resistance level (1.3909 — 1.3939), the potential reward/risk ratio may be around 1.6:1. When choosing the further target — around 3.5:1.
Short positions will remain relevant as long as the market is below the nearest resistance level with boundaries at 1.3909 — 1.3939. If the market successfully consolidates above this nearest resistance, the trend will reverse to the opposite (bullish).
USDCAD. Technical analysis. D1.
Australian Dollar (AUDUSD)
The bullish trend continues, 13 candlesticks ago the correction ended, an impulse wave is developing. The last broken level is resistance (0.7038 — 0.7055). The breakout occurred 23 candlesticks ago.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 0.7262 — 0.7271.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be small (around 0.4:1).
Long positions will remain relevant as long as the market is above the nearest support level with boundaries at 0.7119 — 0.7144. If the market successfully consolidates below this nearest support, the trend will reverse to the opposite (bearish).
AUDUSD. Technical analysis. D1.
Bitcoin (BTC)
The bullish trend continues, a corrective wave is developing. 2 candlesticks ago the price reacted to the level. The last broken level is resistance (78335 — 79464). The breakout occurred 9 candlesticks ago.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 80265 — 81347. In case of successful trend development, the further target will be located at the resistance level with boundaries at 89185 — 90439.
If the correction ends near the support level (76248 — 77300), the potential reward/risk ratio may be around 1.1:1. When choosing the further target — more than 3:1.
Long positions will remain relevant as long as the market is above the nearest support level with boundaries at 76248 — 77300. If the market successfully consolidates below this support, the trend will reverse to the opposite (bearish).
BTC. Technical analysis. D1.
Ether (ETH)
The bullish trend continues, a corrective wave is developing. The last broken level is resistance (1884 — 1922). The breakout occurred 17 candlesticks ago.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 2467 — 2533. In case of successful trend development, the further target will be located at the resistance level with boundaries at 3022 — 3041.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be small (around 0.1:1). When choosing the further target — more than 2:1. If the correction ends near the support level (2356 — 2392), the potential reward/risk ratio may be small (approximately 0.7:1). For the further target — around 5:1.
Long positions will remain relevant as long as the market is above the nearest support level with boundaries at 2356 — 2392. If the market successfully consolidates below this support, the trend will reverse to the opposite (bearish).
ETH. Technical analysis. D1.
Apple Inc (AAPL)
The bullish trend continues, a corrective wave is developing. The last broken level is resistance (317.46 — 320.28). The breakout occurred 4 candlesticks ago, and the price returned to this last broken level.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 328.21 — 330.81. In case of successful trend development, the further target will be located at the resistance level with boundaries at 340.08 — 344.57.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be small (around 0.4:1). When using the further target — around 1:1. If the correction ends near the support level (307.01 — 309.35), the potential reward/risk ratio may be approximately 2:1. For the further target — more than 3:1.
Long positions will remain relevant as long as the market is above the nearest support level on the daily timeframe with boundaries at 307.01 — 309.35. If the market successfully consolidates below this support, the trend will reverse to the opposite (bearish).
AAPL. Technical analysis. D1.
NVIDIA Corp (NVDA)
The bullish trend continues, a corrective wave is developing. The last broken level is resistance (213.05 — 214.73). The breakout occurred 7 candlesticks ago.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 235.74 — 236.54.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be small (around 0.2:1). If the correction ends near the support level (215.10 — 216.75), the potential reward/risk ratio may be approximately 2:1.
Long positions will remain relevant as long as the market is above the nearest support level on the daily timeframe with boundaries at 215.10 — 216.75. If the market successfully consolidates below this support, the trend will reverse to the opposite (bearish).
NVDA. Technical analysis. D1.
Tesla Inc (TSLA)
The bullish trend continues, a corrective wave is developing. The last broken level is resistance (367.95 — 368.92). The breakout occurred 2 candlesticks ago.
Upon resumption of the upward movement, the first target will be the resistance level with boundaries at 376.37 — 384.04. In case of successful trend development, the further target will be located at the resistance level with boundaries at 410.49 — 413.16.
The potential reward/risk ratio from current prices, when setting targets and fixing risks according to the daily timeframe levels, may be insignificant (around 0.9:1). When choosing the further target — approximately 2:1. If the correction ends near the support level (345.20 — 347.21), the potential reward/risk ratio may be more than 1:1. For the further target — more than 3:1.
Long positions will remain relevant as long as the market is above the nearest support level on the daily timeframe with boundaries at 345.20 — 347.21. If the market successfully consolidates below this support, the trend will reverse to the opposite (bearish).
TSLA. Technical analysis. D1.
Summary
From a medium-term trading perspective, the financial instruments with a correction nearing completion on the daily timeframe and/or potentially the most promising reward/risk ratio can be identified as: TSLA. Depending on the depth of the market correction, the following may soon be worth paying attention to: USDCHF, EURUSD, USDCAD, BTC, ETH, AAPL, NVDA.
The rest of the financial instruments on the trading list may also be of interest, but the conditions for a rebound on the daily timeframe in these markets will likely appear no earlier than in a week.