Forex Signals US Session Brief March 19 – The Market Gets Excited on Brexit Hopes, Cryptocurrencies Form Another Bullish Pattern

Posted Monday, March 19, 2018 by
Skerdian Meta • 3 min read


The Brexit process is advancing and GBP traders are getting excited. Although, there are quite a few data releases this week from the UK, so if you are trading the GBP, don’t get too excited. The cryptocurrencies formed a pin yesterday on the daily chart timeframes. But as we mentioned last week, the bullish formations are not following through the next day, so it remains to be seen if altcoins will turn bullish today.


The fight between the EU and the UK is coming to an end


Buy the Rumour on GBP

The forex traders have been quite active today. The economic data is pretty light but the market is making some decent moves. The reason for this price action today is Brexit, of course. The EU and UK officials are holding a meeting today and we have seen all sorts of headlines this morning.

The signs are good in general. Both sides have agreed on the main issues and the risk currencies are feeling the love. EUR/USD has popped around 40 pips higher in the last hour, while GBP/USD has been climbing all morning.

Basically, the UK is leaving the block in March this year, but there is a two year transition period until 2020. During this time, the UK will still be subject to the EU Supreme Court and most of the EU rules, but will not have a say in the EU, obviously.

Although, the issue of the Border between the Republic of Ireland and North Ireland still remains. Much of the treaty has been agreed, but EU’s Barnier said this is not the end of it. We know that the devil hides in the details, so they are going to be the most important obstacles to overcome.

Nonetheless, the market is getting excited and the GBP has taken off. It has climbed nearly 200 pips from the lows this morning and it doesn’t seem like it wants to stop. The Euro has benefited from this as well and it climbed 40 pips, but the moving averages are providing resistance on top.

Safe havens are under pressure as the market sentiment improves. USD/JPY has reversed from 105.60s and has climbed around 60 pips since last night, but the 50 SMA on the H4 chart that we highlighted in one of the previous forex updates, is providing resistance.



Cryptocurrencies Have Formed Another Bullish Candlestick. Will It Work this time?


As we mentioned last Friday, Cryptocurrencies have been following a bearish trend in the last two weeks. The bearish trend continued on the weekend and the downside stretched further. Bitcoin fell to $7,220 according to my crypto platform.

But, they pulled themselves up yesterday and formed a bullish candlestick. As you can see from the daily Litecoin chart below, this altcoin fell below the 100 SMA, but now it’s back above it. This moving average has been providing support earlier last month and the price has never closed below it.

Yesterday, the price closed above the 100 SMA again despite piercing it briefly. So, the brief pierce doesn’t count as a proper break, therefore the support at the 100 SMA remains valid.

Besides that, the price formed a pin in Litecoin yesterday which is a reversing signal. Other major cryptos such as Bitcoin and Ethereum have formed hammers. Hammers works pretty much like pins. All major altcoins are severely oversold, so perhaps a reverse is coming.

Although, the bullish chart patterns haven’t really worked that well recently, so don’t put your hand in the fire just yet. We have to see a bullish daily candlestick as a confirmation that the reverse is happening for real.    



Yesterday’s pin is another bullish sign


Trades in Sight

Bearish AUD/USD


  1. The trend is heavily bearish
  2. The retrace up is complete on the H1 chart
  3. The 20 SMA is providing resistance


The next leg of the downtrend is resuming

We opened a sell forex signal in AUD/USD a while ago. This pair was retracing higher as the sentiment improved after the Brexit comments. But, the trend is still bearish and it is strong. The stochastic indicator was almost oversold when we opened the signal the price was finding resistance at the 20 SMA. We took the trade on the short side, now this pair is reversing lower again.


In Conclusion

Apart from Brexit comments, the Bank of England (BOE) is also out now. Mark Carney is already sounding hawkish, but the Irish border issue still remains, so be careful if you are trading the GBP.

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