Forex Signals Brief, July 20: The Loonie Remains in the Limelight
Arslan Butt • 2 min read
The Greenback kicked off the US session on a positive note, as a result of hawkish remarks by Fed Chair Powell and had another boost from big medium-tier data. The Philly Fed index surged from 19.9 to 25.7, outpacing the forecast at 21.6, to indicate economic growth. Whereas, the initial jobless claims reported yet another better than expected figure as the claims fell from 220K to 207, supporting the bullish trend in the dollar.
Forex Signal Update
The FX Leaders team managed to grab six opportunities, out of which five closed at take profit and one knocked out at the stop. It marks a success rate of 83%. The major winners were in gold, EUR/JPY, and NZD/USD. It’s a nice way to close the week.
At the moment, we are in a couple of trades including Bitcoin and GBP/JPY. The FX Leaders team may take entries in the Canadian pairs on the back of data.
Bitcoin – BTC consolidates above $7,440 after breaking above $7,000, the psychological level. The guys seem to open a buy position in BTC upon confirmation of technical indicators.
Nikkei – The stock markets are very vulnerable on the back of earnings reports. Although we are looking to take a buying position in Nikkei, the market doesn’t look stable. Nikkei is heading lower towards a strong support zone of 22,500 and we may have a buying entry here.
GBP/JPY – Our buy limit on GBP/JPY was triggered overnight and the market seems to consolidate at breakeven. Investors are advised to move their stops to the breakeven points as soon as trade shows a profit.
GBP/JPY – Active Signal
The Japanese cross has dipped over the unexpected drop in the UK retail sales figures. However, the GBP/JPY seems to gain support near 146.150. As we can see, the pair has formed a test bar, signifying the sellers seem to exhaust and bulls may take over the lead. On the upper side, the GBP/JPY is likely to face resistance near 146.750 and 147.150.
GBP/JPY – 120 Min Chart
BTC/USD – Asymmetric Triangle Breakout
Bitcoin is trading with a bullish bias after coming out of an asymmetric triangle pattern. The pattern was providing a solid resistance near $6,800. For the moment, BTC/USD can face an immediate resistance near $7,735. The violation of this level is likely to open further room for buying until $8,335.