The FOMC minutes weren’t as hawkish as expected, so the USD went down. Oh wait! Now it’s back up again. Another day, another rollercoaster reaction on the FX Market. The minutes allowed the EURUSD pair to break the mid-term upwards trend line and the horizontal support at 1.229. The breakout is not very convincing, though. I think that it would be wise to wait for the daily candlestick to close. If we come back above the green area, we’ll get a buy signal. If we will stay below, we’ll get a sell signal.
On the USDCAD pair, we do not have to be as patient as on the EURUSD. We have a buy signal right here, right now, as the price has broken the mid-term downwards trend line and the horizontal resistance on the 1.268. Oh no, wait again, we do have to be patient because we’ll get some retail sales data from Canada in few hours, so everything could change! Worse data will confirm the technical signal and the better data can deny it and create a false breakout pattern, i.e. a strong sell signal.
Bitcoin did not manage to break the 11k resistance and now is paying the price for it. We are very close to breaking the 10k USD mark and once that happens, a strong sell signal will be created with a target of 6k USD again.