USDJPY, DAX and Oil after the FOMC Minutes
FOMC Minutes from yesterday helped the USD to climb higher. That also negatively influenced stocks and commodities. The current price movements are in line with what we were writing about two days ago in the analysis about the USDJPY and DAX. Let’s start with the USDJPY first. The bounce from the long-term up trendline is ON and yesterday, the price managed to break the 50% Fibo, which gives us a buy signal. Today, we are testing that area as a support and we can see a bounce, which gives us a bullish confirmation.
Now DAX. As expected, the neckline was reached and the first contact resulted with a bounce, which confirms the negative sentiment. Sellers should be careful though as the prices try to come back above the yellow area again. I think that potential sellers should wait for a little to gain more certainty and that should happen after we will see a decisive rejection of the yellow area.
Last but not least is the WTI Oil where the price broke the lower line of the pennant, the horizontal support, and the mid-term up trendline. That is definitely a sell signal and the price should eventually reach the long-term up trendline around the 68 USD/bbl.
This article is written by Tomasz Wisniewski, a senior analyst at Alpari Research & Analysis
This article was originally posted on FX Empire
More From FXEMPIRE:
European Markets Open Mixed in Reaction to New Concerns Over Brexit
EUR/USD Daily Price Forecast – EUR/USD Moved Below 1.15 Handle Post FOMC Update
Dollar Has Returned to Growth on Unanimity of Fed Rate Hikes Despite Trump’s Comments
CryptoCompare Study: 85% Of Cryptocurrencies Are Not Decentralized