EUR / JPY: monthly bullish divergence?

Long term: lower?

 On a yearly basis, Bollinger bands spread is thin. A bearish pseudo-no crossover will develop with our 7 / 23 years moving averages. Next period, our MACD could be overbought. Below LY / PY a new historical low level is expected.

On a quarterly basis, Bollinger bands spread is expending. No bearish pattern could develop with our stochastic and MACD status. As long as our MACD is not oversold, the decline will continue.

On a monthly basis, UM is flat. A bullish divergence could develop next month. With this hypothesis, above MM, UM is our next objective.

Idea: MM is a strong resistance with a bearish no-crossover for our 7 / 23 months moving averages.

Bet: PM will act as a resistance

R = PM (121.09), MM (124.72), UM (143.04);     S = PY (101.75)

 

Medium term: flat

On a weekly basis, Bollinger bands spread is thin and bands are flat. A bullish A type crossover will develop with our 7 / 23 weeks moving averages.

Idea: UW is a strong resistance 

Bet: focus on our stochastic

R = UW (115.77);    S = MW (111.5), LW (107.24)

 

Short term: weak?

On a daily basis, UD and MD are flat. As long as our stochastic is not oversold, MD will act as a resistance. With our MACD status, Bollinger bands are our main targets.

Idea: nothing to do

Bet: towards UD if MD fails as a resistance.

R = MD (113.79), UD (115.41);     S= LD (112.15)

 

Conclusion: long with a monthly bullish divergence.

 

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