Here is your weekly technical analysis starting on the 11th of January 2016. In the weekly technical analysis, we will analyze the direction of the market for the main currencies, commodities, stocks and indexes.
As the markets recover from their high peak, the drop is sharp and violent. However, it’s not a sign for a big fall like we had in 2008, yet, sometimes when you are in a downward trend one trigger can make things worse. In a market displaying a downward tendency, you have to be smart and take the opportunities that a volatile market has to offer.
Currencies:
EUR/USD
Buy: We might see a nice try towards the price of 1.11400 once it gets there I expect a retrieve.
GBP/USD
Buy: According to my favorite strategy – ‘The Bandit’ – we notice a significant standard deviation of sellers. For the next 3 days for any PUT setup you need to buy CALLs.
Commodities:
Oil
Stay out – to risky at this point.
Gold
Buy: wait for a retrieve on a 4 hours chart – then you can join the uptrend.
Silver
The volatility is getting weak. For now, you can enjoy a price range between support and resistance lines $14.3 – $13.6.
SPX500
Expect to experience a recovery from last week. There will be more chances for buyers to move. According to The Bandit strategy, the next candle will start out of range of Bollinger 2.0. Keep in mind it’s an index so anything can happen!
That’s it for this week. Let’s see what happens!
Good luck,
Albert
