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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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Daily Forex Technical Strategy Wed 11 Dec

Article By: ,  Financial Analyst
December 11, 2019 1:02 AM

EUR/USD – Watch 1.1110 & 1.1040


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  • Losses inflicted after last Fri’s 06 Dec better than expected U.S jobs data (NFP) has been reversed and the pair inched back up towards 1.1110.
  • Mix elements; prefer to turn neutral first between 1.1110 and 1.1040. An hourly close above 1.1110 sees a squeeze up towards the 1.1160/1180 major descending resistance and the range top of 18 Oct/04 Nov 2019. Below 1.1040 sees a slide to retest 1.0990 minor range resistance and the ascending trendline from 01 Oct 2019 low.

 GBP/USD – No clear signs of bullish exhaustion yet


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  • The pair has continued to inch higher and hit the 1.3200/3240 first resistance/target as per highlighted in our previous report (click here for a recap). Thereafter, it has staged a pull-back of 108 pips in yesterday’s 10 Dec U.S. session after a poll that indicated that PM Boris Johnson’s Conservatives majority has narrowed as we head into the UK General Election on 12 Dec.
  • Overall, there is still no clear signs of a bullish exhaustion yet; maintain bullish bias in any dips above the 1.2980 key short-term pivotal support for a further potential push up to target the next resistance at 1.3300 (psychological & Fibonacci expansion cluster).
  • On the other hand, a break with an hourly close below 1.2980 negates the bullish tone for a deeper pull-back towards the next support at 1.2790/2750.

USD/JPY – Stuck within a minor range


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  • No change, maintain neutrality stance between 109.00 and 108.30. Bears need to have an hourly close below 108.30 for a “clean break down” to target the next supports at 107.90 and 106.60 next.
  • On the flipside, a clearance with an hourly close above 109.00 allows the short-term bulls to be in control for a push up towards 109.70 and 110.00/15 next.

AUD/USD – Minor “Symmetrical Triangle” range bearish breakdown


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  • The pair has staged a breakdown below the minor “Symmetrical Triangle” range support now turns pull-back resistance at 0.6810.
  • Flip to a bearish bias below 0.6860 pivotal resistance (the major descending channel resistance from 03 Dec 2018 high & the 61.8% Fibonacci retracement of the recent slide from 31 Oct high to 29 Nov 2019 low) for a further potential slide to test 0.6755 next.
  • On the other hand, a clearance with a daily close above 0.6860 validates a major bullish breakout for an assault towards 0.6900/6930 in the first step.

Charts are from eSignal


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