The FP Markets Research Team scans the financial markets for you, highlighting clear and actionable technical structures.

Forex: EUR/GBP Downside Targets Call for Attention

Monthly and Daily Timeframes:

From the monthly timeframe of the EUR/GBP (euro versus the British pound), price has recoiled from support at £0.8229-£0.8315 and challenged trendline resistance from £0.9504. Complementing said trendline resistance is a collection of daily Fibonacci ratios at circa £0.8650. Given that within this narrow Fibonacci zone are two 1.618% Fibonacci projection ratios (‘alternate’ AB=CD patterns), traders may target the 38.2% (£0.8493) and 61.8% (£0.8390) Fibonacci retracement ratios derived from legs A-D (patterns not applied to the chart).

In view of the above technical surroundings, sellers could have some gas left in the tank.

Commodities: WTI Hovering Just South of Decision Point Zone

H1 Timeframe:

Following a sizeable rebound yesterday, short-term flow in West Texas Intermediate (WTI) Oil is now within striking distance of a H1 decision point zone at US$64.90-US$64.24. This is considered a ‘decisive’ zone as within this area, a ‘decision’ was made to manoeuvre through the lower edge of a weekly descending triangle (extended from US$64.34 and US$95.01).

Equities: ‘Alternate’ AB=CD Support in Play in the S&P 500

Daily Timeframe:

As shown on the daily chart of the S&P 500, with the help of US President Donald Trump’s pause on tariffs, price action strongly rebounded from a 1.272% Fibonacci projection ratio of 4,983 (an ‘alternate’ AB=CD support) and is fast closing in on resistance from 5,570 and a 61.8% Fibonacci retracement ratio of 5,652 – which is commonly viewed as a key upside objective by AB=CD traders.

Cryptocurrency: BTC/USD Exhibiting Signs of Strength

Daily Timeframe:

Price action on the daily chart of BTC/USD (Bitcoin versus the US dollar) is finding support around the lower edge of a descending channel, extended from the low of US$91,059. Bolstering this area is the Relative Strength Index (RSI) demonstrating positive divergence. Should the RSI cross the 50.00 threshold, this could prompt technical buying and possibly a breakout above the upper boundary of the descending channel, taken from the all-time high of US$109,580.

Charts created using TradingView

Written by FP Markets Chief Market Analyst Aaron Hill

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