EURHUF closes lower for the 2nd day in a row
Euro/Hungarian Forint (EURHUF) Technical Analysis Report for Jun 01, 2020 | by Techniquant Editorial Team
Moving lower for the 2nd day in a row, EURHUF ended Monday at 344.8940 losing 17095 pips (-0.49%). Today's close at 344.8940 marks the lowest recorded closing price since March 16th. Closing below Friday's low at 346.0560, the market confirmed its breakout through the prior session low after trading up to 15340 pips below it intraday.
Daily Candlestick Chart (EURHUF as at Jun 01, 2020):
Monday's trading range has been 30380 pips (0.88%), that's slightly above the last trading month's daily average range of 28535 pips. Weekly volatility is also higher, being slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for EURHUF.
One bearish candlestick pattern matches today's price action, the Black Candle.
The forex pair closed below the 100-day moving average at 346.1424 for the first time since January 8th. When this moving average was crossed below the last time on January 8th, EURHUF actually gained 0.50% on the following trading day.
Crossing below the lower Bollinger Band for the first time since January 2nd, prices have shown unusually strong downward momentum in the short-term. This might either indicate a potential selling climax after which prices could head back up towards the mean of the Bollinger Bands at 350.1973 or signal the beginning of a strong momentum breakout leading to even lower prices.
While still in a long-term uptrend, the short and medium-term trends both turned bearish already.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "Close crossed below the lower Bollinger Band" stand out. Its common bearish interpretation has been confirmed for EUR/HUF. Out of 58 times, EURHUF closed lower 56.90% of the time on the next trading day after the market condition occurred.
With four out of the seven Major FX Pairs closing higher today, the ones that stand out on the positive side are AUDUSD gaining 1.93% and NZDUSD closing 1.43% higher. On the flipside the worst performers have been USDCAD closing -1.43% lower and USDJPY losing -0.21%. Looking at the other Minor FX Pairs and Crosses, the winners of the day have been AUDHKD surging 1.93% and AUDCHF closing 1.9% higher. The worst performers of the day have been EURAUD tanking -1.65% and USDPLN closing -1.36% lower. Read more