EURSGD closes higher for the 2nd day in a row
Euro/Singapore Dollar (EURSGD) Technical Analysis Report for Mar 26, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, EURSGD finished Thursday at 1.5791 gaining 40 pips (0.25%). Closing above Wednesday's high at 1.5768, the FX pair confirmed its breakout through the previous session high after trading up to 68 pips above it intraday.
Daily Candlestick Chart (EURSGD as at Mar 26, 2020):
Thursday's trading range has been 124 pips (0.79%), that's far below the last trading month's daily average range of 212 pips. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for EURSGD.
One bearish candlestick pattern matches today's price action, the Bearish Hikkake Pattern. The last time a Bearish Hikkake Pattern showed up on Monday, EURSGD lost -0.41% on the following trading day.
Prices are trading close to the key technical resistance level at 1.5870 (R1).
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
With prices trading close to this year's high at 1.5971, upside momentum could speed up should EUR/SGD be able to break out to new highs for the year.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) above 80" stand out. Its common bearish interpretation has been confirmed for EUR/SGD. Out of 297 times, EURSGD closed lower 54.55% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 56.57% with an average market move of -0.15%.
With four out of the seven Major FX Pairs closing higher today, the ones that stand out on the positive side are GBPUSD gaining 2.72% and NZDUSD closing 1.88% higher. On the flipside the worst performers have been USDCHF closing -1.43% lower and USDJPY losing -1.42%. Looking at the other Minor FX Pairs and Crosses, the winners of the day have been GBPHKD surging 2.72% and GBPZAR closing 2.65% higher. The worst performers of the day have been USDMXN tanking -4.12% and USDNOK closing -3.12% lower. Read more