USDSGD runs into sellers again around 1.4269
US Dollar/Singapore Dollar (USDSGD) Technical Analysis Report for May 25, 2020 | by Techniquant Editorial Team
USDSGD finished Monday at 1.4246 edging lower 4 pips (-0.03%) on low volume. Trading 12 pips higher after the open, the market was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (USDSGD as at May 25, 2020):
Monday's trading range has been 34 pips (0.24%), that's far below the last trading month's daily average range of 66 pips. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for USDSGD.
One bearish candlestick pattern matches today's price action, the Bearish Spinning Top.
After having been unable to move above 1.4260 in the prior session, the FX pair ran into sellers again around the same price level today, failing to move higher than 1.4269. The last time this happened on May 21st, USDSGD actually gained 0.53% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Among the three market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bearish Spinning Top" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for USD/SGD. Out of 230 times, USDSGD closed higher 51.30% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 51.30% with an average market move of 0.13%.
With five out of the seven Major FX Pairs closing higher today, the ones that stand out on the positive side are GBPUSD gaining 0.21% and AUDUSD closing 0.14% higher. On the flipside the worst performers have been USDCAD closing -0.11% lower and EURUSD losing -0.05%. Looking at the other Minor FX Pairs and Crosses, the winners of the day have been USDNOK surging 0.61% and EURNOK closing 0.56% higher. The worst performers of the day have been USDMXN tanking -0.8% and EURPLN closing -0.27% lower. Read more