Market After The FOMC Minutes

Published 10/18/2018, 04:36 AM
USD/JPY
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DE40
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CL
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FOMC Minutes from yesterday helped the USD to climb higher. That also negatively influenced stocks and commodities. The current price movements are in line with what we were writing about two days ago in the analysis about the USD/JPY and DAX. Let's start with the USD/JPY first. The bounce from the long-term up trendline is ON and yesterday, the price managed to break the 50% Fibo, which gives us a buy signal. Today, we are testing that area as a support and we can see a bounce, which gives us a bullish confirmation.


Now DAX. As expected, the neckline was reached and the first contact resulted with a bounce, which confirms the negative sentiment. Sellers should be careful though as the prices tries to come back above the yellow area again. I think that potential sellers should wait a little to gain more certainty and that should happen after we will see a decisive rejection of the yellow area.


Last but not least is the WTI Oil where the price broke the lower line of the pennant, the horizontal support and the mid-term up trendline. That is definitely a sell signal and the price should eventually reach the long-term up trendline around the 68 USD/bbl.

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