Euro Yen – EUR/JPY decline lower after price rejected its 128.40 resistance level as we expected in our 25th October 2018 Market Outlook. Traders who went short as we recommended may consider continue holding onto the short position with a trailing stop behind as price is likely going to continue with its decline in the coming days. There’s no immediate support level below which offer traders massive profit margin to trade the short side of the market.
Aussie Kiwi – AUD/NZD pullback into its 1.0860 resistance level and rejected it yesterday. Given that the short term trend is bearish at the moment, traders may consider shorting this market to jump on the bearish trend as price is likely going to continue with its bearish trend in the coming days. The next support level is not found until 1.0670 which offer traders great profit margin to trade the short side of the market.
Pound Dollar – We have a nice resistance level above at 1.2950 in GBP/USD which traders may hunt for potential shorting opportunity if price pullback into it as the overall trend is still bearish. Ideally we would prefer to see some price rejections or any other form of confirmations before shorting this market to avoid false signals.