Trade of the day: GBPUSD

GBPUSDH4

GBPUSD has been showing good bullish momentum and has potential to keep up the movement. The above chart is on a 4 hour time frame, this indicates that our trade recommendation can be used for both Day and Swing trades.

Price is currently above the 38.2 fib but is yet to close. A full close above that fib level will give a good signal to go long and target 1.30202 and 1.30785 in advance (the 50.0 and 61.8 fib levels). Stops can be placed a little below the 38.2 fib. Other technical indicators including the 50 MA and RSI also support the potential for  further bullish movement.

Trade of the day: CADJPY

CADJPYH1

Last week Friday, the pair began what seems to be a trend reversal after several sessions of being in a downtrend. Today, price has continued the bullish move from the beginning of market open. Technical indicators also give a good outlook, with the RSI showing good momentum above its neutrality line and the 50 hourly MA staying below market price.

Best trade recommendations will be to open long positions targeting 86.763 and 87.470 in advance. Stops can be placed anywhere from 85.981 and below.

Trade of the day: Oil heading towards May highs?

UKOilH1

Oil has been on a recovery run for some time now. However between last week and today, it has consolidated into a triangle pattern with price making a bullish breakout. Technical indicators look quite positive for the commodity. With the RSI staying above the neutrality line and an equally positive 50 MA.

With current market price around $52.5 pb, the next upper resistance is the high of the month of May which is around $54.4. Long positions can be taken with the $54 region being a target and stops can be placed just below the trough of the breakout. As is usual with oil, attention must be payed to fundamentals such as the weekly rig count figures and inventory reports as these can alter the outlook of technical analysis.