Ichimoku Cloud Analysis 27.07.2021 (EURUSD, NZDJPY, AUDUSD)

EURUSD, “Euro vs US Dollar”

EURUSD is trading at 1.1796; the instrument is moving inside Ichimoku Cloud, thus indicating a sideways tendency. The markets could indicate that the price may test the cloud’s upside border at 1.1815 and then resume moving downwards to reach 1.1695. Another signal in favor of a further downtrend will be a rebound from the descending channel’s upside border. However, the bearish scenario may be canceled if the price breaks the cloud’s upside border and fixes above 1.1845. In this case, the pair may continue growing towards 1.1935.

NZDJPY, “New Zealand Dollar vs Japanese Yen”

NZDJPY is trading at 76.95; the instrument is moving above Ichimoku Cloud, thus indicating an ascending tendency. The markets could indicate that the price may test the cloud’s downside border at 76.20 and then resume moving upwards to reach 79.05. Another signal in favor of a further uptrend will be a rebound from the support level. However, the bullish scenario may no longer be valid if the price breaks the cloud’s downside border and fixes below 75.55. In this case, the pair may continue falling towards 74.65. To confirm further growth, the asset must break the resistance level and fix above 77.60, thus indicating a breakout of the neckline of a Head & Shoulders reversal pattern and the start of this pattern materialization.

AUDUSD, “Australian Dollar vs US Dollar”

AUDUSD is trading at 0.7367; the instrument is moving inside Ichimoku Cloud, thus indicating a sideways tendency. The markets could indicate that the price may test the cloud’s upside border at 0.7380 and then resume moving downwards to reach 0.7225. Another signal in favor of a further downtrend will be a rebound from the descending channel’s upside border. However, the bearish scenario may no longer be valid if the price breaks the cloud’s upside border and fixes above 0.7445. In this case, the pair may continue growing towards 0.7535. To confirm further decline, the asset must break the rising channel’s downside border and fix below 0.7315.