Exotic Trading is a series of analyses, which is created in collaboration with the broker InterTrader and is published on Comparic every Monday, Wednesday and Friday. The theme as the name suggests are so called- exotic currency pairs.
As a result of last week’s declines market overcame growth trend line, which we are now testing from the bottom (as resistance).Rejection of this resistance could be a signal for continuation of declines in the near future.
As a result of ongoing from last week growth market reached today vicinity of the upper limit of the growth channel. The rejection of this level or located farther local resistance coinciding with the 70.7% Fibonacci level would be a signal to declines in near future.If, however, both of these levels will be defeated, then we can expect a retest of resistance around 11.7500.
To invest in exotic pairs take advantage of low spreads at broker InterTrader which at the time of the creation of this analysis for each instrument in turn were 17.5, 27 and 1.8 pips.
The market from over month moves sideways, where the lower limit of this consolidation coincides with the level of 38.2% Fibonacci correction of induced as a result of the presidential election in the US increases. Today, once again we are testing support and only if supply will have enough strength to overcome than in near future we expect to test level of 19.9000 .