In the past week I published two analyzes, so let’s see how the market verified them, whether we were able to predict the future of the two currency pairs AUDUSD and USDCHF.
Monday, November 12 – “AUDUSD – divergence suggests declines”
In this analysis, I predicted declines, based on the ongoing divergence on the H4 graph: “On the H4 chart, there is a clear downward divergence. The purpose of any decreases may be the upper limit of the channel, which will now be a support at 0.7150. It is worth paying attention to the average EMA144, which may also be a dynamic resistance and the quotations may, after reaching it, change direction to the north, especially since it has been quite thoroughly tested before (chart H4).
The predictions proved to be effective and the average EMA144 again fulfilled the role of dynamic support. This is a perfect example that if the average EMA144 was previously respected as dynamic support/resistance, it can be taken into account when the price will contact it again it can be a turning point of the quotations.
Wednesday, 14/11/2018 – “USDCHF – in direction to channel support”
This was already the third analysis of this pair in November and also effective as the previous two. I pointed correctly the direction and range of declines: “Analyzing the H4 chart, we will notice that the candle that set the maximum this year simultaneously caused the maximum on the MACD, which started bearish divergence (chart / MACD). It seems very likely that there will be drops towards channel support, which currently is around 1,000.”
The price has already overcome the channel support and maybe after a slight correction, the declines will continue until the next support at 0.9950.
Based on the published analyzes, I collected 173p.
