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End of Year Forex Market Technical Chart Patterns Review

 

US30 – U.S STOCK INDEX DOW JONES TRADES BUOYANTLY IN 2017
The year 2017 has been a year of spectacular record highs for the Dow Jones index as it records an impressive performance. The stock began the year with a weekly average price of $19309.6 and traded robustly up throughout the year. The Dow is now closing the year pretty above $23738.1 – which shows an overall gain of $4428.5, representing a percentage gain of 22.93% for the Dow.
The stock made eight year highs throughout 2017 and there is no indication of bearish price movements for the Dow in the coming year.
The stock has potential for further gains in the coming year and traders may therefore look out for buying opportunities in the coming year on retracements to daily mean price levels using the 12 period exponential moving average as a reference point for entries.

DOW JONES INDEX, WEEKLY CHART-2017

USOIL – WTI MAINTAINS A RANGING MARKET BIAS AND BREAKS OUT
U.S Oil WTI traded in a range bias that started in 2016 within the upper and lower limits of $54.58 – $43.59 for the first half of the year. WTI moved lower from the upper limit of this trading range to test key support level at $43.59 – where it regained momentum and moved higher pass key resistance level $54.58 during the last quarter of the year. Price is currently trading above $54.58 and it is most likely there will be retracement back to test this level within the first quarter of the coming year. We are likely to see WTI trading above $54.00 throughout the coming year as market participants continue to be more bullish.

USOIL WTI, WEEKLY CHART-2017

SPX/USD – U.S STOCK INDEX S & P 500, A BULL’s MARKET IN 2017.
Like the Dow, the S& P 500 has recorded a tremendous performance in the year 2017 as it made eight year highs throughout the year. The stock began the year above a weekly average price of $2217.61 and is now closing the year above a weekly average of $2607.98. Implying the stock has appreciated with a weekly average value of $390.37, representing a yearly percentage appreciation of 17.60% for the S& P 500.
The stock still has plenty of room for further gains in the coming year and it is pretty likely it will continue making new highs in 2018. Traders looking to invest in S & P 500 may zoom in onto the daily chart and look out for retracements to the 12 period exponential moving average to go long as we look forward to trading sessions in 2018.

S & P 500 WEEKLY CHART-2017

XAU/USD – SPOT GOLD MAINTAINS A RANGE BOUND MARKET IN 2017
Spot gold traded in a range throughout the year 2017. The market pushed up into the range boundary during the first month of the year and further rallied to test the high of the range at $1296.88 in April and then moved lower. The market did break above the high of the range in August but failed to sustain above it as it dropped back below this level in September, and the market has been trading below $1296.88 ever since. As the market approaches the high of the range at $1296.88 in the coming year one of three instances is likely to happen:
 Price can simply reverse to test the lower section of the trading range
 Price can break through the resistance and move higher
 There could be a false break
In either of these instances, traders should be on the look out to study and observe the price action dynamics that will unfold as price approaches key resistance level $1296.88 and take action based on their own trading plan.

SPOT GOLD, WEEKLY CHART-2017

EUR/USD – EURO DOLLAR SURGES HIGH IN 2017
The euro dollar began the year tumbling below weekly resistance $1.0856. The pair traded below this level for the first quarter of 2017 but made new highs above it as we entered the second quarter of the year. Price did sustain above the $1.0856 level after the breakout and traded above it for the rest of the year as it rallied to test $1.1724 key resistance level, and breaking above this level as well. Later, we saw price pull back to retest this level and is currently trading above it.

ALSO FROM WRITER: FREE INVESTMENT ADVICE TO NEW CRYPTO TRADERS

The upward momentum of the euro dollar remains intact and we may see price trading above $1.1724 for the greater part of the coming year. This presents traders an opportunity to have a good entry to go long on the euro dollar early in the coming year as the market gathers momentum to push higher.

EURO/DOLLAR, WEEKLY CHART-2017

By E.O. ESSIEN
E.O Essien is an Associate Financial Economists, currency trader, trainer and a private trading coach. You can reach him via email at elijahotoo.eo@gmail.com or on +233240080104/+233203656160.

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