CNH/GBP Currency Pair Forecast
CNH/GBP currency pair downgraded to Hold/Accumulate
(Updated on May 24, 2024)
The CNH/GBP currency pair price fell by -0.378% on the last day (Friday, 24th May 2024) from £0.109 to £0.108. During the last trading day the currency pair fluctuated 0.667% from a day low at £0.108 to a day high of £0.109. The price has fallen in 8 of the last 10 days and is down by -2.06% for this period. Volume fell on the last day along with the currency pair, which is actually a good sign as volume should follow the currency pair. On the last day, the trading volume fell by -5 thousand shares and in total, 41 thousand shares were bought and sold for approximately £4.45 thousand.
Given the current horizontal trend, you can expect CNH/GBP currency pair with a 90% probability to be traded between £0.109 and £0.113 at the end of this 3-month period. A break of a horizontal trend is often followed by a large increase in the volume, and currency pairs seldom manage to go directly from the bottom of a trend up to the top. Currency pairs turning up in the middle of a horizontal trend are therefore considered to be potential runners.
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CNHGBP Signals & Forecast
There are few to no technical positive signals at the moment. The CNH/GBP currency pair holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at £0.109 and £0.110. A break-up above any of these levels will issue buy signals. A sell signal was issued from a pivot top point on Monday, April 22, 2024, and so far it has fallen -3.19%. Further fall is indicated until a new bottom pivot has been found. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Volume fell along with the price during the last trading day which is technical positive. One should, however, note that this currency pair may have low liquidity in periods, which increases the general risk. The very low volume increases the risk and reduces the other technical signals issued.
Support, Risk & Stop-loss for CNH/GBP currency pair
CNH/GBP finds support from accumulated volume at £0.108 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
In general the currency pair tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the currency pair During the last day, the currency pair moved £0.0007 between high and low, or 0.667%. For the last week the currency pair has had daily average volatility of 0.473%
CNH/GBP is oversold on RSI14 (16). Some currency pairs may drop long and hard while being oversold on RSI before turning, which increases the general risk.
Our recommended stop-loss: £0.101 (-6.68%) (This currency pair has low daily movements and this gives low risk. Low RSI14 is 16 which reduces the risk some. There is a sell signal from a pivot top found 60 days ago.)
Trading Expectations (CNHGBP) For The Upcoming Trading Day Of Tuesday 28th
For the upcoming trading day on Tuesday, 28th we expect CNH/GBP to open at £0.108, and during the day (based on 14 day Average True Range), to move between £0.108 and £0.109, which gives a possible trading interval of +/-£0.0006 (+/-0.55%) up or down from last closing price. If CNH/GBP takes out the full calculated possible swing range there will be an estimated 1.11% move between the lowest and the highest trading price during the day.
Since the stock is closer to the support from accumulated volume at £0.108 (0.16%) than the resistance at £0.109 (0.81%), our systems sees the trading risk/reward intra-day as attractive and believe profit can be made before the stock reaches first resistance..
Is CNH/GBP currency pair A Buy?
CNH/GBP holds several negative signals and this should be a sell candidate, but due to the general chance for a turnaround situation it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this currency pair since the last evaluation from a Buy to a Hold/Accumulate candidate.
Current score: -0.377 Hold/Accumulate Downgraded
Predicted Opening Price for CNH/GBP of Tuesday, May 28, 2024
Fair opening price May 28, 2024 | Current price |
---|---|
£0.108 ( 0.111%) | £0.108 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for CNHGBP
Fibonacci Support & Resistance Levels
Level | Price | |||
---|---|---|---|---|
Resistance | R3 | 0.109 | 0.777 % | |
R2 | 0.109 | 0.522 % | ||
R1 | 0.109 | 0.365 % | ||
Current price: | 0.108 | |||
Support | S1 | 0.108 | -0.143 % | |
S2 | 0.108 | -0.300 % | ||
S3 | 0.108 | -0.555 % |
Accumulated Volume Support & Resistance Levels
Level | Price | |||
---|---|---|---|---|
Resistance | R3 | 0.111 | 2.34 % | |
R2 | 0.109 | 1.03 % | ||
R1 | 0.109 | 0.81 % | ||
Current price | 0.108 | |||
Support | S1 | 0.108 | -0.157% | |
S2 | 0 | . | ||
S3 | 0 | . |
FAQ
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