Sequence of Analysis

1. Let the market stretch
2. Support / Resistance
3. Price Actions
4. MACD / Stochastic
5. Overbought / oversold - two long candle (hourly / 4H / Daily

Thursday, April 2, 2015

Historical chart of the major currency pairs traded in Forex market

Let's take a look at the historical chart of the major currencies traded in Forex over the course of 37 years period since 1978 until presents. The chart is presented using candlestick chart in monthly time frame. By looking at the historical chart we can have a general idea of the long-term trend of the currencies traded.

Candlestick chart below shows the market trend of major currencies (Australian Dollar, Japanese Yen, Euro, Great Britain Pound Sterling, US Dollar) against the Swiss Franc. If you notice the strength of Swiss franc over the course of 37 years is very stable especially against USD, Pound Sterling, and Euro. It's consistently keeps all these currencies moving closely on the ground at a smooth average graph. Only the Australian Dollar and Japanese Yen there are significantly volatile against the Swiss Franc.

The overall  conclusion for the Swiss Franc stability and strong against all major currencies. In addition there is strong sense of unpredictability - as you can see the impact on EUR, GBP, and USD it keeps going down for over 37 years without stopping even at its stability point it keeps gradually moving downtrend.

AUD-CHF


CHF-JPY

EUR-CHF

GBP-CHF

USD-CHF

The charts below shows major currencies traded against the USD in the course of 37 years period presented in candlestick and monthly time frame. Historically based on the chart behavior we can see all major currencies are going uptrend against the USD except the Britain Pound which relatively stable. From this chart we can generally conclude all the major pairs are currently in the process of major correction but eventually will continue to rise once it is done.

 AUD-USD

EUR-USD

GBP-USD

NZD-USD

The chart below shows all major currencies (EUR, GBP, and USD) against the Japanese Yen. Since the year 1991 the fluctuation is starting to stabilize after it gone down drastically from 1978. This stability may continue at the same patterns which conclude the current position for USD-JPY, GBP-JPY, EUR-GBP could already hitting it's peak point. Therefore either it is moving sideways, correction or going for overbought.

EUR-JPY

GBP-JPY

USD-JPY

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