Daily analysis of Gold for October 19, 2017

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Overview

Gold price begins today's trading with a bearish bias, moving below 1,281.17 level after closing the daily candlestick below it. This puts the price under more expected negative pressure on the intraday basis, targeting 1,263.15 before attempting to return to rise again. Therefore, we expect more decline in the upcoming sessions supported by the negative pressure formed by the EMA50. Please note that stepping above 1,281.17 will stop the current negative pressure and push the price to regain its main bullish track again. The expected trading range for today is between 1,263.00 support and 1,285.00 resistance.

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Daily analysis of Silver for October 19, 2017

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Overview

Silver price is showing a slight bearish bias to move below 17.00 barrier now. However, we notice that stochastic reaches the oversold areas now to provide positive signal that supports the chances of a bullish bounce, so the overall bullish trend could resume. We still suggest the general bullish bias for the short term. The expected targets of the bullish wave begin by breaching 17.43 will open the way to head towards 18.30. Please taking into consideration that breaking 16.56 will stop the expected rise and push the price to decline towards 15.49 before any new attempt to rise. The expected trading range for today is between 16.80 support and 17.10 resistance.

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Fundamental Analysis of NZD/USD for October 19, 2017

NZD/USD has been impulsively bearish today as the pair broke below the key support area of 0.7050 recently. NZD has been quite strong amid recent economic reports which helped the currency to sustain the gain against USD. Nevertheless, today without any high impact economic reports the market just moved over 100 pips downwards engulfing the recent few days bullish price action in one go. Today, there are no economic reports from New Zealand, but tomorrow Visitor Arrivals report is due that previously was at -0.3% and Credit Card Spending report will be also released which previously was at 6.4%. There were no forecasts about this data, so the news can go either way, but certain speculation is against NZD. On the USD side, today Unemployment Claims report was published with a better-than-expected figure of 222k from the previous figure of 244k which was expected to be at 240k and Philly Fed Manufacturing report also came out with an upbeat figure of 27.9 from the previous reading of 23.8 which was expected to be at 21.9. Moreover, US CB Leading Index is going to be published which is expected to decrease to 0.1% from the previous value of 0.4% and Natural Gas Storage is expected to decrease to 59B from the previous figure of 87B. To sum up, despite positive economic reports from New Zealand, USD has dominated the pair with its impulsive gains today. This indicates that the price is set to proceed downward in the coming days. As the US economic reports this week have been quite positive, the pair is expected to move quite impulsively towards the next support level in the coming days.

Now let us look at the technical chart. The price is currently residing below the important level of 0.7050. In the coming days certain retracement towards 0.7050 is expected before price moves down towards 0.6850 support level. As the price remains below the dynamic level of 20 EMA and 0.7170 level with a daily close, the bearish bias is expected to continue further.

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Technical analysis of USD/JPY for October 19, 2017

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USD/CHF is under pressure and expected to continue the downside movement. The downward momentum is further reinforced by both declining 20-period and 50-period moving averages. The relative strength index is bearish, calling for another downside.

To conclude, below 112.85, look for a new challenge with targets at 112.10 and 111.85 in extension.

Alternatively, if the price moves in the opposite direction, a long position is recommended above 112.85 with a target at 113.15.

Chart Explanation: The black line shows the pivot point. The current price above the pivot point indicates a bullish position, while the price below the pivot point is a signal for a short position. The red lines show the support levels and the green line indicates the resistance level. These levels can be used to enter and exit trades.

Strategy: SELL, Stop Loss: 112.85, Take Profit: 112.10

Resistance levels: 113.15, 113.45 and 113.75 Support Levels: 112.10, 111.85, 111.25

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GBP/USD analysis for October 19, 2017

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Recently, the GBP/USD pair has been trading downwards. As I expected, the price tested the level of 1.3128. According to the 15M time – frame, I found rejection from pivot resistance 1 at the price of 1.3230 in the background, which is a sign that intraday sellers are in control. Most recently, I found a broken intraday rising wedge and rejection from pivot at the price of 1.3185, which is a sign that buying looks risky. My advice is to watch for potential selling opportuntiies. The downward targets are set at the price of 1.3114 (S2) and 1.3087 (S3, extreme intraday target).

Resistance levels:

R1: 1.3230

R2: 1.3260

R3: 1.3302

Support levels:

S1: 1.3158

S2: 1.3112

S3: 1.3087

Trading recommendations for today: watch for potential selling opportunities.

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