#USDX Technical analysis for October 31, 2014

The Dollar index after back testing the break out area at 86 yesterday, has managed to stage another rally towards previous highs which are now being tested. The trend is bullish and I remain bullish following the bullish flag pattern I have posted several times before.


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The Dollar index has moved back above the Ichimoku cloud and after back testing the 85.20 support it bounced strongly upwards with the FOMC on Wednesday. Thursday, we saw a consolidation of this strong break out and a pull back to test the 86 break out level. Today, we see the Dollar index challenging the highs at 86.75. I remain bullish the Dollar targetig 91.


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Once again, I post the daily chart with the clear bullish flag formation targeting 91. The trend is clearly bullish as price is above the Ichimoku cloud and is making higher highs and higher lows. This upward move is expected to continue higher towards 91 which is my 1st target. Stop for long positions should be the 85.20 level.


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Gold Technical analysis for October 31, 2014

Gold price as expected has broken $1,200 and the huge support has set at $1,180. The bearish trend remains strong both in the short- and long-term. Our longer-term target remains at $1,050 as I have been saying for so long. The trend is down and now that we have broken below the triple bottom, the selling pressures should push Gold price much lower.


goldh4.jpg

Red line = support broken


Gold price remains below the Ichimoku cloud and has extended the decline after my sell signal at $1,220. Now below the triple bottom at $1,180, the road is open for a steeper decline towards $1,100 first and lower in the future. Trend is clearly down and any bounce should be sold. Resistance is found at $1,200 and $1,220.


gold.jpg

Blue line =resistance


Black line= support


In the weekly chart as shown above we finally see the triple bottom being broken. The weekly resistance level at $1,237 was tested and price got rejected as bulls could not close a week above it. This was a clear bearish sign and that is why I said in my analysis that the upward bounce from $1,180 to $1,255 was over. The trend is down and heavy selling is expected to follow in this market to new lows. Breaking such a bearish formation has many chances of succes for short positions.


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Review on USD/CHF for October 31, 2014

Stronger US data pushed the pair above 6-day high. In yesterday's session, we recommend buying above 0.9562 with the targets at 0.9600 an 0.9625. The pair made a high at 0.9610. We can expect a bigger upswing above 0.9625 the 80.0 fib level towards 0.9685 and 0.9726 on a positional basis. On the down side, the pair has support at 0.9510 20Dsma. Below 0.9510, the ascending trend line will provide enough support to push the prices higher. In case the prices close below the ascending trend line, the base support 0.9400 will act as strong support. The pair has been trading in a 160 pips range. For an intraday session, the pair has support at 0.9540. In case the pair closes above 0.9576 on a daily basis, it can challenge 100 pips more on the upper side. For an hourly basis, above 0.9576 we can expect good momentum towards 0.9590, 0.9610, and 0.9625 levels.


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Trading recommendation on Gold for October 31, 2014

The yellow metal drifted below $1,200.00 after the upbeat US data. The metal closed below $1,200.00 after 18- sessions. On the downside, the metal has support at $1,193.00 and $1,190.80. Today, gold opened on a minor bullish note. The daily Stochastic is indicating oversold. The metal settled at a 4-week low. In the h4 chart, the prices are making minor support base at $1,198.00 levels. We recommend selling below $1,198.00; strong selling pressure is below $1,293.00 levels. On the upside, it has resistance at $1,202.80, above this at $1,207.40 or 12hr high, $1,208.50 or 12ema, and $1,210.50 or 35DEMA. The hourly momentum oscillators favor to pull back. We recommend buying above $1,203.00 with the immediate target at $1,207.00, above this at $1,208.50, $1,210.00 levels are possible. In yesterday's session, we recommended selling with sl $1,216.00 with the target of $1,200.00 which gave good money. The metal favors selling on every rise. Today, the selling range exists at $1,207.50-$1,208.50 sl $1,210.50, the target at $1,200.00 levels. As we recommended in our earlier articles, the longer-term picture favors bears with the target at 800.00 and in the short term at $1,180.00 and $1,150.00 levels.


Trade:


Selling below $1,198.00


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Technical Analysis on USD/CAD for October 31, 2014

The pair has been consolidating for the last two days. The pair is trading in a narrow range between the 1.1223 and 1.1166 levels. The prices tried to breach the 20Dsma on the upside, but unable to close above that. Today, traders are keeping an eye on Canadian GBP data. We recommend buying with sl 1.1166 with the targets at 1.1213, 1.1223, and 1.1250. Bulls will regain strength in case the pair closes above the 1.1223 levels. We can see a strong upswing only above 1.1300. Until the prices close below 1.1300, we can see mixed returns on a weekly basis. In the daily chart, the Stochastic is indicating a buying signal. But the prices are obeyed to the descending trend line in the daily chart. These factors represent the mixed views. For an Intraday view, we can expect a strong upswing above 1.1210 levels or 34hrsma. The pair looks weak below 1.1166, we recommend selling below 1.1160 with the targets at 1.1150, 1.1137, and 1.1120 levels.


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Trading recommendation on EUR/USD for October 31, 2014

The pair drifted to the previous low's on an intraday basis, but at the end of the day it recovered most of its losses. The pair managed to closed above 1.2600 levels. In the current month, only one trading left. To regain mild strength today, bulls must close above the 1.2631 levels. On the down side, the pair has major support at 1.2500, below this panic will be triggered. As we recommended on the October 28th article, selling below 1.2660 gave good money. For the longer-term view, we still recommend selling on every up move for a down side with the target at 1.2220 initially, later at 1.20 and maybe 1.1875. For an Intraday view, we recommend selling below 1.2595 with the targets at 1.2585, 1.2575, 1.2550, and 1.2510. The pair has hourly support at 1.2597 35DEMA, resistance exists at 1.2632. We can see a minor upswing in case if the pair breaches above 1.2632. We recommend buying above 1.2635 with the targets at the 1.2653 and 1.2660 levels. Selling on every rise will mint the money.


Trade: Selling below 1.2595


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Technical analysis of EUR/USD for October 31, 2014

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Trading recommendations :



  • We expect that the trend of EUR/USD is going to call for a bearish market at the level of 0.2707 in H1 chart. Additionally, it should be noted that the range today will be about 95 pips. Thereupon, sell at the price of 1.2707-1.2646 with the first target of 1.2550, it might resume to 1.2481in order to test the weekly support. At the same time, the stop loss should never exceed your maximum exposure amounts. Accordingly, your stop loss should be placed above the 1.2728 level.


Review :



  • The price hit the weekly support 1 resistance 1 and pivot point this week.

  • The major support is going to set at 1.2481 on October 31, 2014.

  • The level of 1.2707 is representing the weekly pivot point, it will act as strong resistance today.

  • Hence, according to the previous events, the price of the EUR/USD pair is going to move between 1.2510 and 1.2647.

  • So, we expect a range between 113 pips and 184 pips this week.

  • Therefore, it will be very useful to sell below the price of 1.2707 in the long term with the first target at 1.2546 in order to test the double bottom. But if the trend is able to break the double bottom at 1.2546, then it might resume to the level of 1.2481.


Notes :



  • If the trend is upward, then the strength of the currency will be defined as follows: EUR is in an uptrend and USD is in a downtrend.

  • The double bottom will set at the level of 1.2500 and this level is going to represent the ratio of 00% Fibonacci retracement level in H1 chart.

  • The minor support is going to set at 1.2546.

  • The major support had already set at the price of 1.2481. Moreover, the double bottom also coincides with the major support.


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Technical analysis of EUR/JPY for October 31, 2014

General overview for 31/10/2014 08:20 CET


After the fundamental news release from Japan, this market spiked way much higher, breaking the supply zon and technical resistance. For now, it has stopped just shy of the longer term golden trendline that can be seen on this H4 time frame chart. If we take a look a little closer, we might see the upward progression in three waves so far. It has hit the next Fibo extension at the level of 138.89 (161%(a)=(c)). Currently, two scenarios are possible: either this wave up will continue to the golden trendline and then reverse, or the market is loosing steam already and some corrective cycle to the downside is needed.


Support/Resistance:


141.20 - Swing High


140.20 - Golden Trend Line Resistance


139.89 - 161%Fibo Level


138.01 - Untested Breakout Level


Trading recommendations:


Day traders and swing traders should refrain from trading until clear pattern will emerge.


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Technical analysis of EUR/JPY for October 31, 2014


Technical outlook and chart setups:


The EUR/JPY pair has hit extension at 138.70/80 levels and has surged beyond 139.50 for now. It is recommended to book profits on the remaining long positions taken earlier and remain flat for now. Resistance is seen at 140.30, followed by 141.30 and higher while support is seen at 137.00, followed by 135.00 and lower respectively. The pair could possibly look to reverse from the current levels but a bearish signal confirmation is awaited. The pair has hit fibonacci 0.786 resistance level at 139.75 for now. A bearish reversal signal confirmation would bring back bears into action.


Trading recommendations:


Book full profits on long positions taken earlier. Remain flat for now.


Good luck!


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Technical analysis of GBP/CHF for October 31, 2014


Technical outlook and chart setups:


The GBP/CHF pair is testing resistance at the 1.5350 levels as seen here. Please note that this region is also fibonacci 0.681 and past support turned resistance confluence. High probability remains that the pair could reverse from the current levels, hence recommendations are to remain short, risk is above 1.5450 levels. Support is seen at 1.5200, followed by 1.5100, 1.4975, while resistance is seen at 1.5450, followed by 1.5555 respectively. Bears are expected to regain control shortly, but a push through 1.5450 levels would certainly delay matters. Going below 1.5200 levels would accelerate the fall below 1.4975 in the sessions to come.


Trading recommendations:


Remain short, stop above 1.5450, the target is open.


Good luck!


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Technical analysis of Silver for October 31, 2014


Technical outlook and chart setups:


Silver made yet another low at $16.35 levels yesterday barely hitting stops placed at $16.40 levels. Both precious metals are diverging at the moment (Silver is making a low while Gold is not). This could be an early indication of a major reversal. Support (interim) is at $16.00, followed by $15.60 on the weekly chart, while resistance is seen at $17.60, followed by $17.80/18.00, and higher respectively. It is recommended to remain flat for now and await for a bullish reversal/confirmation. Traders should refrain from going short on Silver at current levels. A break of $17.60 on the top side would confirm a reversal now.


Trading recommendations:


Remain flat for now.


Good luck!


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Technical analysis of EUR/USD for October 31, 2014

!EURUSD.jpg When the European market opens, some economic news will be released such as German Retail Sales m/m, French Consumer Spending m/m, Italian Monthly Unemployment Rate, CPI Flash Estimate y/y, Core CPI Flash Estimate y/y, Unemployment Rate, and Italian Prelim CPI m/m. The US will also release the economic data such as the Core PCE Price Index m/m, Employment Cost Index q/q, Personal Spending m/m, Personal Income m/m, Chicago PMI, Revised UoM Consumer Sentiment, and Revised UoM Inflation Expectations. So, amid the reports, EUR/USD will move low to medium volatility during this day.

TODAY TECHNICAL LEVELS:

Breakout BUY Level: 1.2669.

Strong Resistance:1.2661.

Original Resistance: 1.2649.

Inner Sell Area: 1.2637.

Target Inner Area: 1.2607.

Inner Buy Area: 1.2577.

Original Support: 1.2565.

Strong Support: 1.2553.

Breakout SELL Level: 1.2545.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.


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Technical analysis of USD/JPY for October 31, 2014

!USDJPY.jpg In Asia, Japan will release the Household Spending y/y, Tokyo Core CPI y/y, National Core CPI y/y, Unemployment Rate, Monetary Policy Statement, Housing Starts y/y, and BOJ Outlook Report. Besides,

the US will also release some economic data such as Core PCE Price Index m/m, Employment Cost Index q/q, Personal Spending m/m, Personal Income m/m, Chicago PMI, Revised UoM Consumer Sentiment, and Revised UoM Inflation Expectations. So, there is a big probability the USD/JPY will move with low to medium volatility during the day.

TODAY TECHNICAL LEVELS:

Resistance. 3: 109.88.

Resistance. 2: 109.66.

Resistance. 1: 109.45.

Support. 1: 109.18.

Support. 2: 108.97.

Support. 3: 108.75.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.


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Daily analysis of USDX for October 31, 2014

The USDX has reached the level of 86.01, where this instrument has a fractal formed as part of the development of the current higher high pattern. However, the USDX is trying to make a breakout at the level of 86.40 to move up to the resistance level of 86.75. But we should have caution because the USDX could make a breakout at the support level of 86.01, so you can resume later the bearish trend in the H4 chart. The MACD indicator is entering the overbought area.


USDXH4.png

H4 chart's resistance levels: 86.75 / 87.00


H4chart's support levels: 86.01 / 85.06


On the H1 chart, the USDX was able to touch the resistance level of 86.40, but quickly, this instrument made a pullback to that area. Now, this pattern is forming a lower low below the resistance level of 86.17. However, the USDX would be performing corrective movements in favor of the current bullish trend in this instrument, but there is still the possibility that the USDX tries a breakout at the support level of 85.95 and falling to the level of 85.93. The MACD indicator remains in the negative territory.


USDXH1.png

H1 chart's resistance levels: 86.17 / 86.40


H1 chart's support levels: 85.95 / 85.73


Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish candlestick; the resistance level is at 85.27, take profit is at 85.03, and stop loss is at 85.49.


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Daily analysis of GBP/USD for October 31, 2014

The GBP/USD pair is trying to form a bearish pattern below the resistance level of 1.6004. This pair could fall in the coming hours to the support level of 1.5951, while this currency pair could make a bullish retracement above the resistance level of 1.6051. If successful, the next target would be the bearish trend line at the 1.6110 level which is close to the 200 SMA. MACD indicator remains in the negative territory, and this pair is likely to move in range during the session today.


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H4chart's resistance levels: 1.6004 / 1.6051


H4chart's support levels: 1.5951 / 1.5874


On the H1 chart, we can see that this pair has found strong support at the level of 1.5980, so that GBP/USD may begin to form a lower low pattern. If GBP/USD manages to support a breakout at that level, this pair could drop to the 1.5925 level, marking a new low. However, the GBP/USD pair still remains next to the SMA 200. The MACD indicator is entering the overbought zone.


GBPUSDH1.png


H1 chart's resistance levels: 1.6031 / 1.6075


H1 chart's support levels: 1.5980 / 1.5925


Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.5980, take profit is at 1.5925, and stop loss is at 1.6035.


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Intraday technical levels and trading recommendations on EUR/USD for October 30, 2014

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Two weeks ago, the EUR/USD pair looked oversold before the bullish engulfing daily candlestick emerged off price level of 1.2500.


The origin of the bullish engulfing pattern (around 1.2600) previously provided a good BUY position as suggested in previous articles.


The upper limit of the movement channel (1.2880-1.2900) was targeted. However, bearish pressure was applied earlier around 1.2800-1.2840.


This allowed a bearish breakout off the current bullish channel to take place. This probably confirms a Flag continuation pattern. Initial daily target level would be located around 1.2490.


As expected, the EUR/USD pair remained under bearish pressure since no fixation above 1.2760-1.2780 took place on a daily basis.


eur4h.jpg

A valid BUY position was previously suggested around the neckline of the bullish Head and Shoulders pattern (price level of 1.2660).


Last week on Wednesday, the market expressed quite strong bearish momentum that pushed below the lower limit of the previous bullish channel.


Bears have successfully pushed towards price zone of 1.2600-1.2620 (the lower limit of the newly established bearish channel).


As anticipated, around this price zone, bullish recovery was expressed at retesting of the lower limit. Bulls were able to push towards 1.2760 ( the upper limit of the channel ).


Price levels around 1.2750 provided a valid SELL entry as suggested in previous articles.


Recommendation:


Price level of 1.2750 corresponded to the upper limit of the newly established channel depicted on the chart.


A valid SELL entry was anticipated around 1.2730-1.2760. It's running in profits now. Stop Loss can be lowered to 1.2700 to offside some risk.


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Technical analysis of USD/JPY for October 30, 2014

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Fundamental overview:


USD/JPY is expected to consolidate with bullish bias after hitting three-week high 108.97 on Wednesday. USD/JPY is underpinned by the positive dollar sentiment (ICE spot dollar index last 85.98 versus 85.41 early Wednesday) after the Federal Reserve confirmed the end of its monthly bond-buying program and delivered a slightly more-hawkish-than-expected policy statement as it offered a relatively optimistic assessment of the outlook for the U.S. labor market and economy. USD/JPY is also supported by the higher U.S. Treasury yields (10-year at 2.321% versus 2.284% late Tuesday), demand from Japan's importers and ultra-loose Bank of Japan's monetary policy. But USD/JPY gains are tempered by Japan's exporter sales, selling of yen crosses amid diminished risk appetite (VIX fear gauge rose 5.28% to 15.15, S&P 500 closed 0.14% lower at 1,982.3 overnight) as the Fed's latest policy statement renewed concerns over higher interest rates.


Technical comment:
Daily chart is positive-biased as MACD and stochastics are bullish, five-day moving average is above 15-day MA and is advancing.


Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a higher range as far as it remains above its pivot point. As long as the price is keeping above its pivot point, a long position is recommended with the first target at 109.30 and the second target at 109.55. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 107.90. A break of this target would push the pair further downwards and one may expect the second target at 107.55. The pivot point is at 108.35.


Resistance levels:

109.30

109.55

109.90


Support levels:

107.90

107.55

107.35


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Technical analysis of NZD/USD for October 30, 2014

NZDUSDM30.png


Fundamental overview:


NZD/USD is expected to consolidate with a bearish bias after hitting a three-week low 0.7766 on Wednesday. It is undermined by the less-hawkish-than-expected Reserve Bank of New Zealand's policy statement as the central bank kept interest rates on hold at 3.5%. The RBNZ has shifted, removing the mild tightening bias and implicitly making the next policy move open-ended, Citigroup says. NZD/USD is also weighed by the positive USD sentiment and Kiwi sales on soft NZD/JPY cross amid the subdued investor risk appetite. But NZD/USD losses are tempered by the NZD-USD interest differential.


Technical comment:

Daily is chart mixed as MACD is bullish, but stochastics is reverted to bearish mode, bearish outside-day-range pattern was completed on Wednesday.


Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below its pivot point. Short position is recommended with the first target at 0.7805. A break of this target will move the pair further downwards to 0.7760. The pivot point stands at 0.7880. In case the price moves in the opposite direction and bounces back from the support level, then it will moves above its pivot point. It is likely to move further to the upside. In that scenario, a long position is recommended with the first target at 0.7810 and the second target at 0.7855.


Resistance levels:

0.7910

0.7955

0.7990

Support levels:


0.7805

0.7760

0.7735


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EUR/NZD analysis for October 30, 2014

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EURNZDH430.png


Overview:


In our last analysis, EUR/NZD has been trading upwards. As we expected, the price tested the level of 1.6234 in an ultra high volume (buying climax). We can observe that price went into bearish corrective phase according to the previous strong bullish leg so I have placed Fibonacci retracement to find potential end of bearish corrective phase. I got Fibonacci retracement 61.8% at the price of 1.6095 (held successful). According to the 4H time frame, we can observe potential end of a beairhs corrective phase (abcd), which is a sign that selling looks risky. Be careful when selling EUR/NZD since we may see further upward movement. Watch for potential buying opportunities after retracement (buy on the lows). According to the daily chart, we got weak supply in a volume below the average.


Daily Fibonacci pivot levels:


Resistance levels:


R1: 1.6250


R2: 1.6312


R3: 1.6412


Support levels:


S1: 1.6050


S2: 1.5988


S3: 1.5888


Trading recommendations: Be careful when selling the EUR/NZD pair since our Fibonacci retracement 61.8% is on the test


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Gold: analysis for October 30, 2014

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GOLDH430.png


Overview:


Since our last analysis, gold has been trading downwards. As we expected, the price tested the level of 1,199.56 in an ultra high volume (selling climax). Our Fibonacci retracement 61.8% at the price of 1,210.00 is broken, which is a sign that the price go to test the level of 1,183.00 (swing low like support). According to the daily time frame, we got demand in a volume below average, which caused the price to start with donward movement. I have placed Fibonacci retracement to find potential resistance levels and I got Fibonacci retracement 38.2% at the price of 1,206.00 (currently on the test) and Fibonacci retracement 61.8% at the price of 1,210.00. Watch for potential selling opportunities after retracement.


Daily pivot Fibonacci points:


Resistance levels:


R1: 1,229.65


R2: 1,234.89


R3: 1,243.37


Support levels


S1: 1,212.69


S2: 1,207.45


S3: 1,198.97


Trading recommendations: Buying gold at this stage looks risky since price has broke Fibonacci retracement 61.8%.


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Technical analysis of EUR/USD for October 30, 2014


Technical outlook and chart setups:


The EUR/USD pair drops below 1.2600 (interim) support, but is still expected to carve a higher bottom above 1.2500. The pair is testing fibonacci 0.786 support around 1.2560 levels as seen here. A bullish reversal here would still drag prices higher up to the 1.3100 mark in the sessions to come. On the flip side, a drop below 1.2500 would delay matters further and bring in bears to regain control. Support is now at 1.2500 on the 4H chart view while resistance is seen at 1.2760, followed by 1.2850/1.2900 levels respectively. It is still recommended to initiate long positions now (1.2570/80), risk remains below 1.2500.


Trading recommendations:


Remain long, stop below 1.2500, the target is 1.3120.


Good luck!


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#USDX Technical analysis for October 30, 2014

The Dollar index has held support yesterday. After the FOMC minutes, the greenback strengthened and broke above resistance levels signaling the start of a new upward move that could push the index towards 91. The trend is bullish as long as price is above 85.15.


usdx.jpg

Red line = broken resistance


Black line=broken trend line resistance


The Dollar index has bounced strongly off the Ichimoku cloud support after making a low at 85.20. The Dollar index has managed to hold above the cloud support and has also showed signs of strength by breaking above 86. The trend is bullish and this trend reversal could signal the start of a new upward move in the Dollar index. For this to hold, the Dollar index should not break below 85.20.


usdxd.jpg

The Dollar index is progressing as expected from the bullish flag break out as we noted several days ago, producing a new higher high and a higher low, confirming the bullish trend. Resistance at 86.75 should now be tested and broken, otherwise we might be in danger of seeing a pull back towards 84.


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Gold Technical analysis for October 30, 2014

Gold price has broken short-term support at $1,221 and price is moving towards our short-term target of $1,200 already. My longer-term view remains bearish targeting $1,050. Important resistance for a trend change is the $1,240.


goldh4.jpg

Red line=broken support


Gold price has made a lower low and remains below the Ichimoku cloud. Next support is at $1,200 and at $1,180. This support area is strong and could produce a bigger bounce towards $1,265 but I would again prefer not to take any bullish trades and only look for levels to sell Gold. The short-term resistance is at $1,225 and at $1,240. Breaking above $1,240 will give me $1,265 as the 1st target. The trend however remains bearish and I continue to prefer short positions.


gold.jpg

The weekly chart remains fully bearish as price has now moved away of the critical resistance at $1,237 that was needed to be broken on a weekly basis in order for Gold price to bounce higher towards $!,265 or even $1,300. The bearish weekly formation combined with the rejection at the Ichimoku cloud, continues to support my longer-term bearish view that eventually we will break $1,180.




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Elliott wave analysis of EUR/NZD for October 30 - 2014

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Today's support and resistance levels:


R3: 1.6263


R2: 1.6240


R1: 1.6211


Current spot: 1.6143


S1: 1.6133


S2: 1.6099


S3: 1.6055


Technical summary:


Red wave ii ended at 1.6003 (dangerous close to our stop at 1.6000). The rally of the 1.6003 low is clearly impulsive in character and after a small correction to 1.6099 the next impulsive rally higher towards 1.6498 should be seen. Only an unexpected decline below 1.6003 will invalidate the immediately bullish count and call for the alternative count, showing and expanded diagonal developing, but the odds for this possibility is very very low now.


Trading recommendation:


We are long in EUR from 1.6065 with stop placed at 1.6000. If you are not long in EUR yet, then buy near 1.6099 with the same stop at 1.6000.


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Elliott wave analysis of EUR/JPY for October 30 - 2014

2014-10-30-EURJPY-8H.png


Today's support and resistance levels:


R3: 137.72


R2: 137.52


R1: 137.42


Current spot: 137.41


S1: 137.22


S2: 136.90


S3: 136.70


Technical summary:


The correction in wave B ended slightly higher than the ideal 137.82, with a top at 138.03. Now, we will be looking for a break below support at 136.56 as the final confirmation, that wave B did indeed end at 138.03 and wave C lower to 130.99, where wave C will be equal in length to wave A. Short term, we will be looking for resistance at 137.53 to protect the upside for the decline to 136.59 and below.


Trading recommendation:


We are short in EUR from 137.70 with stop place at 138.10. If you are not short in EUR yet, then sell near 137.52 with the same stop at 138.10


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Technical analysis of USD/CAD for October 30 2014

General overview for 30/10/2014 07:50 CET


The low anticipated yesterday for purple wave (2) looks to be in place now. The market move is just below the golden trendline and it is waiting for a breakout. The key level for the market is the level of 1.1292 and any breakout above the level is bullish with a high possibility of new highs to be made. Moreover, any failure at that level means that the corrective cycle will be more complex and time-consuming.


Support/Resistance:


1.1070 - 1.1080 - Demand Zone


1.1074 - WS3


1.1128 - WS2


1.1182 - Intraday Support


1.1185 - WS1


1.1240 - Weekly Pivot


1.1262 - Intraday Resistance


1.1292 - Intraday Resistance|Key Level for Bears|


1.1295 - WR1


1.1351 - WR2


1.1384 - Swing High


Trading recommendations:


The buy orders opened yesterday should be still kept open and SL for those orders should be now moved higher above the level of 1.1100. Any breakout above the level of 1.1220 provides further opportunity to add more buy orders with the same SL and TP levels as before.


usdcad_h1.jpg


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Technical analysis of EUR/JPY for October 30, 2014


Technical outlook and chart setups:


The EUR/JPY pair has almost hit 138.00 levels yesterday before pulling back. The pair could retrace a bit before hitting the next target at the 138.80 levels. The pair is at 137.45/50 at the moment. It is recommended to book at least partial profits, the target remains for 138.80 exit. Support is seen at 136.50, followed by 135.00 and lower while resistance is seen at 139.00, followed by 140.20 respectively. The pair could push higher up to the 138.70/80 levels before giving a meaningful retracement. In the longer run, the pair has got potential to rise up to 140.50 and higher as seen here.


Trading recommendations:


Exit long positions partially. Hold remaining long positions, stop is 135.00, the target is 138.70.


Good luck!


The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of EUR/JPY for October 30, 2014

General overview for 30/10/2014 07:30 CET


As anticipated two days ago the one to one equal legs market geometry pattern between waves a and c green has been completed and supply zone has provided the resistance necessary to move the market down. Currently it looks like intern sub-cycle wave -i- is completed and now the market is in wave -ii- of the cycle. When the correction is finished, the market should break below the level of 137.25 in impulsive fashion and continue lower. Nevertheless, the key support for the bulls is still at the level of 136.48 and only a breakout below this level confirms the top for wave B black at the level of 138.04. On the other hand, any breakout higher above the supply zone invalidates the immediate impulsive bearish scenario.


Support/Resistance:


138.11 - WR1


138.06 - Projected Target Level For wave B |Key Level for Bears|


137.92 - Intraday Resistance


137.80 - 137.93 - Supply Zone


137.24 - Intraday Support


136.66 - Weekly Pivot


136.48 - Intraday Support|Key Level for Bulls|


136.11 - WS1


Trading recommendations:


Sell positions opened yesterday should still be kept open. Just to remind you: SL above the level of 138.11, TP below the level of 137.24.


eurjpy_h1.jpg


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Technical analysis of GBP/CHF for October 30, 2014


Technical outlook and chart setups:


The GBP/CHF dropped close to 1.5200 levels yesterday before pulling back higher. The pair is trading around 1.5300 levels at the moment and bears should resume down swing till prices are below 1.5340/50 levels. Support is seen just below 1.5200 levels, followed by 1.5100, 1.4975 and lower while resistance is seen at 1.5450, followed by 1.5550/5 respectively. It is recommended to remain short from last week, risk remains above 1.5450. The pair could drop below 1.4700 levels if 1.5350 and subsequently 1.5450 levels (resistances) hold good.


Trading recommendations:


Remain short, set stop above 1.5450, target is open.


Good luck!


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Technical analysis of Silver for October 30, 2014


Technical outlook and chart setups:


Silver has tested the range lows at sub $17.00 levels again. Please note that it is also at the fibonacci 0.618 support (sub $17.00 levels). The metal could be preparing to rally from current price levels up to $18.50 in the days to come. Hence recommendations are to remain long, risk is below $16.60 for now. Support is seen at $17.00, followed by $16.60 and lower, while resistance is seen at $18.00 levels, followed by $18.80/19.00 and higher respectively. Bulls could be determined to take control back till prices remain above $16.60 .


Trading recommendations:


Remain long, set stop at $16.40, target is open.


Good luck!


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Technical analysis of Gold for October 30, 2014


Technical outlook and chart setups:


Gold has dropped to $1,210.00 levels as discussed and expected earlier. Please also note that the metal is at fibonacci 0.618 support levels of the rally between $1,183.00 and $1,255.00. It is recommended to exit short positions taken earlier (last week) and initiate long positions, with risk at $1,180.00 levels. Support is seen at $1,205.00 followed by $1,183.00 and lower while resistance is seen at $1,225.00, followed by $1,255.00 (interim), $1,275.00 and higher respectively. The metal is moving sideways since yesterdays' drop and bulls are expected to resume rally from here.


Trading recommendations:


Remain long, set stop at $1,179.00, target is open.


Good luck!


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Technical analysis of GBP/JPY for October 30, 2014

The cross is trading at a 2-week high. The cross managed to hold the 20Wsma. In the daily chart, we can see the minor double top at 174.76 levels on a closing basis. On a monthly closing basis, the pair must close above 177.80 levels. In case, if the cross closes below 177.80 we can clearly see the double top formation in the monthly charts representing down side again back to 168.00 levels, 200Mema. In case, if the cross manages to close above 177.80 the pair can extend its upswing towards 180.70 and 183.50 levels. Including today, we have 1 more trading session left in the current month. In the current month, the cross erased the 3/4th of its losses. We will re-analyze the chart, in case if the pair closes above 177.80 on a monthly closing basis.


GBPJPYDaily.png

Today in Asia's session the cross held the support at 50Dsma, 174.00. We recommend buying only above 174.76 levels. The hourly stochastics is indicating sell mode. The prices are taking support at 21ema, 174.00 levels. We recommend selling below 174.00. The hourly resistance exists at 174.40 35DEMA. The pair will face heavy selling pressure below 173.60, 34hrsma, for an immediate target at 173.00.


GBPJPYH4.png

Trade:


Buying above 174.80 for targets at 175.02, 175.90


Selling below 173.60 for targets at 173.00


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Trading recommendation on Gold for October 30, 2014

The yellow metal was pushed to a 3-week low. In today's early session the metal holds steady by holding previous low. In yesterday's session the metal fell below 20Dsma and closed below that. The metal has the nearest support at $1,207.00 levels, below this, $1,202.80 and $1,200.00 will act as support levels. On the other hand, the metal has resistance at $1,217.00, above this $1,222.00 and $1,227.00, 20Dsma. For an intraday basis, the prices are taking support at $1,211.70 and facing strong resistance at $1,217.00. A breakout either side will provide further room to trade. In the h4 chart, the momentum oscillators are indicating oversold levels. The metal prices closed far below the 12ema and 35DEMA. We recommend using every rise to sell or sell below 1210.00 and panic will be triggered below 1,207.00 levels. The resistance levels exist at $1,217.00, $1,221.60, 12ema, $1,226.00, 21hrsma, and $1,229.60, 34hrsma. Until the prices close below the 34hrsma selling will mint the money for today and tomorrow as well. For an hourly trade, risky traders, use sl $1,216.50 selling at a market price at $1,213.00 for targets at $1,211.00, $1,207.50, below this, $1,204.00 and $1,200.00 levels. Buying above $1,217.00 for targets at $1,220.00 and $1,221.60 levels.


1414638209_GOLDH4.png


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Forecast and trading recommendations on EUR/JPY for Octoebr 30, 2014

The cross is trading at 3-week high. The cross managed to breach the 20Wsma, but was unable to sustain above that. In the daily chart, we can see the minor double top at 137.75 levels on a closing basis. On a monthly closing basis, the pair must close above 138.48 levels. In case, if the cross closes below 138.48 we can clearly see the double top formation in the monthly charts representing a downward move towards 135.45 levels. In case, if the cross manages to close above 138.48 the pair can extend its upswing towards 139.40 and 139.90 levels. Including today, we have 1 more trading session left in the current month. In the longer term picture we can see the 131.40 and 129.0 breaks, below this, another steep correction towards 2013 February and March lows. In the current month, the cross erased the 3/4th of its losses. We will re-analyze the chart in case if the pair closes above 138.48 on a monthly closing basis. The Euro is weaker than the Yen.


EURJPYDaily.png

For an intraday basis, the cross looks weak only below 137.40 levels. We recommend buying above 137.75 levels. In the h4 chart, the hourly Stochastics is indicating a selling signal. The intraday trading pattern is framed between 137.40 and 137.75. We recommend selling below 137.30 for targets at 136.90 and 135.60 levels. We recommend buying above 137.75 and strong momentum only above 138.02 levels. In the hourly chart, the pair made a double top at 138.02 levels. We can expect a strong upswing only above 138.02.


EURJPYH4.png

Trade:


Risky traders, buying above 137.75


Safe traders, buying above 138.02


Selling below 137.30


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Trading recommendation on USD/CHF for October 30, 2014

The US dollar gave a stellar performance against most major currencies. The Federal Reserve closed its monthly bond-buying program. The pair took support from the ascending trend line, gave a strong close in yesterday's session. The pair closed above 20Dsma, but is facing strong resistance at the 61.8 fib level of 0.9562. We recommend buying above 0.9562. In the daily chart, we can observe an ascending triangle. The height of the triangle is 164 pips on a closing basis. We can see another huge upswing above 0.9562 for an immediate target at 0.9600 and 0.9625 levels. Above these, 0.9685 and 0.9726 are also possible on a positional basis. Bulls get active only above 0.9562. On the down side, the pair has support at 0.9510, 20Dsma. Below 0.9510 the ascending trend line will provide enough support to push the prices higher. In case, if the prices close below the ascending trend line, the base support at 0.9400 will act as strong support. The pair has been trading within a 160-pip range. A breakout either side will provide more room to trade. For an intraday session, the pair has support at 0.9490. We recommend selling below 0.9490 and buying above 0.9562 levels.


Trade:


Buying above 0.9562 for targets at 0.9600 and 0.9625


Selling below 0.9490 for targets at 0.9440 and 0.9400


USDCHFH4.png


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Technical analysis of EUR/USD for October 30, 2014

When the European market opens, some economic news will be released such as German Prelim CPI m/m, Spanish Flash CPI y/y, Spanish Flash GDP q/q, German Unemployment Change, Italian 10-y Bond Auction. The US will release the Advance GDP q/q, Unemployment Claims, Advance GDP Price Index q/q, Natural Gas Storage, so amid the reports, EUR/USD will move with low to medium volatility during this day.

TODAY TECHNICAL LEVELS:

Breakout BUY Level: 1.2694.

Strong Resistance:1.2686.

Original Resistance: 1.2674.

Inner Sell Area: 1.2662.

Target Inner Area: 1.2632.

Inner Buy Area: 1.2602.

Original Support: 1.2590.

Strong Support: 1.2578.

Breakout SELL Level: 1.2570.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.


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Technical analysis of USD/JPY for October 30, 2014

In Asia, Japan will not release any economic news, but the US will release some economic data such as Advance GDP q/q, Unemployment Claims, Advance GDP Price Index q/q, Natural Gas Storage. So there is a big probability the USD/JPY will move with low volatility during the Asian session, but with low to medium volatility during the US session.

TODAY TECHNICAL LEVELS:

Resistance. 3: 109.61.

Resistance. 2: 109.40.

Resistance. 1: 109.18.

Support. 1: 108.92.

Support. 2: 108.70.

Support. 3: 108.49.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.


The material has been provided by InstaForex Company - www.instaforex.com

Daily analysis of USDX for October 30, 2014

At the H4 chart, the USDX rose from the level of 85.20 to the resistance level of 86.01 where the USDX has begun to form a bullish pattern. In the medium term, we can see that the USDX has enough room to rise to the level of 86.40, where one bullish trend line is on this chart. In addition, the MACD indicator remains in positive territory, although the USDX could make a pullback at current levels.


USDXH4.png

H4chart's resistance levels: 86.01 / 86.75


H4chart's support levels: 85.06 / 84.52


The USDX had a strong bullish momentum above the 200 SMA on the H1 chart. For now, the USDX could begin to form a higher high pattern to attempt a breakout on the resistance level of 86.17. If successful, the next target would be the level of 86.40 in the short term. However, the USDX could perform a retracement to the support level of 85.73, to then continue the bullish trend. The MACD indicator remains in positive territory.


USDXH1.png

H1 chart's resistance levels: 86.17 / 86.40


H1 chart's support levels: 85.95 / 85.73


Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish candlestick; the resistance level is at 85.27, take profit is at 85.03, and stop loss is at 85.49.


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Daily analysis of GBP/USD for October 30, 2014

On the daily chart, GBP/USD had a sharp drop from the resistance level of 1.6146 to the 1.6005 level, where the pair is trying to consolidate its current bearish trend, and now this pair could fall to the support level of 1.5883 in the medium term. That level is very strong, as this pair made a rebound at this level a few weeks ago. For now there is no clear view in the short term for the GBP/USD and the MACD indicator is entering neutral territory.


GBPUSDDaily.png


Dailychart's resistance levels: 1.6046 / 1.6146


Daily chart's support levels: 1.5883 / 1.5746


The GBP/USD is forming a lower low pattern below the resistance level of 1.6031, which is below the 200-day moving average. However, the GBP/USD could conduct a retracement to the resistance level of 1.6075, even if the pair could perform a breakout at the support level of 1.5980 to fall to the level of 1.5925, which would be a bearish consolidation.


GBPUSDH1.png


H1 chart's resistance levels: 1.6031 / 1.6075


H1 chart's support levels: 1.5980 / 1.5925


Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.5980, take profit is at 1.5925, and stop loss is at 1.6035.


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