Gold analysis for August 22, 2014

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Overview:


Since our last analysis, gold has been trading downwards. Just like we expected, the price tested the level of 1,272.90 in a very high volume. We got successful rejection from our Fibonacci retracement 61.8%, which caused the price to start downward movement. Our Fibonacci expansion 61.8% at the price of 1,284.00 is broken. So, we may see potential testing the level of 1,260.00 (Fibonacci expansion 100%). We can observe very weak demand according to the 4H timeframe, which is a sign that buying looks very risky. Watch for potential selling opportunities afer retracement.


Daily pivot Fibonacci points:


Resistance levels:


R1: 1,277.71


R2: 1,277.93


R3: 1,278.27


Support levels:


S1: 1,277.03


S2: 1,276.81


S3: 1,276.47


Trading recommendations: Buying Gold looks risky since the price has broken support level.


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Technical analysis of GBP/USD for August 28, 2014

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Overview :



  • The market has been in a downtrend since yesterday and started dropping form the level of 1.6628. Also, it should be noted that the price of the GBP/USD pair opened below the weekly resistance 1 at the level of 1.6628. Additionally, the double top sets at 1.6622 in H1 chart. Therefore, the market will probably indicate a bearish opportunity at the level of 1.6622 or/and 1.6630 in the short term. According to the previous events, the price is going to move between the levels of 1.6622 and 1.6566. The level of 1.6566 is going to represent the double bottom and the strong support will be set at the 1.6554 level. Therefore, the area below 1.68630 (the weekly resistance 1) looks for further downside with the first target at the 1.6566 (the double bottom) level and continue towards 1.6554 in order to test the weekly support in H1 chart. However, the stop loss should be placed at the price of 1.6653.


Intraday technical level :


Date:22/08/2014


Pair:GBP/USD



  • Projected high:1.6720

  • Breakout (buy stop):1.6665

  • Strong resistance (sell limit):1.6635

  • Current pivot:1.6581

  • Strong support (buy limit):1.6527

  • Breakout (sell Stop):1.6502

  • Projected low:1.6452


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Technical analysis of EUR/USD for August 28, 2014

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Overview :



  • The EUR/USD pair has already formed a strong resistance level of 1.3370. This level had already represented the last weekly resistance 1. This week coincides with the ratio of 50% Fibonacci retracement levels in the daily chart. Additionally, after it failed to close above 1.3370, the pair started signaling for the bearish market at this spot. Therefore, the pair will have a downside rather convincing momentum. The structure of the fall does not look corrective. In order to indicate a bearish opportunity below 1.3370 or 1.3330, it will a good idea to sell below this area with the first target of 1.3230 to test the double bottom (38.2% Fibonacci retracement levels). Its chart will call for a downtrend in order to continue bearish move towards 1.3200. However, it should be noted that the price has still been moving between 1.3228 and 1.3315. So, we expect a range of 63 pips on August 22, 2014.


Intraday technical levels :


Date:22/08/2014


Pair:EUR/USD



  • R3: 1.3348

  • R2: 1.3317

  • R1: 1.3300

  • PP: 1.3269

  • S1: 1.3252

  • S2: 1.3221

  • S3: 1.3204


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Technical analysis of EUR/JPY for August 22, 2014

General overview for 22/08/2014 10:00 CET


This is the last chance scenario for bears impulsive count before the level of 138.02 will be violated and the impulsive count invalidated. Breakout below the golden trendline is the key for further downside move.


Support/Resistance:


138.02 - Swing High | Invalidation Level | Key Level|


137.70 - WR1


137.45 - Intraday Support


137.03 - Weekly Pivot


Trading recommendations:


Day traders should consider opening sell orders from the current market price with SL above the level of 138.02 and first TP at the level of 137.45.


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Technical analysis of USD/CAD for August 22, 2014

General overview for 22/08/2014 10:00 CET


As anticipated yesterday, the five wave impulsive structure looks completed. Now, it is correction time. There are at least two main shapes that this corrective structure might unfold and it all depends where green wave b will be finished. If green wave b will be completed below the key level at 1.0946, then the shape of the corrective cycle will be a zig-zag. If the wave will break out higher into the last swing high level, then the chances are high, that the corrective cycle will be in shape of a regular/irregular flat cycle. The main support level is at the weekly pivot at the level of 1.0901.


Support/Resistance:


1.0901 - Weekly Pivot


1.0926 - Intraday Support


1.0946 - Intraday Resistance


1.0944 - WR1


1.0984 - Swing High


Trading recommendations:


Buy orders should be closed now or trailing stop orders should be used to protect the profits on all open buy orders. It is highly recommended to wait until the corrective cycle is completed before opening another position.


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Elliott wave analysis of EUR/NZD for August 22, 2014

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Today's support and resistance levels:


R3: 1.5826


R2: 1.5809


R1: 1.5793


Current spot: 1.5784


S1: 1.5770


S2: 1.5746


S3: 1.5716


Technical summary:


Wave c of 2 seems to be unfolding according to our expectations. We are currently looking for resistance at 1.5793, which ideally will protect the upside for a break below minor support at 1.5770 for a contination lower towards 1.5746, the wave c target near 1.5716 to end the wave 2 correction as well as and set the stage for a new impulsive rally in wave iii higher to 1.6205 and beyond.


Trading recommendation:


We will buy EUR at 1.5725 with a stop placed at 1.5680.


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Technical analysis of EUR/USD for Aug 22, 2014


Technical outlook and chart setups:


1. The EUR/USD pair has resumed its longer-term downtrend and has just managed to take out support at the 1.3295 levels. Fibonacci support suggests that the pair could print another low at the 1,3200 levels before retracing higher. Probabilities of a counter trend rally towards 1.3700/50 levels remain high.


2. Support is seen at 1.3200 (fibonacci), followed by 1.3100 and lower, while resistance is at 1.3450, followed by 1.3700 and higher respectively.


3. The structure indicates that EUR/USD could resume its counter trend rally any moment now.


Trading recommendations:


Buy on dips, stop below 1.3200, target is open.


Good luck!


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Elliott wave analysis of EUR/JPY for August 22, 2014

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Today's support and resistance levels:


R3: 138.76


R2: 138.45


R1: 138.01


Current spot: 137.84


S1: 137.78


S2: 137.58


S3: 137.37


Technical summary:


Well, nothing has really changed here. We are still left with two possible scenarios. One is calling for a final decline to 134.34, if resistance near 138.01 protects the upside. The other scenario is telling us that the bottom already is in place with the test of 135.73. We give more preferences to the first scenario calling for yet anothet decline towards the equally important target at 134.34. But then, we should ideally see resistance at 138.01 protecting the upside for a break below minor support at 137.78 and more importantly below 137.71 calling for renewed downside pressure. That said, as long as minor support at 137.78 protects the downside, we are alert to a firm break above 138.01 calling for a continuation higher towards 138.45 and higher.


Trading recommendation:


We will sell a break below support at 137.76 with a stop at 138.05.


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Technical analysis of EUR/JPY for Aug 22, 2014


Technical outlook and chart setups:


1. The EUR/JPY pair almost halted at the 138.00 levels as seen here, by taking out first resistance. The pair is expected to dip towards 136.50 levels before rallying further. Please, note that this rally is still a retracement of the overall downtrend.


2. Support is seen at 135.80/136.00, followed by 134.00 while resistance is seen at 139.30, followed by 140.00 and higher respectively.


3. The structure indicates that EUR/JPY has possibly resumed its counter trend rally and buying on dips is favored.


Trading recommendations:


Remain flat, look to go long at 136.50.


Good luck!


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#USDX Technical analysis for August 22, 2014

The Dollar index has broken the short-term upward sloping channel. A short-term downward pull back is expected to push price towards 81.80. The intermediate-term trend remains bullish. However, price is showing short-term reversal signs to the downside.


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Price has broken the upward sloping channel as shown in the 4 hour chart above and is testing the Ichimoku cloud support. Short-term resistance is found at 82.20 and short-term support at 82. If resistance is broken, I would expect at least a double top. If support is broken, we should expect price to fall towards 81.80.


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The daily chart remains bullish as price remains inside the upward sloping channel. As mentioned yesterday, we are at the final stages of wave 5. Bulls should not get overconfident that this rally will never end. Initial pull back signs were given yesterday and daily support is found at 81.80. We could very well be in wave (4) of 5. This scenario will be canceled if price breaks below 81.65. The trend remains up on a daily basis.


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Gold Wave analysis for August 22, 2014

Gold price has reached the important support of $1,270 as expected, after breaking below $1,280 low. The trend remains bearish. Price is making lower lows and lower highs. However we see initial signs of a potential bullish reversal from current levels.


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Short-term resistance is found at $1,290 and at $1,300. Price is below the Ichimoku cloud and inside a downward sloping channel. Support at $1,270 is very important as this is where the trendline from $1,180 and $1,240 comes through.


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The decline from $1,346 is still in three waves and does not look impulsive. This is why I believe this is a part of a corrective wave and we should soon expect an upward reversal in Gold price. The bounce from $1,271 may be short lived but it is too early to tell yet. An initial buy signal will come once we break above $1,290 and $1,300. The target remains $1,350.


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Technical analysis of GBP/CHF for Aug 22, 2014


Technical outlook and chart setups:


1. The GBP/CHF pair is trading at 1.5120 levels for now and it is expected to rally at least towards the 1.5250 levels, if not higher. The pair could form a lower top below 1.5350 and turn lower again.


2. Support is seen at 1,4950, followed by 1.4760/70 and lower, while resistance is seen at 1.5350, followed by 1.5450 respectively.


3. The structure indicates that GBP/CHF should rally in a corrective mode towards 1.5250 levels at least.


Trading recommendations:


Remain long, stop below 1.5050, target 1.5250.


Good luck!


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Technical analysis of Silver for Aug 22, 2014


Technical outlook and chart setups:


1. Silver might just have formed bottom yesterday at $19.30 levels as seen here. The metal has bounced of to intraday highs near $19.60 and is still expected to continue higher from here. Bulls should remain in control from here on.


2. Support is seen at the $19.00 levels, followed by $18.60 and lower, while resistance is seen at $20.10 (interim), followed by $20.80.$21.00, $21.70 and higher up respectively.


3. The structure indicates that Silver might have resumed the larger trend that is higher. A push through $20.10 levels would confirm.


Trading recommendations:


Remain long, stop below $19.00, target is open.


Good luck!


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Technical analysis of Gold for Aug 22, 2014


Technical outlook and chart setups:


1. Gold might have formed base at the $1,271.00 levels yesterday, as seen here. A bullish reversal candlestick signal would confirm the same here. The metal could continue forming higher highs and higher lows till prices remain above $1,260.00 and subsequently $1,240.00.


2. Support is seen at $1,260.00, followed by $1,240.00 and lower while resistance is seen at $1,324.00, followed by $1,340.00, $1,388.00 and higher respectively.


3. The structure indicates that Gold could possibly turn bullish from the current levels.


Trading recommendations:


Remain long, stop at $1,270.00, target is open.


Good luck!


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Technical Analysis of USD/CAD for August 22, 2014

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The pair has been making a head and shoulder pattern in the daily chart. The pair rejected at the neck line in yesterday's session. The pair is trading at 1.0936 in Asia's session. On the down side, it has support at 1.0915 (20DMSA), 1.08757(200DSMA), and 1.0864 (100DSMA). After the price goes through the neckline, it can spike up to 1.1020 and 1.1050 in the near term. The nearest resistance found at 1.1 above this, 1.1020 is the 61.8 fib level. Traders can buy once the price breaches above the neckline


Strong buy above 1.1.


A daily close below1.0860, the above study becomes invalid, and the pair can drift up to 1.08 levels.


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Technical Analysis of Gold for August 22, 2014

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The chain of upbeat data from the US pushed the metal to short-term key support levels and made a low at $1,272.80. In the weekly chart, the metal is trading near the 8-month support trend line. If it hits and closes below today, the yellow metal will push towards the $1,265, $1,262, $1,258 and even $1,240 levels in the near term. This Monday (August 18, 2014), we recommended selling with sl 1303.50-1305 minted good money. Yesterday, we recorded selling with sl at $1,291.50. Both gave good returns. Instead of saying, that bears fight bulls, we can say strategists fight the news (The US Fed) at the end of the day. The closing prices will give one side move in the short term.


Support is at $1,270, $1,266, and $1,260-$1,258


Resistance is at $1,285, $1,293, and 1303.50-1305


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The pair has been making lower low's and lower high's from the first trading in this week. As of now, the pair made a higher low in today's Asian session. The prices are closed and trading below the 12ema, negative for intraday. Until the price closes above 12ema in the h4 chart at $1,284, selling on an up move will mint money.


Hourly- Intraday


Fresh sell below $1,276.


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Technical Analysis of GBP/USD for August 22, 2014

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The UK sales data missed the expectations. The retail sales were up 2.6% in August vs 3.6% in July. Ahead of the data, the cable drifted towards the short-term crucial support level at the 1.6550 levels. A weekly close is below 1.6550; the bears will get super power to make the 1.6465, 1.6385, and 1.6365 levels. Until the pair closes above 1.6810, selling on an up move will mint the money in the short term.


In the near term, 1.67 will act as the crucial level for the trend determination.


Support is at 1.6550, 1.6465, and 1.6385.


Resistance is at 1.6640, 1.6675, and 1.6740.


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The pair has been making lower lows and lower highs since the first trading session this week. As of now, the pair made a lower high today as well. The prices are closed and trading below the 12ema, negative for intraday. Until the price closes above 12ema in the h4 chart at 1.66, selling on an up move will mint money.


Resistance is at 1.66, 1.6630, and 1.6660.


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Technical Analysis of EUR/USD for August 22, 2014

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Today, all eyes around the globe are riveted to the Yellen's speech. The Euro drifted to an 11 month's low against the US dollar. The pair held support at the 61.8 fib level (1.2756-1.399), traders are waiting for the today's event. On the down side, it has support at 1.3105 (September 2013 low) and 1.30 (80.0 fib level). On the higher side, it has resistance at 1.3364-1.3370. A daily close is above the 1.3370; the pair will favor a relief rally. At the current market juncture, a break below 1.3230 happened again. So, bears will attack again to make a new low at 1.32 and 1.3160 immediately.


Resistance 1.3290 1.3364 1.3370


Support 1.3240 1.32 1.3160


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In today's session, the pair was unable to breach yesterday's high. In the h4 chart, the pair is unable to sustain above 12ema. It is better to buy until the h4 candle closes above the 12ema. If it manages to close above 12ema, only then it can fly up to 1.33 and 1.3333 initially.


Risky traders sell with sl 1.33.


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Technical analysis of EUR/USD for August 22, 2014

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There is no economic news to be released during the European and the US session but today Fed Chair Yellen will speak. So amid the reports, EUR/USD would move with low to medium volatility during this day.


Today’s technical levels:

Breakout BUY Level: 1.3343.

Strong Resistance:1.3335.

Original Resistance: 1.3322.

Inner Sell Area: 1.3309.

Target Inner Area: 1.3278.

Inner Buy Area: 1.3247.

Original Support: 1.3234.

Strong Support: 1.3221.

Breakout SELL Level: 1.3213.


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 August 22, 2014

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In Asia, Japan will not release any economic data as well as the US, but today Fed Chair Yellen will speak. So there is a big probability USD/JPY will move with low volatility during the Asian session, but with low to medium volatility during the US session.


Today’s technical levels:


Resistance. 3: 104.47.

Resistance. 2: 104.27.

Resistance. 1: 104.06.

Support. 1: 103.81.

Support. 2: 103.61.

Support. 3: 103.40.

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 August 22, 2014

Daily chart: The USDX is trying to form a bullish pattern above the level of 82.00, so the USDX could soon climb to the resistance level of 82.51. The USDX could begin to enter a phase of consolidation, due to which this instrument is overbought. The MACD indicator stays in positive territory.


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H4 chart: The USDX has found resistance in bullish trend line which is near to the 82.40 level, so the USDX is forming a bullish pattern. However, the USDX could perform a pullback at current levels and falling to the support level of 81.72. The MACD indicator is in overbought zone.


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H1 chart: The USDX has found resistance at the level of 81.32, where this instrument has formed two Fractals, so the USDX is trying to find support at the level of 82.02. If the USDX manages to make a breakout at that level, it would be expected to falls to the support level of 81.73. The MACD indicator remains in negative territory.


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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 82.32, take profit is at 82.50, and stop loss is at 82.15.


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Daily analysis of GBP/USD for August 22, 2014

Daily chart: GBP/USD continues falling below the 200-day moving average, the pair is falling in direction to the support level of 1.6540. If GBP/USD manages to make a breakout at that level, the next target would be the support level of 1.6447, which would mean strong bearish consolidation. The MACD indicator stays in negative territory.


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H4 chart: This pair has formed a fractal close to the resistance level of 1.6583, so now GBP/USD is trying to form a bearish pattern. However, if this pair manages to make a breakout at the level of 1.6583, it would be expected to rise to the level of 1.6644. GBP/USD removed far from the 200-day moving average and the MACD indicator is entering neutral territory.


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H1 chart: GBP/USD made a rebound on the support level of 1.6578, trying to climb up to the resistance level of 1.6629. If GBP/USD manages to make a breakout at this level, it would be expected to rise to the 200-day moving average. The MACD indicator is entering neutral territory.


1408661872_GBPUSDH1.png


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 1.6578, take profit is at 1.6544, and stop loss is at 1.6612.


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Technical analysis of USD/JPY for August 21, 2014

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Overview:


USD/JPY is expected to consolidate with a bullish bias after hitting a three-and-a-half month high at 103.85 on Wednesday. USD/JPY is underpinned by the positive dollar sentiment (ICE spot dollar index last 82.23 versus 81.87 early Wednesday) after more-hawkish-than-expected minutes of the Federal Open Market Committee's July meeting which showed that officials debated whether to raise interest rates sooner than expected. USD/JPY is also supported by the demand from Japan importers and higher U.S. Treasury yields (10-year at 2.428% versus 2.407% late Tuesday); yen-funded carry trades amid positive investor risk appetite (VIX fear gauge eased 3.52% to 11.78, S&P 500 closed up 0.25% at 1,986.51 overnight) as investors are certain the U.S. economy is healthy enough to withstand sooner-than-expected rate increases (market participants would be looking for further clues on Fed's monetary policy from Chairwoman Yellen's speech at the Jackson Hole forum for global central bankers on Friday). But USD/JPY gains are tempered by Japanese export sales. The daily chart is positive-biased as MACD and stochastics are bullish, five and 15-day moving averages are advancing.


Technical comment:
Tjhe daily chart is positive-biased as MACD and stochastics are bullish, five and 15-day moving averages are 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 104.10 and the second target at 104.50. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 103. A break of this target would push the pair further downwards and one may expect the second target at 102.70. The pivot point is at 103.40.


Resistance levels:

104.10

104.50

104.80


Support levels:

103

102.70

102.50


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Technical analysis of USD/CHF for August 21, 2014

USDCHFM30.png


Overview:


USD/CHF is expected to consolidate with a bullish bias after hitting a seven-month high at 0.9138 on Wednesday. It is underpinned by the positive dollar sentiment and dovish Swiss National Bank's monetary policy. But USD/CHF gains are tempered by the franc demand on buoyant CHF/JPY cross. The daily chart is positive-biased as stochastics is in a bullish mode, MACD is turning bullish, five and 15-day moving averages are 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 0.9130 and the second target at 0.9145. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.9070. A break of this target would push the pair further downwards and one may expect the second target at 0.9050. The pivot point is at 0.91.


Resistance levels:

0.9130

0.9145

0.9170



Support levels:


0.9070

0.9050

0.9030


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Technical analysis of NZD/USD for August 21, 2014

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Overview:


NZD/USD is expected to consolidate with a bearish bias after hitting a five-month low at 0.8362 on Wednesday. NZD/USD is undermined by the positive dollar sentiment, soft dairy prices and reduced expectations of further rate hikes from the Reserve Bank of New Zealand this year as well as the official stance against strong Kiwi exchange rate and Kiwi sales on buoyant AUD/NZD cross. But NZD/USD losses are tempered by the Kiwi demand on buoyant NZD/JPY cross amid the positive risk sentiment and NZD-USD interest differential. The daily chart is negative-biased as stochastics is in a bearish mode, MACD is turning bearish, five and 15-day moving averages are declining.


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 0.8345. A break of this target will move the pair further downwards to 0.83. The pivot point stands at 0.8420. 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 0.8440 and the second target at 0.8465.


Resistance levels:

0.8440

0.8465

0.8490


Support levels:

0.8345

0.83

0.8275


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Technical analysis of GBP/JPY for August 21, 2014

GBPJPYM30.png


Overview:


GBP/JPY is expected to consolidate with bullish a bias. It is underpinned by the positive risk sentiment and demand from Japanese importers. But GBP/JPY gains are tempered by Japanese export sales and the weak EUR/USD undertone. The daily chart is positive-biased as MACD and stochastics are bullish, five day moving average is rising above 15-day MA.


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 172.45 and the second target at 172.70. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 171.40. A break of this target would push the pair further downwards and one may expect the second target at 171.15. The pivot point is at 171.65.


Resistance levels:

172.45

172.70

173.30



Support levels:


171.40

171.15

170.75


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GBP/USD intraday technical levels and trading recommendations for August 21, 2014

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One month ago, the bears initiated a bearish trend off price levels around 1.7150-1.7190. Since then, the GBP/USD pair has been declining within the depicted bearish channel.


The price levels of 1.7050 - 1.7000 failed to provide enough support for the pair. Hence, the bears had a potential bearish target around 1.6970 and then 1.6920.


DAILY fixation below 1.6980-1.7000 applied intensive bearish pressure on the price zone of 1.6920-1.6900 leading to its breakdown as well.


Bullish recovery was evident around 1.6800 - 1.6820 manifested during the previous visit (Monday's daily candlestick)


However, this price zone failed to provide support during the 2nd visit that took place on Friday exposing the price level of 1.6765 for retesting.


Price levels around 1.6800-1.6820 offered a valid SELL entry. SL should be lowered to 1.6680 to secure our profits.


Bearish targets should have been reached initially around 1.6670, 1.6625 and 1.6580 where the lower limit of the ongoing bearish 4H channel is roughly located.


The next bearish destination is located around 1.6580-1.6550 in case the bears keep developing such bearish momentum. Price action action should be watched for a possible BUY entry.


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USD/CAD intraday technical levels and trading recommendations for August 21, 2014

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Since the USD/CAD pair failed to show enough bullish momentum above 1.1200 during the last visit on March 20, the pair has been downtrending within the depicted bearish channel, which managed to push towards the price zone between 1.0910-1.0850 (50-61.8% Fibonacci levels on the daily chart) where a prominent congestion zone was established.


Bullish rejection was expressed at retesting the lower limit of the bearish channel around 1.0630 (It's the origin of the previous bullish impulse initiated in December 2013 as well). This enabled the bulls to achieve a bullish breakout off the depicted channel.


The USD/CAD pair has a strong resistance zone located between 1.0950 and 1.1020 (Fibonacci Levels 50% and 61.8% of the most recent bearish swing).


As we mentioned before, bearish rejection should be anticipated after such a long bullish rally that originated off 1.0650 and 1.0710.


Previously, around the price level of 1.0950, a Shooting-Star daily candlestick was expressed. This enhances the short-term bearish direction. Hence, a valid SELL position is anticipated at retesting which is taking place today. Initial bearish target is located around 1.0825.


On the other hand, persistence of daily fixation above 1.0950 (50% Fibonacci level ) enables the bulls to shoot towards 1.1020 and 1.1050 initially.


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Intraday technical levels and trading recommendations on EUR/USD for August 21, 2014

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The price zone of 1.3800-1.3880 (dotted on the chart) provided considerable SUPPLY for the EUR/USD pair. This price zone managed to pause the bullish momentum leading to obvious breakdown of the depicted bullish trend line.


Bearish pressure which originated off 1.3650 has applied enough pressure at the price level of 1.3560 (corresponding to the previous prominent bottom). Since then, the pair has been down-trending within the depicted bearish channel.


Again, the EUR/USD pair shot towards 1.3330 (prominent bottom established on November 8, 2013) once more after the initial testing that followed the release of the initial readings of the Italian GDP last Thursday.


Bullish engulfing daily candlestick was expressed on Friday indicating upcoming bullish correction. However, bearish breakout of the consolidation range took place on Tuesday.


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Bearish breakdown of the price level of 1.3430 allowed the pair to establish a consolidation zone down to 1.3330. Since then, the EUR/USD pair has been trapped inside this price range.


The short-term bearish trend remains intact as long as the bears keep defending the price zone of 1.3420-1.3450.


In case the bears keep applying significant bearish pressure, the EUR/USD pair has Intraday DEMAND zone located between 1.3235 - 1.3215 respectively (Fibonacci Expansion Levels).


On the other hand, bullish fixation above 1.3440 is essential to acquire a momentum strong enough to initiate a bullish corrective move towards 1.3530.


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Intraday technical levels and trading recommendations on GBP/USD for August 21, 2014

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Breakdown of the DEMAND level around 1.6975 allowed a quick decline of the GBP/USD pair towards the price zone of 1.6800-1.6820.


When retesting the price zone of 1.6800-1.6820, considerable bullish recovery took place. This corrective movement was stopped below 1.6880 when the bears applied considerable bearish pressure.


Last week, the GBP/USD pair declined again towards 1.6770. This came after the fundamental data from the UK.


In case the bears keep applying bearish pressure, we expect the pair to keep fixating below the price level of 1.6760 (the previously broken top established in February 2014 ).


This exposed price levels around 1.6620 to be visited shortly after. The next DEMAND level to meet the pair is located around 1.6547 where a previous bottom was established in April.


On the other hand, failure of the bears to fixate below 1.6600 (the lower limit of the ongoing bearish channel) will probably allow the bulls to initiate a bullish corrective movement towards 1.6780 and 1.6820.


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The price zone of 1.6830 - 1.6800 remains a significant zone as it corresponds to the previous consolidation zone established in June.


However, 4H fixation below this zone exposed the price levels around 1.6600-1.6560 where the lower limit of the current bearish channel is located.


Note that the GBP/USD pair has been down-trending for almost 20 days without significant correction. However, earlier today, bullish recovery off price level of 1.6560 was manifested on the chart.


Thus, any bullish fixation above 1.6680-1.6700 hinders the current steep trend allowing a deeper bullish correction to occur.


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EUR/NZD analysis for August 21, 2014

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Overview:


Since our last analysis, EUR/NZD has been trading sideways. We are still waiting for larger price action and larger activity. Price has been successfully rejected again from our Fibonacci retracement 61.8% at the price of 1.5900, which is a sign that buying looks very risky. According to the 4H time frame, I have placed Fibonacci expansion levels to find potential resistance and I got Fibonacci expansion 161.8% at the price of 1.5870 (successfully tested). Watch for potential selling opportunities after retracement. So, if the price breaks the level of 1.5710 in a higher volume, we may see potential testing the level of 1.5595.


Resistance levels:


R1: 1.5874


R2: 1.5896


R3: 1.5932


Support levels:


S1: 1.5801


S2: 1.5779


S3: 1.5742


Trading recommendations: Be careful when buying the EUR/NZD pair and watch for selling opportunities after retracement.


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Elliott wave analysis of EUR/NZD for August 21, 2014

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Today's support and resistance levels:


R3: 1.5889


R2: 1.5867


R1: 1.5850


Current spot: 1.5826


S1: 1.5811


S2: 1.5793


S3: 1.5777


Technical summary:


We are still looking for signs, that wave b of 2 is over and wave c lower towards 1.5716 has taken over to end wave 2. In the short term, we need a break below minor support at 1.5793 to indicate, that wave b is over and wave c lower is developing for a decline towards 1.5716. Only an unexpected break above 1.5898 will indicate, that wave 2 ended early and wave 3 already under way higher towards 1.6205.


Trading receommendation:


We are looking for EUR-buying opportunities at 1.5715 or upon a break above 1.5898.


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Gold analysis for August 21, 2014

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Overview:


Since our last analysis, gold has been trading downwards. Just like we expected, the price tested the level of 1,273.58 in a very high volume. We got successful rejection from our Fibonacci retracement 61.8%, which caused price to start downward movement. Our Fibonacci expansion 61.8% at the price of 1,284.00 is broken. So, we may see potential testing the level of 1,260.00 (Fibonacci expansion 100%). We can observe strong selling pressure according to the 4H timeframe, which is a sign that buying looks very risky. Watch for potential selling opportunities afer retracement.


Daily pivot Fibonacci points:


Resistance levels:


R1: 1,298.45


R2: 1,300.95


R3: 1,305.00


Support levels:


S1: 1,290.35


S2: 1,287.85


S3: 1,283.80


Trading recommendations: Buying Gold looks risky since price has broke support level.


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