Daily analysis of Silver for October 24, 2014

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Overview


The 4H chart demonstrates that silver is going to take an upward move after its rebound from the Support level at 17.00 and currently is approaching the Resistance level of 17.30 trying to break it through to continue its bullish move. More buy signals would be provided in case of closing the 4H above this Resistance level with the first target few pips below the Resistance level of 17.50. Then we should wait for closing above this Resistance level too to get more bullish signals. Therefore, presently, we recommend waiting for breaking the Resistance level of 17.30 before making the decision. But as long as the price is trading below the Resistance level this cancels the first scenario.


Resistance and support levels: R3 (17.75), R2 (17.50), R1 (17.30), S1 (17.00), S2 (16.75), S3(16.50)


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Intraday technical levels and trading recommendations on EUR/USD for October 24, 2014

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Last week, the EUR/USD pair looked oversold before the bullish momentum could get it back inside the channel.


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


The upper limit of the movement channel (1.2880-1.2900) was being targeted this week. 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.


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


On Wednesday, the market expressed quite strong bearish momentum that pushed below the lower limit of the channel.


Bears have successfully pushed towards price zone of 1.2600-1.2620 ( projection target of the double-top pattern ). As anticipated, around this price zone, bullish recovery was expressed.


Recommendation:


A valid SELL entry may be anticipated around 1.2730 at retesting which should be happening soon. Stop Loss should be set at 1.2780.


Price level of 1.2730 corresponds to the backside of the broken channel as well as the upper limit of the newly established channel depicted on the chart.


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Intraday technical levels and trading recommendations on GBP/USD for October 24, 2014

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A Shooting Star daily candlestick occurred previously around 61.8% - 50% Fibonacci levels. A valid SELL position was suggested then and it got triggered few days later.


Recently, bullish rejection was expressed when the market pushed below 1.6100 and 1.6060 on September 9. However, another bearish leg was expressed below 1.6060 during the current month.


On the other hand, the price zone of 1.6100-1.6140 constituted a prominent SUPPLY zone where considerable bearish pressure was applied on the pair last week on Thursday.


On Wednesday, bullish recovery was expressed off 1.5880. Bullish engulfing daily candlestick is depicted on the chart. Bullish targets were located around the price zone of 1.6130-1.6180 ( already reached ).


Bullish breakout off the depicted bearish channel is apparent on the daily chart. A bullish corrective move towards 1.6300 may occur as long as the bulls keep moving above the upper limit of the channel.


Breakout above 1.6140 is essential to confirm this suggested position. Otherwise, the pair remains under bearish pressure to revisit 1.5880 at least.


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4H chart reveals long period of downside movement roughly maintained within the limits of the depicted channel.


A SELL entry was suggested around the price level of 1.6140 last week. The resulting bearish swing managed to push below 1.5950 (weekly DEMAND level).


This week, bulls managed to push beyond the upper limit of the channel as well as previous broken bottom (probably now acting as resistance).


The GBP/USD pair remains trapped between the backside of the channel (1.6020) and price level of 1.6140.


Breakout in either direction is necessary to take a position in the same direction of breakout.


Until then, risky traders can take a BUY entry around 1.6010-1.6020. Stop Loss should be located below 1.5980.


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EUR/NZD analysis for October 24, 2014

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Overview:


In our last analysis, EUR/NZD has been trading upwards. The price tested the level of 1.6198 in an ultra high volume (buying climax). Price was rejected from the level of 1.5910 (swing high like support), which pushed the price to start upward movement. According to the 4H time frame, we can observe strong demand in the background, which is a sign that we may see bullish continuation phase on this pair and EUR/NZD looks risky for selling. Pirce may go to visit the level of 1.6240 (Fibonacci retracement 61.8%). Be careful when selling EUR/NZD since we may see futher upward movement. Anyway, I have placed Fibonacci retracement to find potential support levels and I got Fibonacci retracement 38.2% at the price of 1.6090 and Fibonacci retracement 61.8% at the price of 1.6015. Watch for potential buying opportunities after retracement.


Daily Fibonacci pivot levels:


Resistance levels:


R1: 1.6202


R2: 1.6263


R3: 1.6361


Support levels:


S1: 1.6007


S2: 1.5946


S3: 1.5849


Trading recommendations: Be careful when selling the EUR/NZD pair since our resistance level got broken.


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Technical analysis of GBP/USD for October 24, 2014

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Overview :



  • The GBP/USD pair is still moving between 1.6025 and 1.6122. So, we expect a large range about 97 pips in the future. The breakout seen at the ratio of 50% Fibonacci retracement level (the triple top in H1 chart) for the key level is set at the level of 1.6199 because it represents strong resistance and it coincides with the 50% Fibonacci retracement level and another strong resistance is set at the ratio of 38.2% Fibonacci retracement level around the spot of 1.6122. As it is known, history will probably repeat itself at this level again. Therefore, it will be a good sign to sell below 1.6122 with the first target of 1.6020. It will call for a downtrend in order to continue its bearish movement towards 1.5983 in coming hours. On the other hand, the stop loss should never exceed your maximum exposure amounts, consequently the stop loss should be placed above the triple top at the price of 1.6200. However, check out the market volatility before investing, because the sight price may have already been reached and scenarios might have become invalidated.


Review:



  • It should be noted that if there is no significant news to influence, the market price will be moving from pivot point to resistance 1 or support 1. But if there is, the market price may go straight through resistance 1 or support 1 and reaches resistance 2 or support 2 and even resistance 3 or support 3.

  • The support of GBP/USD pair is projected at the level of 1.5980 today.

  • The value of 38.2% Fibonacci retracement levels is: 1.6122.

  • Volatility:181,72 As a rule, the market is highly volatile if the last day had a huge volatility.


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Technical analysis of EUR/USD for October 24, 2014

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Overview :



  • The price of EUR/USD pair is going to move between 1.2630 and 1.2770. The level of 1.2605 is going to form the double bottom in H1 chart. Also, it should be noted that the market was very stable and trend was also quite clear (upward) this week. So, we expect a bullish market today from the area of 1.2603/1.2630. Therefore, buy above the level of 1.2603/1.2630 (these levels are representing the weekly supports) with the first target of 1.2682, it might resume to 1.2750 in coming hours in order to test the weekly resistance one. However, the stop loss should be always be taken into account. Therefore, it will be very useful to set your stop loss at the price of 1.2665 (blow the supports).


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Observations:



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

  • Stop loss should never exceed your maximum exposure amounts. So, your stop loss should be around 45 pips for each position.

  • Major support will set at 1.2575.

  • Major resistance has already placed at 1.2770.

  • We expect a new range about 78 pips this today.


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Technical analysis of USD/CAD for October 24, 2014

General overview for 24/10/2014 10:50 CET


Not much has changed since yesterday as the market is currently in sub-cycle corrective mode and only a clear, sustained breakout below the level of 1.1183 would invalidate the bullish outlook for this pair. The key level resistance still has not been violated and the market is trading inside the golden corrective channel: very overlapping and choppy price action might indicate even more complex corrective cycle in purple wave 2 , but currently there is not much proof of that.


Support/Resistance:


1.1381 - Swing High


1.1292 - Intraday Resistance|Key Level|


1.1281 - Weekly Pivot


1.1262 - Intraday Resistance


1.1183 - Intraday Support


1.1178 - WS1


Trading recommendations:


Please refrain from trading until either the level of 1.1292 or 1.1183 is broken. Bias is still bullish anyway.


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Technical analysis of EUR/JPY for October 24, 2014

General overview for 24/10/2014 10:40 CET


After an impulsive breakout above the golden channel yesterday the pair is consolidating gains and more upside is being anticipated as it looks like wave -iii- blue might be developing here. The key level to the upside is still the intraday resistance at the level of 137.00 and as long as the intraday supports at the levels of 136.50 and 136.26 will provide the opportunity to buy, more upside is being anticipated here. Moreover, a break above the level of 137.00 is bullish and the level of 137.87 will be tested sooner or later anyway.


Support/Resistance:


137.86 - WR1


137.77 - 137.94 - Supply Zone


136.99 - Intraday Resistance


136.50 - Intraday Support


136.25 - Intraday Support|Key Level|


135.99 - Weekly Pivot


135.27 - WS1


134.11 - Swing Low


Trading recommendations:


Day traders should consider opening buy stop orders from the level of 137.02 with SL below the level of 136.49 and TP at the level of 137.86. Swing traders should put SL below the level of 135.27 and wait for further impulsive wave progression to the upside.


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Elliott wave analysis of EUR/NZD for October 24 - 2014

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Today's support and resistance levels:


R3: 1.6243


R2: 1.6216


R1: 1.6168


Current spot: 1.6163


S1: 1.6118


S2: 1.6092


S3: 1.6057


Technical summary:


We have seen a nice impulsive rally to 1.6216, but we still have not seen the break above important resistance at 1.6243, which keeps the expanding diagonal alive. That said, we do favor the scenario, where red wave (ii) ended at 1.5903 and red wave (iii) higher to 1.6800 is developing. Short term, we will be looking for a minor correction towards 1.6057 before the next impulsive rally higher to 1.6446 on the way towards 1.6800. Only a break below 1.5903 will shift the preferred count to the expanding diagonal.


Trading recommendation:


Our profit target at 1.6160 was hit for a nice profit. We will re-buy EUR at 1.6065 or upon a break above 1.6169 with stop place at 1.6000 is both cases.


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Elliott wave analysis of EUR/JPY for October 24 - 2014

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Today's support and resistance levels:


R3: 137.82


R2: 137.50


R1: 137.01


Current spot: 136.78


S1: 136.70


S2: 136.52


S3: 136.29


Technical summary:


It is still not clear, whether wave B ended at 137.01 or wave B still needs a little more upside towards the 137.82 - 137.94 area to finish wave B. We slightly prefer the scenario, where wave B ended at 137.01, but to confirm that, we will need a break below minor support at 136.52 and more importantly a break below support at 136.04, that would call for a new decline to 134.14 on the way lower to 133.40 in wave iii. Only a direct break above 137.01 will tell us, that wave c of B still needs to rally to 137.82 before wave B is over and wave C will be ready to take over.


Trading recommendation:


We are short in EUR from 135.76, with stop placed at 137.10. If the stop is hit, we will re-sell EUR at 137.70.


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#USDX Wave analysis for October 24, 2014

The Dollar index remains close to its short-term resistance of 86.20 and as long as it does not break above it, we should be very cautious as the downward correction could unfold into a more complex corrective pattern as labeled in todays post. This alternative scenario could bring the Dollar index towards 84 in order to complete the correction from the highs.


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Black line= former resistance


Althought the black trend line was broken upwards and price moved above the Ichimoku cloud, I do not see the strength I would expect in order to be more sure that we have seen the end of the correction from 86.70. The Dollar index could be at the final stages of a wave X of a double zig zag formation. If the correction is not over, I expect to see a final push lower towards 84 to complete the correction.


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In the daily chart, the Dollar index is breaking out of the bullish flag that gives me target of 90. Price is above the Ichimoku cloud and all ichimoku cloud indicators are bullish with a positive slope. Breaking above 86.20 resistance will confirm that an important low was placed at 84.40 and a new upward move has started. I'm longer-term bullish.


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Gold Technical analysis for October 24, 2014

Gold price remains in a longer-term down trend and today we take another look in the weekly chart that confirms our bearish view of one more final move lower towards $1,050. The short-term trend has reversed as price has broken the support level at $1,240 and is testing $1,230.


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Gold price reversed yesterday and has pushed inside the Ichimoku cloud rendering the short-term neutral from bullish in ichimoku cloud terms. A move below the cloud will change trend to bearish. The sequence of higher highs and higher lows has been stopped with the decline towards $1,225 yesterday. Gold price has short-term support at $1,220 and resistance at $1,235.


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Blue line = support


Black line= trend line resistance


In the weekly chart, we see Gold price making lower highs but the lows are on a horizontal trend line at $1,180. This is a bearish formation and if we take into account the ichimoku cloud indicators, then we should expect to see a break of the lows at $1,180 and a move towards $1,050. The Ichimoku cloud in the weekly chart has rejected Gold price and is pointing lower and that more weakness should be expected.


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Daily analysis of major pairs for October 24, 2014

EUR/USD: The EUR/USD pair is still caught in a bearish trend: the support line at 1.2600 may easily be tested. Should that support line get breached to the downside, the next target may be the support line at 1.2550.


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USD/CHF: Bulls’ power in this market is now obvious. The Williams’ % range period 20 is now in the overbought territory, which means that the market is expected to go further upwards because of the strength in it, even if there would temporary pullbacks. The EMA 11 is above the EMA 56 and the price is above both of them. The resistance level at 0.9550 is under siege – another resistance level at 0.9600 may be reached if the resistance level at 0.9550 is breached to the upside.


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GBP/USD: The Cable is also weak, just like its EUR/USD counterpart. The bearish journey in the market has resulted in a Bearish Confirmation Pattern in the chart. The bearish outlook would become particularly stronger after the accumulation territory at 1.5950 is tested.


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USD/JPY: The strength in the USD has made the USD/JPY pair go seriously upwards. This has made long trades logical, and the price could test the supply level at 109.00 today or next week. In addition, some fundamental figures are expected today and they may have some impact on the markets.


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EUR/JPY: The sudden weakness in the JPY is what is aiding the northward effort on this cross. When the price crosses the supply level at 137.50 to the upside, things would become bullish completely.


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Daily analysis of USDX for October 24, 2014

In the daily chart, the USDX continues to strengthen the bullish trend on the way to the resistance level of 86.20. Currently, the USDX remains strong in the bullish trend, due to the fact that the support level of 84.70 has managed to stop the fall in this instrument , so the USDX could try to make a breakout at the level of 86.20.


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Dailychart's resistance levels: 86.20 / 87.35


Dailychart's support levels: 85.18 / 84.29


On the H1 chart, the USDX remains within the range between 85.95 and 85.73 levels. However, the USDX is concentrating efforts to make a definitive breakout on the resistance level of 85.95. However, the USDX could perform a bullish retracement to the level of 85.49.


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H1 chart's resistance levels: 85.95 / 86.17


H1 chart's support levels: 85.73 / 85.49


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 85.95, take profit is at 86.17, and stop loss is at 85.73.


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Daily analysis of GBP/USD for October 24, 2014

At the H4 chart, GBP/USD has made a rebound on the support level of 1.6004, where currently, this pair is forming a bearish pattern. This is an indication that the GBP/USD could continue the bearish trend for several more days, because that support level is very weak. However, it is likely that during today's session, the pair moves in a range. The MACD indicator remains in negative territory.


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H4chart's resistance levels: 1.6051 / 1.6226


H4chart's support levels: 1.6040 / 1.5951


The GBP/USD found strong support at the 1.6000 level, although the pair remains below the 200 SMA on the H1 chart. However, GBP/USD may perform a bullish retracement to the resistance level of 1.6075. The MACD indicator remains in positive territory.


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H1 chart's resistance levels: 1.6075 / 1.6117


H1 chart's support levels: 1.6031 / 1.5980


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 1.6031, take profit is at 1.5980, and stop loss is at 1.6083.


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Technical analysis of EUR/USD for October 24, 2014

When the European market opens, some economic news will be released such as GfK German Consumer Climate, Italian Retail Sales m/m, EU Economic Summit, Belgian NBB Business Climate. The US will release the economic data too such as the New Home Sales, so amid the reports, EUR/USD will move with low to medium volatility during this day.

TODAY TECHNICAL LEVELS:

Breakout BUY Level: 1.2711.

Strong Resistance:1.2703.

Original Resistance: 1.2691.

Inner Sell Area: 1.2679.

Target Inner Area: 1.2649.

Inner Buy Area: 1.2619.

Original Support: 1.2607.

Strong Support: 1.2595.

Breakout SELL Level: 1.2587.

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 24, 2014

In Asia, Japan will not release any economic events, but the US will release some economic data such as New Home Sales. So there is a big probability the USD/JPY will move with low volatility during the day.

TODAY TECHNICAL LEVELS:

Resistance. 3: 108.50.

Resistance. 2: 108.29.

Resistance. 1: 108.80.

Support. 1: 107.81.

Support. 2: 107.60.

Support. 3: 107.39.

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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Forecast on USD/CAD for October 24, 2014

The pair made a multiple top around 1.2927-1.3000. In yesterday's session the pair took the support at 20Dsma and erased its losses partially. Today, as well the pair opened on a bearish note. Now, as of today the pair was unable to trade above the previous open price. On the downside, it has support at 1.1200 and 1.1184 levels. The trading pattern is framed between 1.1184-1.1298 levels. We recommend fresh buying only above 1.1300 for targets at 1.1385 levels on a positional basis. In case, if the pair closes below 20Dsma on a daily closing basis, then only the bears get a chance to drag the pair towards 1.1160 and 1.1085 levels. Traders can patiently wait for a direction or risky traders can use sl 1.1257 and start selling at the market price. In the h4 and h1 chart the prices are trading below the hourly moving averages. Safe traders can wait one more day for a clear direction either to 1.1385 or 1.1085 levels.


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Technical analysis on Gold for October 24, 2014

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The greenback is supported by the stronger US weekly jobless claims numbers resulted in sell-offs of the metal. In yesterday's session the metal was rejected exactly at 50Sma and held support at 20Dsma. The trading pattern is framed between $1,243.50 (50Dsma) and $1,225.00 (20Dsma). In my previous article, I gave an alert, the metal prices was making a broadening top at $1,249.50. Within one day we can see the result, the asset fell approximately $20. In yesterday's article we recommended selling below $1,236.00, and for risky traders, selling below $1,239.00, a low made at $1,226.00 levels. Currently the metal is trading at $1,230.50, traders can book profit here. In case, the metal closes below $1,225.00, we can see the extension of the fall towards $1,217, below this panic selling will be triggered. We can expect strong upswing only above $1,250 levels. On the higher side, it has resistance at $1,245, 50Dsma, and $1,249.50 levels. The Stochastic in the daily chart is indicating a sell signal.


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For an hourly view, the prices have been trading below the 12ema and 34hrsma hourly key moving averages. The metal has support between $1,228 and $1,226 levels. We recommend fresh selling below $1,226 for targets at $1,222.00 and $1,217.50 levels. The panic selling will be triggered below $1,217 for targets at $1,210 and $1,205 levels. Today the metal is facing resistance at 12DEMA. On the other hand, we see some buying above $1,234.50 levels.


Trade-


Selling below $1,226.00


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Intraday trading recommendations on EUR/JPY for October 24, 2014

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The pair gave a stellar performance in yesterday's session. It erased its 3-day losses in a single session. But the pair made a top at 137.00, the parallel resistance. Today, as of now, the pair is unable to breach the double top at 137.00. The trading pattern is framed between 137.00 and 135.00 levels. The bulls hardly tried to close above 20Dsma, but closed near that. We recommend fresh buying only above 137.00 for an immediate target at 137.50 to 137.60 levels. In case, if the pair closes above 137.93, then only the pair looks for promising buy, until that selling on every rise will be the best strategy. The pair successfully came out of the descending trend line, that is a positive view. Currently the pair is producing some mixed signals. On a daily closing basis, in case if the pair closes above 137.93, then it can go to 139.35 levels. On the other side, in case if the pair closes below 135.00 levels, we can expect 132.90 levels.


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For an hourly view, we can expect another strong rise only above 137.00, safe traders can start buying above 137.06 for targets at 137.50 and 137.60 levels. The prices are trading above 12ema and 34hrsma. The cross has support at 136.50, below this, 136.30 and 136.15 will act as intraday support levels. Risky traders can use sl 137.00 and sell at the current market price. The risk reward ratio is very nice at this price. Traders can wait for downside targets at 136.50, 136.30 and 136.15 levels. In case, if the sl is taken off, reverse the trade: immediate buying above 137.06 for targets at 137.50 and 137.60. Those who trade on both sides (if sl taken-off) at the end of the day you will be in profit.


Trade-


Selling sl 137.00, cmp 136.92


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Technical analysis on EUR/USD for October 24, 2014

The greenback is supported by the strong US weekly jobless claims numbers. On Wednesday's session the pair was falling below the ascending symmetric triangle, closed below that and 20dsma as well. In yesterday's session, the pair was rejected at the 20Dsma level. The initial resistance level was at 1.2689 levels. Until the pair closes above 1.2690, sell on every rise. In the h4 chart, the prices are facing a strong resistance level at 12DEMA. On the downside, the pair has support at 1.2625, below this, 1.2606, 1.2584 and 1.2578 are open targets. The selling pressure will increase below 1.2578 (the 80.0 fib level) towards the previous lows at 1.2500 which are strong support and key trend decider levels. On the other side, 1.2676, above 1.2686, 1.2710 and 1.2740 are strong resistance levels. We recommend fresh selling below 1.2625 or wait for an upswing to start selling at 1.2740 levels.


Trade-


Selling below 1.2625


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