Intraday technical levels and trading recommendations on USD/CAD for December 9, 2014

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Overview:


Three months ago, the price levels around 1.0620 initiated the current strong uptrend on July 2.


Recently, bulls were pushing towards the upper limit of the movement channel (1.1370) in mid-October. Immediate bearish rejection was expressed resulting in a bearish correction towards 1.1200.


4H fixation below 1.1230 - 1.1210 (50% Fibonacci level) temporarily allowed bears to push towards 1.1100 (the lower limit of the bullish channel), where extensive bullish support was offered.


Recently, bulls have pushed further above the price level of 1.1400. However, the upper limit of the movement channel was located around 1.1470 where the bearish rejection was applied.


Recently, despite the significant bullish SUPPORT being offered around price zone of 1.1275-1.1230, the USD/CAD pair spiked down to the price level of 1.1190 where the current bullish swing was initiated.


The USD/CAD bulls are currently challenging the latest achieved swing high around 1.1440-1.1465. Temporary bearish rejection has been expressed today.


Bullish breakout above 1.1440 is mandatory for push towards 1.1550 where the upper limit of the ongoing bullish channel is located.


Trading recommendations:


Risky traders can LONG the USD/CAD pair after the market expresses 4H closure above price level of 1.1450 (it is a high risk position).


Conservative traders still can SHORT the pair around the current prices with Stop Loss as daily closure above 1.1470. Targets would be located around 1.1310 and 1.1230.


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Intraday technical levels and trading recommendations on GBP/USD for December 09, 2014

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Overview:


The GBP/USD pair has been moving downwards respecting the depicted bearish channel since mid-September when the ongoing channel was initiated. Many bearish impulses were previously initiated around 1.6450, 1.6170, and 1.5940 where the upper limit of the channel came to meet the pair.


The price zone of 1.5890-1.5870 constituted a transient daily support that paused the bearish movement for a few days. However, bears quickly managed to push lower.


Bullish fixation above 1.5890-1.5900 was essential to maintain the bullish scenario. However, bears have failed to do so. Instead, the market pushed towards support level located around 1.5600 where the lower limit of the ongoing channel was previously located.


The GBP/USD pair looked quite oversold. Bullish correction was anticipated as the pair has tested a prominent WEEKLY support (price level of 1.5600) corresponding to multiple previous tops established back in May and June 2013.


On the other hand, a break below the recent bottom around 1.5580 invalidates this bullish scenario and renders the current consolidation range as a bearish flag pattern with projected target at 1.5410.


Trading recommendations:


As anticipated, a previous valid BUY opportunity was suggested at retesting of the same price level of 1.5600. This position was running in profit until bearish pull-back took place towards entry levels again.


TP levels should be set at 1.5760, 1.5820 and 1.5880.


On the other hand, a low risk SELL entry will probably be offered around 1.5880-1.5940 ( Important Fibonacci Levels and the upper limit of the depicted bearish channel ) with SL located just above 1.5950.


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Intraday technical levels and trading recommendations on EUR/USD for December 09, 2014

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The price zone of 1.2880-1.2900 (corresponding to the upper limit of the previous broken channel) was targeted a month ago. However, bearish pressure was applied earlier around 1.2800-1.2840 where the depicted head and shoulders reversal pattern was established.


A bearish breakout off the bullish channel took place shortly after, thus confirming a flag continuation pattern. Bearish projected target was already reached around 1.2490.


As anticipated before, daily fixation below 1.2490-1.2500 (the origin of the previous bullish swing expressed one month ago) extends the bearish targets towards the price level of 1.2200.


The EUR/USD bears, obviously, need to fixate below 1.2360 soon enough. It has already taken place on the previous Friday. However, today the EUR/USD pair is showing bullish recovery again above it due to the lack of bearish pressure below 1.2255.


Price level of 1.2200 corresponds to the projected target of the current bearish flag pattern as long as 1.2360-1.2390 remains defended by the EUR/USD bears.


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The bearish flag scenario should now be considered for the long-term positions. Bears should be looking for a solid SUPPLY ZONE to SHORT the EUR/USD pair again.


A double-top pattern was expressed last week on the 4H chart around 1.2500. As anticipated, fixation below neckline (price level of 1.2430) enhanced the bearish trend on the market.


Fixation below the recently broken bottom around 1.2390 is mandatory to maintain the current bearish momentum towards 1.2200.


Moreover, the EUR/USD pair has a bearish projected target (the flag pattern) roughly located around price level of 1.2200 where the lower limit of the depicted 4H channel is also located.


Trade recommendations:


Intraday traders can SHORT the pair anywhere around 1.2410 -1.2450 (prominent Fibonacci Levels). SL should be set as a four-hour closure above 1.2470.


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Intraday technical levels and trading recommendations on GBP/USD for December 09, 2014

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The GBP/USD pair has been trapped between 1.6100 and 1.5890 for almost 20 days before bearish breakout could take place.


Daily fixation below 1.5870 led bearish pressure on the pair so that it reached 1.5620-1.5650 where a prominent consolidation zone was established above.


This week, the GBP/USD pair is finding Intraday SUPPLY around 1.5580-1.5550 where many recent lows were previously established back in November.


The current price action favors the bullish scenario (initially towards 1.5800) as yesterday's bullish engulfing daily candlestick emerged off 1.5550 where the backside of the broken downtrend is located.


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4H chart reveals the recent downside movement maintained within the limits of the depicted channel.


Conservative traders were waiting for a bullish pullback towards price zone of 1.5680-1.5710 for a low-risk SELL entry. Stop Loss should be located at 1.5740.


On the other hand, an obvious 4H fixation below the triple-bottom price zone (1.5600 - 1.5590 ) indicates an upcoming bearish movement towards 1.5480-1.5500 where the lower limit of the current movement channel is located.


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Daily analysis of Silver for December 09, 2014

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Overview


The 4H chart demonstrates that silver is going take an upward move after its rebound from the support level at 16.00 and currently is approaching the resistance level of 16.75 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 17.00, 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 16.75 before making the decision. But as long as the price is trading below the resistance level it cancels the first scenario.


Resistance and support levels: R3(17.00), R2(16.75), R1(16.50), S1(16.00), S2(15.70), S3(15.40)




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Daily analysis of GBP/JPY for December 09, 2014

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Overview


According to today's 4H chart, closing below the resistance level of 188.50 gave the price an opportunity to make a bearish move after it failed to break it through. As shown here, currently the price is trying to continue its bearish move and approaching the support level of 187.50. In this case, we might get another opportunity for more sell signals which will open the way towards 186.70 as the first target. Then, at first, the price should test the support level to continue its bearish move. But as long as the price stabilizes above the support level 187.50, it cancels the first scenario.


Resistance and support levels: R3 (190.00), R2 (189.70), R1 (188.50), S1 (187.50), S2 (186.70), S3 (185.80).


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EUR/NZD : analysis for December 09, 2014

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Overview:


In our last analysis, EUR/NZD has been trading upwards. The price tested the level of 1.6154 in an average volume. Our Fibonacci expansion 100% at the price of 1.6145 is on the test. I have placed Fibonacci retracement to find potential resistance level and I got Fibonacci retracement 61.8% at the price of 1.6165. According to the 4H time frame, we can observe lack of demand around the price of 1.6150. So, be careful when buying and watch for potential selling opportunities. Any larger supply may confirm a further bearish phase. We got support level (swng high like support) at the price of 1.6075.


Daily Fibonacci pivot levels:


Resistance levels:


R1: 1.6104


R2: 1.6142


R3: 1.6202


Support levels:


S1: 1.5984


S2: 1.5946


S3: 1.5886


Trading recommendations: Be careful when buying EUR/NZD since the price is near our resistance level. Watch for potential selling opportunities in a short-term perspective.


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Gold : analysis for December 09, 2014

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Overview :


Since our last analysis, gold has been trading upwards. As we expected, the price was tested and rejected from the level of 1,186.03. It tested the level of 1,212.19 in an average volume. Our Fibonacci expansion 100% at the price of 1,186.00 held successfully, which caused the price to start with upward movement. My advice is to look for buying opportunities near the lows (after retracement). We got resistance level at the price of 1,220.00 (swing high like resistance). According to the 4H time frame, we finished the bearish corrective phase abcd. We have absorption volume in the background. If the price breaks the level of 1,220.00 in a high volume and strong price action, we may see potential testing the level of 1,255.48.


Daily pivot Fibonacci points:


Resistance levels:


R1: 1,205.57


R2: 1,210.77


R3: 1,219.17


Support levels:


S1: 1,188.77


S2: 1,183.57


S3: 1,175.17


Trading recommendations: Watch for potential buying opportunities after retracement (buy on the lows).


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Technical analysis of USD/CHF for December 09, 2014

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Intraday trading recommendations :



  • According to the previous events, the price of USD/CHF is still trapped between the levels of 0.9770 and 0.9705. The level of 0.9770 will indicate strong resistance. Moreover, the price will form a double top at this level, therefore, it will be wise to sell at 0.9770 (short term) with the first target at 0.9732 (61.8% Fibonacci retracement levels). Then it will continue towards 0.9705 and 0.9679 in order to test the weekly support 1.


Observations (intraday) :



  • Projected high: 0.9770

  • Wexpect a range of 198 pips this week.

  • Projected low: 0.9679


Weekly technical levels :


Date and Time:9/12/2014 13:12


Pair:USD/CHF



  • Projected High:0.9981

  • Breakout (Buy Stop):0.9926

  • Strong Resistance (Sell Limit):0.9896

  • Current Pivot:0.9778

  • Strong Support (Buy Limit):0.9659

  • Breakout (Sell Stop):0.9634

  • Projected Low:0.9584


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Weekly technical levels of GBP/USD for December 9-12, 2014

The weekly technical levels of GBP/USD pair:


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Pivot point:



  • R3 and S3 are considered to be clear indicators of the maximum range of extreme volatility, though it is possible to pass them through.

  • Pivot lines work well in the sideways markets, as the prices are most likely to be situated between the R1 and S1 lines.

  • Within a strong trend, the price is expected to be lower than the pivot point line and continue moving.

  • If the breaking news release may affect the market, the price is likely to go straight through R1 or S1 and even reach R2 and R3 or S2 and S3.


Observations :



  • If the trend is buoyant, then the strength of the currency pair will be defined as following: GBP is in uptrend and USD is in downtrend.

  • Fibonacci retracement is used for the determination of accurate psychological levels of support and resistance. The period of time should be taken into account.

  • Fibonacci is in a range trade; it looks like the trend is trapped moving up or down. If you sell or buy in the long-term period, you will surely lose your profit.

  • Stop loss should never exceed your maximum exposure amounts.

  • As a rule, the market is highly volatile if the previous day had a huge volatility.


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Technical analysis of EUR/JPY for December 09, 2014

General overview for 09/12/2014 11:40 CET


The price got back to the neutral/range area after breaking yesterday all the intraday support levels that supported the impulsive bullish count. So far, the golden trend line has been acting as a dynamic support and the market bounced a little from the area of 147.70. However, to gain more upside momentum and confirm further upward wave progression, the key level of 148.86 must be violated in impulsive fashion. Otherwise, the alternative wave labeling, suggesting and abc irregular flat corrective cycle, will be in play and further downside corrective wave development may be on the way.


Support/Resistance:


151.04 - WR1


149.76 - Technical Resistance


149.00 - Weekly Pivot


148.86 - Intraday Resistance|Key Level|


148.32 - WS1


147.68 - Intraday Support


147.37 - Green Impulsive Count Invalidation Level


146.34 - WS2


Trading recommendations:


The level of 147.37 is the most important intraday level now, and if it is violatednly only sell orders should be opened. SL orders should be placed above the level of 148.86 and TP orders should be placed at the level of 146.34 with a possible extension downward to the level of 145.70.


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Technical analysis of USD/CAD for December 9, 2014

General overview for 09/12/2014 11;20 CET


Black wave iii of the overall impulsive wave structure looks like it has topped. Now, the corrective cycle of wave iv has started. The key level for this cycle is 1.1422 as any violation of this level invalidates the main impulsive wave progression and put the whole impulsive count into question. The next best count would be then an ending diagonal wave blue 5 with more choppy and overlapping price action to come.



Support/Resistance:


1.1579 - WR2


1.1519 - WR1


1.1500 - Intraday Resistance


1.1460 - Intraday Support


1.1422 - Invalidation Level


1.1416 - Weekly Pivot


Trading recommendations:


The level of 1.1474 has been broken and buy orders advised yesterday should be still kept open as the TP is at the level of 1.1519 and 1.1579. Please remember that the uptrend is still intact and swing traders still should consider buying the dips as the market has to complete more waves to the upside. The SL orders should be moved a little higher, just below the level of 1.1422.


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#USDX Technical analysis for December 9, 2014

The Dollar index has made a short-term trend reversal towards 89, as expected. Yesterday I mentioned that there were increased chances of a short-term trend reversal. Long-term trend remains bullish as long as price is above 87.50 - 87.80.


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Black lines = price channel


The Dollar index has reversed from the upper channel boundaries towards our short-term target of 89 and below. Support is found at 88.50 and 88.30. It would not be a good sign if the index were to fell below 88. Important resistance for the short-term trend is at 89.25. Breaking above that level could push the index to new highs.


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The weekly chart has made a bearish reversal yesterday. Although the long-term trend remains bullish and the bullish flag target remains at 91. Yesterday I mentioned that bulls should be very cautious as we are close to completing the long-term upward move from 79.75. I believe there are many chances that this pullback will stop above 88.50 and then will give us a new higher high to complete the upward move. Nevertheless, bulls should be very cautious as we are at the final stages of a big upward move.


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Gold Technical analysis for December 09, 2014

Gold price has reversed higher above $1,200 after reaching the 38% retracement of the rise from $1,141 to $1,222. There are increased chances of a new upward breakout towards $1,240 or even $1,260. gold.jpg


Red line = resistance


Gold price as can be seen on the 30-minute chart above has made a corrective pullback towards $1,185 and is now trying to start a new upward move. Resistance is found at $1,210 and at $1,222. Support is found at $1,200 and at $1,185. If resistance levels break we can see an upward move towards $1,240 or even $1,260. If support fails we can see a deeper pullback towards $1,140. Gold shows signs of strength and that buyers support it easily. My bearish long-term view is now having less chances of success than a bullish long-term reversal. My long-term view is now mixed as the bulls have made an impressive come back that can change the long-term trend.


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The daily chart remains bearish as price is below the Ichimoku cloud. Breaking above $1,222 will be a very bullish sign for Gold bulls. Important daily support is at $1,170. Breaking below that level will imply that bears are retaking control and that Gold price will challenge the lows at $1,140-30. I feel that this scenario has the least chances.


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Technical analysis of GBP/CHF for December 09, 2014


Technical outlook and chart setups:


The GBP/CHF pair had reversed sharply from 1.5350/60 levels last week. The pair had retraced towards 1.5325 and is trading around 1.5250 levels for the moment. It is recommended to initiate short positions, with risk above 1.5400 levels. Immediate support is seen at 1.5175 (interim), followed by 1.5075, 1.4950 and lower while resistance is seen at 1.5350/60 (interim), followed by 1.5450/75 and 1.5550 respectively. Bears are expected to remain in control till prices remain below 1.5450/75 levels. A break below the trend line support and subsequently below 1.5175 would accelerate downside further.


Trading recommendations:


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


Good luck!


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Technical analysis of EUR/JPY for December 09, 2014


Technical outlook and chart setups:


The EUR/JPY pair has retraced lower towards 147.90/148.00 levels, after printing fresh highs close to 150.00 region. Aggressive trade setup is to remain long and also look to add further, with risk just below 147.00. Please note that the pair is trading in the buy zone of its immediate trend line support for now. Hence, high probability remains towards 150.80 and 151.80 respectively. Immediate support is seen at 147.00, followed by 146.50, 145.00 and lower, while resistance is seen at 150.00 (interim), followed by 151.00 and higher respectively. Bulls are expected to remain in control till prices remain above 147.00.


Trade recommendations:


Remain long, stop below 147.00, the target is 151.80.


Good luck!


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Technical analysis of Gold for December 09, 2014


Technical outlook and chart setups:


Gold has been drifting sideways in a tight range since last few trading sessions. The metal is trading around $1,200.00 region at the moment but it could still be preparing for a dip towards $1,172.00/75.00 levels before rallying further up. Please also note that there is a strong convergence at $1,172.00 level, and a bullish bounce from there should be aggressively bought. Immediate support is seen at $1,170.00, followed by $1,140.00, $1,130.00 and lower while resistance is seen at $1,220.00 (interim), followed by $1,235.00, $1,255.00 and higher respectively.


Trading recommendations:


Initiate long positions around $1,172.00, stop at $1,125.00, the target is open.


Good luck!


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Technical analysis of Silver for December 09, 2014


Technical outlook and chart setups:


An hourly chart view has been depicted here for Silver which is seen to be trading around 16.30.35 levels for now. The metal is drifting sideways in a cone fashion since Dec 02, 2014. A dip below $16.00 levels can be expected before the rally could resume. Minimum levels of expectations are $15.50/60 and $15.30 levels respectively. The price could go as low as $14.90 levels before bouncing back. Please note that the current structure might be that of an inverted head and shoulder, right shoulder being carved out now. The upside extensions are pointing towards $18.00 and $21.00 respectively. Immediate support is $15.50, followed by $15.30 and $14.90 while resistance is seen at $17.30/50, followed by $17.80/18.00 and higher up respectively.


Trading recommendations:


Buying on dips towards 15.30 and $14.90, stop at $14.20, the target is open.


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Elliott wave analysis of EUR/NZD for December 9 - 2014

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Technical summary:


We finally have the upside acceleration we have been looking for. The next upside target is found at 1.6279, but in the longer term, we should see a continuation higher towards 1.6446 and with the ideal target for wave c at 1.7124. Support is now found at 1.6079 and more importantly at 1.6019, which ideally will protect the downside for the continuation higher towards 1.6279 and beyond.


Trading recommendation:


We are long in EUR from 1.5830 and will move our stop higher to 1.6010. If you are not long in EUR yet, then buy near 1.6079 with the same stop at 1.6010.


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Elliott wave analysis of EUR/JPY for December 9 - 2014

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Technical summary:


The b wave of the expanded flat correction ended early at 149.78 and wave c lower is now developing for a decline towards at least 144.79 and possibly even lower to 142.05 if wave c extends. In the short term, we should see minor resistance at 148.18 and more importantly see resistance at 148.88 to protect the upside for a break below the support-line at 147.78 confirming the decline in wave c towards 144.79.


Trading recommendation:


We missed our selling opportunity and will sell here at 147.97 with a stop at 148.95 and take profit at 145.05.


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Technical Analysis of Gold for December 09, 2014

The weak dollar pushed the yellow metal above $1,200.00 and managed to close above this. The yellow metal is still trading in a tight range and hovering around $1,200.00. We can observe a flag pattern on the daily and hourly charts. For a speculative view, we recommend selling below $1,199.00 with the targets at $1,195.00 and $1,191.00. The selling pressure will weigh the metal in case if the metal falls below $1,191.00 towards $1,186.00 and 20Dsma. The metal has been facing strong resistance on the descending trend line on the daily chart. A daily close above this leads to relief rally towards $1,230.00. In case if the prices close above $1,212.00, we can expect $1,230.00 in the near term. But please note, the complete picture remains selling on rallies. The stronger US dollar will weigh the metal prices. The longer-term picture still favours selling side.


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Technical Analysis of USD/CAD for December 09, 2014

The pair gave a strong close at yesterday's session after the weak Canadian building permits. The total value of building permits was $7.5 billion in October, edging up 0.7% from September. We have been recommending buying for 5 weeks. The pair favours buying on every dip with higher targets as I am waiting for close above 1.1467 on a daily basis with the targets at 1.1570, 1.1640, and 1.1740. At yesterday's session, the pair managed to close above 1.1467. The prices are closed and trading above 12ema and 35DEMA. We recommend fresh buying above 1.1500 levels with the targets at 1.1515, 1.1550, and 1.1570. The pair has hourly support at 1.1450 and intraday support at 1.1390. Use dip to add more longs. The hourly momentum oscillators are giving an overbought sign. Fresh buyers can wait for a minor healthy correction at today's session. In case if we get a minor correction, traders can buy at 1.1450 with sl 1.1425. We recommend fresh selling at 1.1420 with the targets at 1.1390 and 1.1370 levels.


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Technical Analysis of GBP/USD for December 09, 2014

The Pound sterling has taken advantage of the dollar weakness. The pair has been struggling at 20Dsma for 9th trading sessions. It's a quiet week ahead for the UK. The cable breaks below the support level. It indicated a further downside journey in the coming session. We recommended selling on every rise and again we are repeating the same this week. The cable rejected at 50hrsma at yesterday's session. Today, the pair again rejected at 20Dsma. We recommend intraday buying above 1.5680 with the targets at 1.5700, 1.5725, and 1.5750. For an intraday view, the hourly support exists at 1.5635, 1.5625, and 1.5600. We recommend selling below 1.5610. Until the pair trades below 1.5764, we can expect 1.5525 levels on the downside.


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Technical Analysis of EUR/USD for December 09, 2014

The Euro bounces slightly against US dollar from a 2-year low. The pair managed to close above 1.2300. At yesterday's session, the German Industrial output edged up 0.2% in October for a second month. The major event falling on Thursday is Targeted LTRO. This event turns this week to a key week for the euro zone. The nearest resistance exists at 1.2360 and support exists at 1.2255 and 1.2240. The pair is facing strong resistance at 20hrsma and 1.2320. We recommended selling on every rise, we are repeating the same again. The weekly resistance exists at 1.2362 and weekly supports exist at 1.2250. We recommend selling at the current market price or below 1.2300. In case if the pair closes below 1.2230 on a monthly closing basis, we can expect another 200-pips downfall. For an Intraday view, the prices are closed above 35DEMA at 1.2590. We recommend selling on every rise up to 1.2360. For an hourly view, the pair has support at 1.2307, below this 1.2290 is acting as support. In case if the prices fall below 1.2270, it can extend its fall up to 1.2240 and 1.2220 levels.


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Technical analysis of USD/JPY for December 09, 2014

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Fundamental overview:


USD/JPY is expected to consolidate with risks skewed lower after hitting a seven-year high at 121.86 on Monday. It is undermined by flows to haven JPY and unwinding of JPY-funded carry trades amid increased risk aversion (VIX fear gauge jumped 20.22% to 14.21, S&P 500 closed 0.73% lower at 2,060.31 overnight) as concerns mount over flagging global economic growth after data showed Japan's economy contracted more-than-expected 1.9% in 3Q, German industrial output rose less-than-expected 0.2% in October, while China's trade exports grew weaker-than-expected 4.7% in November. USD/JPY is also weighed by the weaker USD sentiment (ICE spot dollar index last 89.10 versus 89.38 early Monday) as U.S. Treasury yields fell overnight (10-year at 2.257% versus 2.307% late Friday) Bank of International Settlements warned on Sunday in its most recent quarterly report that there are potential adverse implications from a prolonged rally in the dollar for economies beyond the U.S. that have large U.S. dollar-denominated liabilities and Japan's export sales. But the USD sentiment is soothed by 6.1% rise in Conference Board U.S. employment trends index to 123.24 in November. USD/JPY losses are also tempered by the demand from Japan's importers and Bank of Japan's large-scale monetary easing policy.


Technical comment:
Daily chart is mixed as MACD is bullish, five and 15-day moving averages are advancing but stochastics is turned bearish at overbought levels, bearish dark-cloud-cover candlestick pattern was completed on Monday.


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 120.10. A break of this target will move the pair further downwards to 119.60. The pivot point stands at 121.35. In case the price moves in the opposite direction and bounces back from the support level, then it will move 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 121.85 and the second target at 122.30.


Resistance levels:

121.85

122.30

122.65


Support levels:

120.10

119.60

119.30


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Technical analysis of USD/CHF for December 09, 2014

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Fundamental overview:


USD/CHF is expected to consolidate after hitting a one-and-a-half year high at 0.9818 on Monday. It is undermined by the weaker USD sentiment(ICE spot dollar index last 89.10 versus 89.38 early Monday) as U.S. Treasury yields fell overnight (10-year at 2.257% versus 2.307% late Friday); Bank of International Settlements warned on Sunday in its most recent quarterly report that there are potential adverse implications from a prolonged rally in the dollar for economies beyond the U.S. that have large U.S. dollar-denominated liabilities; Japan's export sales. But the USD sentiment is soothed by 6.1% rise in Conference Board U.S. employment trends index to 123.24 in November. But USD/CHF downside is limited by the franc sales on soft CHF/JPY cross and unexpected 0.1% on-year drop in Switzerland November CPI (versus forecast 0.0%); ultra-loose Swiss National Bank's monetary policy. Daily chart is still positive-biased as MACD is bullish, stochastics stays elevated at overbought levels, 5 and 15-day moving averages are advancing.


Technical comment:

Daily chart is positive-biased as stochastics is bullish, MACD histogram bars are turning positive, five-day moving average is above 15-day moving average 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 0.9795 and the second target at 0.9820. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 0.9705. A break of this target would push the pair further downwards and one may expect the second target at 0.9675. The pivot point is at 0.9740.


Resistance levels:

0.9795

0.9820

0.9855


Support levels:

0.9705

0.9675

0.9635


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Technical analysis of NZD/USD for December 09, 2014

NZDUSDM30.png


Fundamental overview:


NZD/USD is expected to consolidate with a bearish bias after hitting a two-and-a-half year low at 0.7621 on Monday. It is undermined by the expectations that Fonterra this week would announce a downward revision of its previous forecast of NZ$5.30 payout to dairy farmers; caution that the Reserve Bank of New Zealand might adopt a dovish tone at its Thursday policy meeting, soft commodity prices, Kiwi sales on soft NZD/JPY cross amid increased investor risk aversion and Kiwi sales on rebounding AUD/NZD cross. But NZD/USD losses are tempered by the weaker USD sentiment and NZD-USD interest differential.


Technical Comment:

Daily chart is negative-biased as MACD and stochastics are bearish, five-day moving average is below 15-day moving average and is 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 0.7565. A break of this target will move the pair further downwards to 0.7530. The pivot point stands at 0.7645. In case the price moves in the opposite direction and bounces back from the support level, then it will move 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 0.7710 and the second target at 0.7780.


Resistance levels:

0.7710

0.7780

0.7815



Support levels:
0.7565

0.7530

0.75


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

Technical analysis of GBP/JPY for December 09, 2014

GBPJPYM30.png


Fundamental overview:


GBP/JPY is expected to consolidate with risks skewed lower. It is undermined by the increased investor risk aversion, weaker USD/JPY undertone and Japan's export sales. But GBP/JPY losses are tempered by the demand from Japan's importers.


Technical comment:

The daily chart is mixed as five- and 15-day moving averages are advancing but MACD is in a bearish mode, a bearish dark-cloud-cover candlestick pattern was completed on Monday.


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 189.70 and the second target at 190.40. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 187.50. A break of this target would push the pair further downwards and one may expect the second target at 186.80. The pivot point is at 188.25.


Resistance levels:

189.70

190.40

190.75


Support levels:

187.50

186.80

186.30


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

Technical analysis of EUR/USD for December 09, 2014

!EURUSD.jpg When the European market opens, some economic news will be released such as German Trade Balance, French Gov Budget Balance, and French Trade Balance. The US will release the economic data too such as the NFIB Small Business Index, JOLTS Job Openings, IBD/TIPP Economic Optimism, and Wholesale Inventories m/m. So, amid the reports, EUR/USD will move low to medium volatility during this day.

TODAY TECHNICAL LEVELS:

Breakout BUY Level: 1.2365.

Strong Resistance:1.2358.

Original Resistance: 1.2346.

Inner Sell Area: 1.2334.

Target Inner Area: 1.2305.

Inner Buy Area: 1.2276.

Original Support: 1.2264.

Strong Support: 1.2252.

Breakout SELL Level: 1.2245.

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

Technical analysis of USD/JPY for December 09, 2014

!USDJPY.jpg In Asia, Japan will release the M2 Money Stock y/y, 30-y Bond Auction, and Prelim Machine Tool Orders y/y. Besides, the US will publish some economic reports such as NFIB Small Business Index, JOLTS Job Openings, IBD/TIPP Economic Optimism, and Wholesale Inventories m/m. So, there is a big probability the USD/JPY pair will move with low to medium volatility during the day.

TODAY TECHNICAL LEVELS:

Resistance. 3: 121.37.

Resistance. 2: 121.14.

Resistance. 1: 120.90.

Support. 1: 120.61.

Support. 2: 120.38.

Support. 3: 120.14.

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 major pairs for December 9, 2014

EUR/USD: After testing the support line at 1.2250, EUR/USD price bounced upwards, and the upwards bounce can continue a bit further upwards. For the upwards bounce to be strong enough to threaten the existing bearish bias, it must go above the resistance line at 1.2500; otherwise this may be another opportunity to sell short.


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USD/CHF: After testing the resistance level at 0.9800, USD/CHF price retraced southwards, and the southward retracement can continue further downwards. For the bearish retracement to be strong enough to overturn the existing bullish bias, it must go below the support level at 0.9650; otherwise this may be another opportunity to go long.


1418083158_2.png

GBP/USD: The Cable broke above the accumulation territories at 1.5600 and 1.5650. The accumulation territories have been great barriers to the bearish movement in the market. Therefore, their breach to the upside portends a possibility of a near-term bullish trend which may take price towards the distribution territory at 1.5800.


1418083194_3.png

USD/JPY: This currency trading instrument came down by over 100 pips on Monday. Price ought to stay above the demand level at 119.50 – which could be another entry point for the astute bulls. The demand level should do a good job in checking further southward venture by price.


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EUR/JPY: The expected large pullback in the market has already occurred, but it must be curbed at the demand zone of 147.50. Any movement below that demand zone could be the end of the bullish outlook, but as long as price is above the demand zone, the bullish outlook remains intact.


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

Daily analysis of USDX for December 09, 2014

On the H4 chart, the USDX attempted to perform a consolidation above the bullish trend line at the level of 89.85 but failed. Now, the USDX is conducting a retracement, which may extend to the support level of 88.65, but for this, this instrument would have to make a breakout at the level of 89.05. The MACD indicator is moving into the negative territory.


H4chart's resistance levels: 89.85 / 90.25


H4chart's support levels: 89.05 / 88.65


USDXH4.png

Again, the USDX found strong resistance at the level of 89.51 and in that area, the USDX made a pullback to the support level of 88.99. This instrument is likely to make a rebound from the current levels and up to the level of 89.25. For now, caution is advised when placing sell orders, because the USDX remains above the 200-day moving average on the H1 chart. The MACD indicator remains in the negative territory.


H1 chart's resistance levels: 89.25 / 89.51


H1 chart's support levels: 88.99 / 88.71


USDXH1.png


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 89.25, take profit is at 89.51, and stop loss is at 89.00.


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

Daily analysis of GBP/USD for December 09, 2014

The GBP/USD pair failed to consolidate below the support level of 1.5589 on H4 chart, where the pair made a rebound and formed a new fractal to try to climb back up to resistance level of 1.5698. As we can see, the GBP/USD pair remains strong in the current bearish bias and it is likely to decline further to the support level of 1.5512 in the medium term.


H4chart's resistance levels: 1.5698 / 1.5811


H4chart's support levels: 1.5589 / 1.5512


1418075361_GBPUSDH4.png


On the H1 chart, GBP/USD performed a breakout at the level of 1.5632 and is now finding dynamic resistance in the 200-day moving average. So, eventually, this pair could make a pullback pair to the level of 1.5632. This is reinforced by the fact that the area of 1.5686 is very strong and has served as strong resistance on the GBP/USD pair. The MACD indicator remains in the positive territory.


H1 chart's resistance levels: 1.5590 / 1.5632


H1 chart's support levels: 1.5534 / 1.5501


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 1.5632, take profit is at 1.5590, and stop loss is at 1.5672.


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

Technical analysis of GBP/JPY for December 08, 2014

GBPJPYM30.png


Fundamental overview:


GBP/JPY is expected to consolidate with a bullish bias. It is supported by the positive risk sentiment and demand from Japan's importers. But GBP/JPY gains are tempered by Japan's export sales. GBP sentiment is dented by Bank of England/GfK NOP quarterly inflation attitudes survey showing respondents expecting interest rates to rise over the next 12 months slipped to 37% in November from 49% in August.


Technical comment:

Daily chart is positive-biased as stochastics is 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 189.70 and the second target at 190.40. In an alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 187.50. A break of this target would push the pair further downwards and one may expect the second target at 186.80. The pivot point is at 188.25.


Resistance levels:

189.70

190.40

190.75


Support levels:

187.50

186.80

186.30


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