Daily analysis of USDX for December 16, 2014

The USDX is moving in the range below the resistance level of 88.63 on the daily chart. However, the USDX is still kept alive in the bullish bias, since the 200-day moving average is trying to bend upward and this instrument has not been consolidated below the support level of 87.35. The MACD indicator remains in negative territory.


Dailychart's resistance levels: 88.63 / 90.40


Dailychart's support levels: 87.35 / 86.20


USDXDaily.png

On the H1 chart, the USDX found strong resistance at the 200-day moving average, so the USDX is trying to consolidate above that area to strengthen the bullish trend. If the USDX does a breakout at the 88.43 level, it is expected to rise to the resistance level of 88.71 in the short-term. The MACD indicator is moving into negative territory.


H1 chart's resistance levels: 88.43 / 88.71


H1 chart's support levels: 88.15 / 87.86


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 88.43, take profit is at 88.71, and stop loss is at 88.15.


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Daily analysis of GBP/USD for December 16, 2014

On the daily chart GBP/USD continues battling with the support level of 1.5642, because this pair plummeted to that area during the yesterday's session. A breakout at that level could lead the GBP/USD pair to touching the 1.5506 level. It should be noted that the pair formed a fractal at the 1.5746 level, which could add more strength to that area. The MACD indicator remains in positive territory.


Dailychart's resistance levels: 1.5746 / 1.5883


Dailychart's support levels: 1.5642 / 1.5506


GBPUSDDaily.png


The GBP/USD pair made a false breakout in the support level of 1.5632 and now this pair is forming a bearish pattern in attempt to consolidate back below that area. Currently, the GBP/USD is below the 200-day moving average in the H1 chart, which supports our bearish outlook in the short term for this pair.


H1 chart's resistance levels: 1.5686 / 1.5739


H1 chart's support levels: 1.5632 / 1.5590


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 1.5674.


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EUR/NZD analysis for December 16, 2014

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Overview:


In our last analysis, EUR/NZD was trading downward. As we expected, the price tested the level of 1.5983 in a very high volume. Our Fibonacci retracement 61.8% at the price of 1.6060 has been held successfully, and it made price start with downward movement. I placed Fibonacci expansion to find potential support levels and got Fibonacci expansion 61.8% at the price of 1.5910. According to the 4H time frame, we can observe supply in a very hgih volume. So, be careful when buying EUR/NZD at this stage since price rejected from our resistance level.


Daily Fibonacci pivot levels:


Resistance levels:


R1: 1.6089


R2: 1.6116


R3: 1.6160


Support levels:


S1: 1.6002


S2: 1.5975


S3: 1.5932


Trading recommendations: Be careful when buying the EUR/NZD pair since we got a strong rejection from our resistance level.


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Gold analysis for December 16, 2014

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Overview :


Since our last analysis, gold has been trading downward. The price tested and rejected from the level of 1,190.49. Our corrective Fibonacci expansion 161.8% at the price of 1.195.00 has been held successfully, which caused price to start with aupward movement. I placed Fibonacci retracement to find potential support levels and got Fibonacci retracement 61.8% at the price of 1,179.00. My advice is to look for buying opportunities near the lows (after retracement). According to the 1H time frame, we can observe no selling pressure around the level of 1,190.00 and strong reaction from buyers in a very high volume. So, selling gold at this stage looks risky, watch for potential buying oppoprtunities.


Daily pivot Fibonacci points:


Resistance levels:


R1: 1,220.87


R2: 1,228.83


R3: 1,241.70


Support levels:


S1: 1,195.13


S2: 1,187.17


S3: 1,174.30


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


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Technical analysis of NZD/USD for December 16, 2014

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Overview :



  • The NZD/USD pair has broken a major resistance at 0.7792 for that the level of 0.7792 became support, and it will continue to act as strong support on December 16, 2014. Also, it should be noted that the daily pivot point is calculated at 0.7810, and it is now approaching to test it, therefore, it will probably start an upward movement at this area and recover again. So the market will indicate a bullish opportunity at the levels of 0.7792 or 0.7810. Thus, it will be a good sign to buy at this area with the first target at 0.7835 (61.8% of Fibonacci retracement levels), and continue towards 0.7870. On the other hand, if there is a break at 0.7782, it will be a good sign to set the stop loss for that the best location for placing it should be at the level of 0.7760.


Trading recommendations :



  • According to the previous events, the price of NZD/USD is going to move between 0.7790 and 0.7860.

  • Buy above the level of 0.7790 with the first target of 0.7830, it might resume to 0.7860.


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Technical analysis of USD/CHF for December 16, 2014

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Overview :



  • The USD/CHF pair has not shown signs of breaking the highest level of 0.9642 which coincides with the 61.8% of Fibonacci retracement levels. Also, it should be noted that the resistance has already set at the spot of 0.9640 since yesterday. Therefore, it will be a good sign to sell below the level of 0.9640 with the first target at 0.9536 (38.2% of Fibonacci retracement levels) and resume to 0.9467 in order to form a double bottom this week. Moreover, the resistance is going to be placed at the price of 0.9467. Thus, we expect a range of 122 pips in the coming days. However, in case a reversal takes place and the USD/CHF pair breaks through the support level of 0.9536, then the market will lead to further decline to 0.9470 and 0.9425. Additionally, it will be able to indicate the correction movement at this level. But it should be noted that the channel emerging of RSI is still negative. Furthermore, it might notice a point of view that the MA(100) would be rather a confirmation for the downtrend but in a short-term period.


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Technical analysis of USD/JPY for December 16, 2014

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Fundamental overview:
USD/JPY is expected to trade in a lower range. It is undermined by the selling of the yen crosses amid diminished investor risk appetite (S&P 500 closed 0.63% lower at 1,989.63 overnight, although VIX fear gauge finished down 3.13% to 20.42) as oil prices extend falls to a fresh five-and-a-half-year lows on Monday - Nymex crude hit $55.02/bbl, its cheapest figure since May 8, 2009 - stoking concerns over the receding demand and slowing global economy. USD/JPY is also weighed by the Japanese export sales. But USD/JPY losses are tempered by the improved USD sentiment (ICE spot dollar index last 88.43 versus 88.20 on early Monday), higher U.S. Treasury yields (10-year at 2.114% versus 2.103% on late Friday), 1.3% on month increase in U.S. November industrial production (versus forecast +0.8%) and the U.S. November capacity utilization of 80.1% (versus forecast 79.4%) that outweigh a surprise drop in Empire State's business conditions index to -3.58 in December from +10.16 in November (versus forecast for rise to 14) and an unexpected fall in the U.S. NAHB housing market index to 57 in December from 58 in November (versus forecast for rise to 59). USD/JPY downside is also limited by the demand from Japan's import, the Bank of Japan's large-scale monetary easing policy and positions adjustment as market participants trim risk exposure ahead of the Federal Reserve's monetary decision on Wednesday.


Technical comment:
The daily chart is negative-biased as the 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 positions are recommended with the first target at 115.85. A break of this target will move the pair further downwards to 115.40. The pivot point stands at 117.50. 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 118.40 and the second target at 119.10.


Resistance levels:

118.40

119.10

119.45



Support levels:
115.85

115.40

115.15


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Technical analysis of USD/CHF for December 16, 2014

USDCHFM30.png


Fundamental overview:
USD/CHF is expected to trade with bearish bias. It is underpinned by the improved USD sentiment, the franc sales on soft CHF/JPY cross and ultra-loose Swiss National Bank's monetary policy. But USD/CHF gains are tempered by the franc demand on soft GBP/CHF, AUD/CHF, NZD/CHF and CAD/CHF crosses.


Technical comment:
The daily chart is still negative-biased as the 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 positions are recommended with the first target at 0.9565. A break of this target will move the pair further downwards to 0.9540. The pivot point stands at 0.9640. 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 0.9685 and the second target at 0.9720.


Resistance levels:

0.9685

0.9720

0.9755


Support levels:

0.9565

0.9540

0.95


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Technical analysis of NZD/USD for December 16, 2014

NZDUSDM30.png


Fundamental overview:
NZD/USD is expected to trade with bearish bias. NZD/USD is undermined by the improved USD sentiment (the latest ICE spot dollar index 88.43 versus 88.20 on early Monday), higher U.S. Treasury yields (10-year at 2.114% versus 2.103% on late Friday), 1.3% on month increase in U.S. November industrial production (versus forecast +0.8%) and the U.S. November capacity utilization of 80.1% (versus forecast 79.4%) that outweigh a surprise drop in Empire State's business conditions index to -3.58 in December from +10.16 in November (versus forecast for rise to 14) and an unexpected fall in the U.S. NAHB housing market index to 57 in December from 58 in November (versus forecast for rise to 59). The kiwi sales on soft NZD/JPY cross amid subdued investor risk appetite and weak commodity prices. However, NZD/USD losses are tempered by the NZD-USD interest differential.


Technical Comment:
The daily chart is mixed as stochastics is neutral, the MACD is in bearish mode.


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 the pivot point. Short positions are recommended with the first target at 0.7720. A break of this target will move the pair further downward to 0.7660. The pivot point stands at 0.7805. In case the price moves in the opposite direction and bounces back from the support level, 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 0.7835 and the second target at 0.7870.


Resistance levels:

0.7835

0.7870

0.7905



Support levels:
0.7720

0.7660

0.7640


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Technical analysis of GBP/JPY for December 16, 2014

GBPJPYM30.png


Fundamental overview:
GBP/JPY is expected to consolidate with bearish bias. It is undermined by the diminished investor risk appetite, Japan's export sales, the sterling sales on buoyant EUR/GBP cross and on soft GBP/CHF cross. But GBP/JPY losses are tempered by the demand from the Japanese import and the sterling demand on buoyant GBP/CAD cross.


Technical comment:
The daily chart is negative-biased as bearish outside-day-range pattern was completed on Monday, the 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 the pivot point. Short positions are recommended with the first target at 182.05. A break of this target will move the pair further downward to 181.05. The pivot point stands at 184.90. In case the price moves in the opposite direction and bounces back from the support level, 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 186.30 and the second target at 187.10.


Resistance levels:

186.30

187.10

187.90


Support levels:

182.05

181.05

180


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#USDX technical analysis for December 16, 2014

The Dollar index remains under pressure as EUR and JPY are strengthening against the Dollar. The bearish action from the last week is putting increased pressures against the Dollar and it can be seen easily as there is no real strength to push the index above 88.60. Technically there are many chances that we are starting a deep correction.


usdx.jpg

Blue line = support


The Dollar index is testing important support at 87.90. The index is making lower lows and lower highs. Price is below the Ichimoku cloud. This is a bearish sign for the index. Confirmation will come if and when we break below 87.90. Next important support is at 87.50.


usdxd.jpg

Red line = weekly support


Since the last week The Dollar index showed us some signs of weakness, and the possibility of a larger trend reversal has dramatically increased. Breaking below support at 87.50 will confirm this scenario and we could see the Dollar index pull back towards 86-84 area at least.


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Gold technical analysis for December 16, 2014

Gold price has broken the short-term support, as expected, and pushed below $1,200 towards $1,190-80 support area. As long as gold price is below $1,220 and above $1,180 trend will be neutral. These two levels are very important price levels that once broken will provide the next big move.


gold.jpg

Blue line = resistance


Red line = triangle


Gold price is forming a triangle pattern on the short-term chart with $1,200 for the upper boundary and $1,194 for the lower boundary. It could also be seen as a bearish flag pattern if we take into consideration the sharp decline from $1,219. The next important short-term support is at $1,180.


goldd.jpg

Blue line = support


Gold price, as shown in the 4-hour chart above, is making higher highs and higher lows. It has pushed inside the Ichimoku cloud and remains above the important support and previous low at $1,180. As long as price holds that support level, bulls could feel safe. If support is broken, price will push below the cloud and it would be a bearish signal that will push gold price towards $1,140 at least. Until then I prefer to be neutral or bullish with $1,180 stop.


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Technical analysis of EUR/JPY for December 16, 2014

General overview for 16/12/2014 09:10 CET


The corrective cycle in blue wave Y is getting more complex after the upward leg in blue wave (b) hasn't been strong enough to break above the golden trend line. The market fell further after this event. Currently, the price is appoaching the important technical support at the level of 145.70. If the count is correct, then the wave -v- blue of blue wave (c) should be completed here, so the overall corrective cycle labeled as (a)(b)(c) blue will be in shape of the irregular flat brown wave Y. Nevertheless, without breaking above the level of intraday resistance at 146.24, the impulsive count to the upside can not be initiated. In that case, the market should look forward to test another support at the level of 144.46.


Support/Resistance:


144.46 - WS1


145.70 - Technical Support|Intraday Support|Key Level|


146.24 - Intraday Resistance


147.82 - Weekly Pivot


148.24 - Intraday Resistance


Trading recommendations:


The key support here is at the level of 145.70, so traders should consider opening buy orders at this level with very reasonable stop loss (15-20 pips) and place the first TP order at the level of 146.42. Only a breakout above this level might be considered as intraday bullish.


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Technical analysis of USD/CAD for December 16, 2014

General overview for 16/12/2014 08:50 CET


As anticipated yesterday, the market is making another higher high and the bullish impulsive wave progression continues to advance higher. The level of 1.1666 has been just hit. So, currently it looks like the price will make some sub-corrective cycle in purple wave 4. When the correction is done, it will move even higher. A projected target for this wave is at the level of 1.1727. Please notice that the key level for the bullish bias is the intraday support at the level of 1.1590.


Support/Resistance:


1.1727 - WR2


1.1672 - Intraday Resistance


1.1666 - WR1


1.1590 - Intraday Support


1.1531 - Weekly Pivot


Trading recommendations:


The bias is still bullish as the larger time frame trends are still bullish. So is a near and mid-term outlook for this pair. Thus, buying the dips is the way to trade this pair. SL for swing traders should be placed below the level of 1.1590, TP should be placed at the level of 1.1727.


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Elliott wave analysis of EUR/NZD for December 16 - 2014

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Technical summary:


We are back at the resistance line near 1.6105. We would like to see a close above this resistance line to confirm a move higher to 1.6206 and higher to 1.6446. In the short term, we would like to see minor support at 1.6031 protecting the downside, but only a break below support at 1.5985 will delay the expected upside for a move closer to 1.5950 before higher again.


Trading recommendation:


We are long in EUR from 1.5915 and will move our stop higher to 1.5980. If you are not long in EUR yet, then buy near 1.6031 with the same stop at 1.5980.


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Elliott wave analysis of EUR/JPY for December 16 - 2014

2014-12-16-EURJPY-8H.png


Technical summary:


The correction in red wave ii ended early at 148.23 and never got close to the possible 148.50 - 148.88 area. Red wave iii is now unfolding towards at least 145.23 and likely even lower to 143.39 before red wave iv will be ready to take over. That said, we still have to watch carefully what happens near 144.77 as this could be a potential low for wave c, but only time will show. In the short term, only an unexpected break above 148.23 will indicate, that wave c and (ii) is over and for the next powerful rally higher.


Trading recommendation:


Our break-even stop was hit and we will be neutral as this is the only correction.


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Technical Analysis of Gold for December 16, 2014

The yellow metal lost its shine after the US data and ahead of the Federal Reserve meeting. At yesterday's session, the metal fell to a 1-week low at $1,190.50. The US dollar was ignited by the stronger industrial production data. Industrial production jumped 1.3 percent after a 0.1 percent increase in October. But the other data such as building confidence dropped 1 point in December. At yesterday's session, the metal fell below 50 and 20Dsma and closed below those levels. We have been recommending selling at $1,232.40 and still repeating the same. The metal has the nearest strong support zone at $1,188.00 and $1,185.00. Strong selling will emerge below $1,185.00. Currently, the metal is trading below $1,200.00. We recommend fresh selling below $1,188.00 and safe selling will be possible below $1,185.00. The intraday resistance exists at $1,200.00, above this at $1,218.00. The hourly resistance exists at $1,200 and $1,213.00. Until the metal trades below $1,216.00, use every rise to sell. On the down side, in case if the metal falls below $1,185.00, it can extend its fall towards $1,180, $1,175, and $1,169.00 levels.


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Technical Analysis on EUR/USD for Decemeber 16, 2014

Impact on EURO


Today, the focus has shifted to major economic events. Today, if the German data favours improvement, the Euro might be supported at today's session. The German flash PMI manufacturing is expected to show an uptick at 50.2 or 50.4 in December.


Impact on USD


The US dollar was ignited by the stronger industrial production data. Industrial production jumped 1.3 percent after a 0.1 percent increase in October. But the another data such as building confidence drops 1 point in December. Following a four-point uptick last month, builder confidence on the market for newly built single-family homes fell one point in December to 57 according to the National Association of Home Builders/Wells Fargo Housing Market Index (HMI), released yesterday. After the mixed US data, traders are keeping an eye on the Federal Reserve meeting this week. Today, the focus has shifted to US building permits and flash manufacturing PMI.


Technical view:


The pair managed to break out from the falling wedge and it is trading above it. The pair has been facing strong resistance at 1.2500. On the long-term perspective, the pair has been taking support from the neckline on the monthly chart. In this case, a break below the neckline ignites new bearish moves towards a larger decline in the coming months. In case, a monthly close is below 1.2230 and 200Msma, bears can challenge 1.2000 and 1.1875 in the new year. Ahead of today's economic data and tomorrow's major key event (the FOMC meeting), the pair managed to trade in green. The pair has intraday support at 1.2400. We recommend selling below 1.2400 and 34hrsma with the targets at 1.2375, 1.2360, 1.2340, and 1.2300. On the upper side, the pair has resistance at 1.2500, 1.2507, 1.2530 and 1.2600. We can expect strong momentum only above 1.2600 with the targets at 1.2800 and 1.2880.


Trade: sell below 1.2400.


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Technical Analysis of USD/CHF for Decemebr 16, 2014

Impact on USD


The US dollar was ignited by the stronger industrial production data. Industrial production jumped 1.3 percent after a 0.1 percent increase in October. But the other data such as building confidence dropped 1 point in December. Following a four-point uptick last month, builder confidence in the market for newly built single-family homes fell one point in December to 57 according to the National Association of Home Builders/Wells Fargo Housing Market Index (HMI), released yesterday. After the mixed US data, traders turn their attention on the Federal Reserve meeting this week.


The pair has been consolidating near a 3-week low. The pair has the nearest support between 0.9616 and 0.9595. USD/CHF fell below 20Dsma and closed below it. During yesterday's pullback, it was unable to close above it. Today, the pair is taking support at 0.9649 (2hr low). The pair has been making lower lows and lower highs on the hourly chart. Bulls will regain strength above 0.9691 and strong momentum above 0.9725. The pair fell below the upswing channel and closed below the support trend line on the daily chart. Today, in early Asia's session the pair was unable to break the support trend line. We recommend fresh selling only below 0.9590. Today, the focus has shifted to US building permits and flash manufacturing PMI.


1418692448_USDCHFH4.pngThe material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of EUR/USD for December 16, 2014

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When the European market opens, lots of major economic reports will be released such as Trade Balance, ZEW Economic Sentiment, German ZEW Economic Sentiment, Italian Trade Balance, Flash Services PMI, Flash Manufacturing PMI, German Flash Services PMI, German Flash Manufacturing PMI, French Flash Services PMI, and French Flash Manufacturing PMI. The US will release the economic data too such as the Flash Manufacturing PMI, Housing Starts, and Building Permits. So, in this context, EUR/USD will move low to medium volatility during this day.


TODAY TECHNICAL LEVELS:


Breakout BUY Level: 1.2506.


Strong Resistance:1.2498.


Original Resistance: 1.2486.


Inner Sell Area: 1.2474.


Target Inner Area: 1.2444.


Inner Buy Area: 1.2414.


Original Support: 1.2402.


Strong Support: 1.2390.


Breakout SELL Level: 1.2382.


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 December 16, 2014

!USDJPY.jpg


In Asia, Japan will release the Flash Manufacturing PMI. The US will publish some economic reports such as Flash Manufacturing PMI, Housing Starts, and Building Permits. So, there is a big probability the USD/JPY pair will move with low volatility during the Asian session, but with low to medium volatility during the US session.


TODAY TECHNICAL LEVELS:


Resistance. 3: 119.31.


Resistance. 2: 119.09.


Resistance. 1: 117.86.


Support. 1: 117.58.


Support. 2: 117.35.


Support. 3: 117.11.


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/CAD for December 16, 2014

Impact on USD


The US dollar was ignited by the stronger industrial production data. Industrial production jumped 1.3 percent after a 0.1 percent increase in October. But the other data such as building confidence index drops 1 point in December. Following a four-point uptick last month, builder confidence in the market for newly built single-family homes fell one point in December to 57 according to the National Association of Home Builders/Wells Fargo Housing Market Index (HMI), released yesterday. After the mixed US data, traders are focused on the Federal Reserve meeting this week.


Technical analysis:


The USD made a fresh 5-year high against the CAD after the mixed batch of economic data at yesterday's session. We have been recommending buying on every dip with the targets at 1.1570, 1.1640, and 1.1740 on a positional basis. The pair met my second target as well. Ahead of the minutes on the Federal monetary policy, today the pair opened with a bearish basis. As of now, the pair is unable to break the previous high. At yesterday's session, the pair managed to breach the 200Msma and 1.6446 and managed to trade above these levels. We recommend fresh buying above 1.1675 with the targets at 1.1720 and 1.1740. The pair has hourly support at 1.6630, 1.5590, and 1.5580. Today, the focus has shifted to Canadian manufacturing and sales report as well as US building permits and flash manufacturing PMI. The intraday support is at 1.1515. We recommend selling only below 1.1500 levels.


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Technical analysis of EUR/JPY for December 16, 2014


Technical outlook and chart setups:


The EUR/JPY pair is still drifting sideways, currently at lower end at 146.30/40 levels. A drop below 146.00 would confirm and accelerate further downfall towards 144.00 at least. On the flip side a bullish reversal here could again see prices testing 148.50. An aggressive trade setup would be to remain short with risk around 148.50 while a more conservative trade setup would be to remain flat for now and wait for further confirmation. Immediate support is seen at 145.50, followed by 145.00 and lower while resistance is seen at 148.20/30, followed by 149.80 respectively.


Trading recommendations:


Remain flat for now.


Good luck!




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Technical analysis of GBP/CHF for December 16, 2014


Technical outlook and chart setups:


The GBP/CHF dropped lower towards 1.5050 levels before pulling back. Please note that the pair is well supported by fibonacci 0.618 support here and a bullish turn remains high probability. It is recommended to remain long with risk below 1.5000 and also look to add further longs here. Immediate support is seen at 1.4950 and lower while resistance is seen at 1.5200/50, followed by 1.5350/60 (interim), followed by 1.5450 and higher respectively. Bulls could regain control at current levels and till prices remain above 1.4950 levels.


Trading recommendations:


Remain long, stop below 1.5, the target is open.


Good luck!


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

Technical analysis of Silver for December 16, 2014


Technical outlook and chart setups:


Silver has further dipped towards sub $16.00 levels as seen here. The metal is supported by the fibonacci 0.382 level and also resistance turned support trend line as seen here. A bullish reversal could be bought here, risk remains at $14.50. Still, the best/optimum level would be $15.50/60 to enter long positions (potential right shoulder of an inverted head and shoulder reversal). Immediate support is seen at $15.50/60 (fibonacci 0.618), followed by $14.50 while resistance is seen at $17.40/50 levels, followed by $17.80/18.00 and higher up.


Trading recommendations:


Initiate long positions now and also around $15.60, stop at $14.50, the target is open.


Good luck!


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

Daily analysis of major pairs for December 16, 2014

EUR/USD: This currency trading instrument is still bullish as bulls keep on flexing their muscles. The price is above the support line at 1.2400, going towards the resistance line at 1.2450 (which might be breached to the upside again). That resistance line has taken several beatings already. The ultimate target is at the resistance line at 1.2500.


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USD/CHF: On this pair, bears are also trying to hold out their resistance against bulls. The support level at 0.9650 is under siege and with more effort from bears, the support level would easily be broken to the downside as price targets another support level at 0.9600. Below the support level at 0.9600, the bearish outlook would have been strengthened further.


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GBP/USD: The GBP/USD pair has been going downwards again, thus putting the novel/recent bullish effort in jeopardy. A movement below the accumulation territory at 1.5600 would signal the return of the past Bearish Confirmation Pattern. However, the price is unlikely to break below the accumulation territory at 1.5550 – which is now a formidable obstacle to bears.


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USD/JPY: The USD/JPY has become weaker as it went further downwards on Monday, reaching the demand level at 117.50. This demand level was tested last week and since it has been tested again, it could be breached to the downside. The next target for the price is the demand level at 117.00.


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EUR/JPY: This market is now weak considering the ongoing strength in the Yen. The price is now below the supply level at 146.50 and it may reach the demand level at 146.00 soon.


1418683508_5.pngThe material has been provided by InstaForex Company - www.instaforex.com

USD/CAD intraday technical levels and trading recommendations for December 15, 2014

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Overview:


Three months ago, the price levels around 1.0620 (the lower limit of the depicted chart) initiated the current strong uptrend.


The USD/CAD pair has been trending upward within the depicted daily channel. Successive higher highs and lows are being established within the channel's limits.


As anticipated, the bullish breakout above 1.1440 allowed bulls to push towards 1.1650 where the upper limit of the bullish channel is located as well as 61.8% Fibonacci level.


During the past few weeks, the USD/CAD pair established a recent SUPPORT zone around 1.1430-1.1330, breakout above which allowed bulls to reach new highs around 1.1495, 1.1540 and 1.1600 which got hit today.


The price zone of 1.1430-1.1460 remains the nearest SUPPORT zone to the current prices. Persistence above it signals the bullish tendency towards 1.1660-1.1690 (Significant Intraday RESISTANCE zone).


Trading recommendations:


Although, LONG positions suggested after the USD/CAD pair closed above 1.1450 were considered high-risk ones, they are running in profits towards their targets.


The price level of 1.1650 remains targeted by bulls as it corresponds to the upper limit of the bullish channel as well as 61.8% Fibonacci level.


Conservative traders should minimize the risk off this long position as it achieved most of its bullish targets. SL should be advanced to 1.1510.


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

Intraday technical levels and trading recommendations on EUR/USD for December 15, 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 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 soon, thus confirming a flag continuation pattern. Bearish projected target already reached the level around 1.2490.


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.


After bears could fixate below 1.2360, the EUR/USD pair has shown bullish recovery again above it due to the lack of bearish pressure below 1.2255.


Price level of 1.2200 remains the projected target of the current bearish flag pattern as long as 1.2500 remains defended by the EUR/USD bears. Until then, the EUR/USD pair remains trapped within the current DAILY consolidation zone of 1.2360 - 1.2500.


eur4h.jpg


The 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.


Last week, bulls spiked up to 1.2496. However, the market came back to trade below 1.2400. It could represent a failed bullish breakout off the upper limit of the depicted movement channel.


Fixation below the technical key level of 1.2370 is mandatory to maintain enough bearish momentum to push towards 1.2200. Thus, confirming another double-top reversal pattern.


On the other hand, 4H closure above the price zone of 1.2460-1.2480 ( Wednesday's daily high ) invalidates the suggested bearish scenario temporarily exposing price levels of 1.2580 for retesting.


Trade recommendations:


As anticipated before, intraday traders can SHORT the pair anywhere around 1.2450 ( 61.8% Fibonacci Level ).


Stop Loss should be set at a four-hour closure above 1.2470. Target level should be located around the price level of 1.2200.


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