GBP/USD intraday technical levels and trading recommendations for December 29, 2014

gbpdailyy.jpggbpp44hh.jpg


Overview:


The GBP/USD pair has been moving downward respecting the depicted bearish channel since mid-September when the ongoing channel was initiated.


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.


Failure of the market to defend the price zone of 1.5890-1.5900 allowed bears to push towards the support level located around 1.5550 where recent congestion zone was established above.


Recently, the market failed to express bullish breakout above the price level of 1.5760 (upper limit of the daily bearish channel). Instead, extensive bearish breakout was applied against the price levels of 1.5540-1.5560 (this breakdown was successfully executed on Tuesday).


Note that DAILY fixation below the recent bottoms established around 1.5540-1.5560 renders the current consolidation range as a bearish flag pattern with potential projected target at 1.5310 (similar to what happened back in October 2014).


Key level for the current week's movement is 1.5600. Persistence below it signals more bearish dominance in the market and vice versa.


In other words, another daily closure above the zone of 1.5550-1.5600 invalidates the ongoing bearish range breakout pattern, probably, extending the bullish targets towards 1.5700 levels again.


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

USD/CAD intraday technical levels and trading recommendations for December 29, 2014

caddaily.jpgcad4h.jpg


Overview:


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


During the past few weeks, the USD/CAD pair established a temporary consolidation zone between 1.1430-1.1330 and recently around 1.1480. Bullish breakout above these zones allowed bulls to reach new highs around 1.1540 and 1.1670.


The price zone of 1.1430-1.1460 remains the nearest SUPPORT zone for the current prices. It corresponds with the lower limit of the daily channel as well as the previous high that goes back to November.


The price level of 1.1650, which was our final bullish target, roughly corresponded with the upper limit of the bullish channel as well as 61.8% Fibonacci level.


According to the chart, the USD/CAD consolidation pattern has tightened. A Wedge/Flag pattern is being expressed on the H4 chart.


This is because of the positive United States GDP data emerged. It applied further demand on the dollar currency. However, weak oil recovery still keeps the movement contained.


Trading recommendations:


Risky traders should look for SHORT positions around the price level of 1.1650. SL should be located above 1.1700.


Conservative traders should be looking for a pull-back towards 1.1440 for a LONG position. SL should be set as daily closure below 1.1400.


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

Intraday technical levels and trading recommendations on GBP/USD for December 29, 2014

gbpusddaily.jpg


The GBP/USD pair found temporary DEMAND around 1.5550 where many lows were previously established back in November.


The DAILY outlook looked quite bullish while bulls were defending the lower limit of the consolidation range around 1.5550 for many successive weeks. However, a bearish breakout was expressed on Tuesday so, bears have already reached down to 1.5485.


Now we are seeing a bearish flag pattern similar to what happened back in October provided that the market does not reach above 1.5550-1.5570 (recent SUPPLY zone).


Projection target would be located around the price level of 1.5350.


gbp4h.jpg

A consolidation movement ranging between the price levels of 1.5770 and 1.5550 represented the state of indecision on the market after such a long bearish rally that started off 1.7100 and 1.6500.


As anticipated, the bearish breakout below 1.5550 directly exposed lower targets. Potential projection target for this range breakout pattern should be located around 1.5330-1.5350.


However, activity in the market remains limited as the holidays pushes into a tight trading range, no real directional movement should be expected.


Note that H4 fixation above 1.5570 temporarily pauses the current bearish trend exposing higher SUPPLY levels (initially 1.5650) to be retested first.


Conservative traders should wait for a bullish pullback towards higher SUPPLY levels for lower-risk SHORT entries.


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

Intraday technical levels and trading recommendations on EUR/USD for December 29, 2014

eurudsdaily.jpg


Recently, the daily fixation below 1.2360 (the lower limit of the depicted broken congestion zone) extended the bearish targets towards the price level of 1.2250.


The EUR/USD pair continued to move lower after breaking below major DEMAND LEVEL at 1.2250 rendering the price level of 1.2100 as the next targetted SUPPORT where the lower limit of the current movement channel is located.


Fundamentally, the EURO sentiment will probably remain negative upon the news that the ECB would announce QE at the first January policy meetings.


eur4h.jpg

Activity in the market remains limited as holiday pushes into a tight trading range, no real directional movement should be expected .


However, for risky traders, the price level of 1.2150 remains a significant Fibonacci expansion level. Intraday DEMAND should have been expected at retesting.


Please also note that obvious H4 break below 1.2150 theoretically exposes the full-range breakout projection target around 1.2030.


Trade Recommendations :


Risky traders could have benefited from the bearish breakout below 1.2250. This breakout exposes potential projection target roughly located around 1.2030.


Conservative traders should be looking for SHORT positions. Best low-risk entries may be taken around 1.2250-1.2260 (the latest broken DEMAND ZONE).


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

EUR/NZD : analysis for December 29, 2014

EURNZDDaily29.png


EURNZDH429.png


Overview:


In our last analysis, EUR/NZD was trading downward. The price has tested the level of 1.5633 in an average volume. Our support level around the price of 1.5650 is held successfully, which is a sign that selling EUR/NZD at this stage looks risky. We are waiting for a larger activity on the market and stronger price action. My advice is to watch for potential buying opportunities on the lows. Any larger demand may confirm a further bullish phase. Anyway, if the price breaks the level of 1.5640, next support level is around the price of 1.5585 (Fibonacci expansion 161.8%).


Daily Fibonacci pivot levels:


Resistance levels:


R1: 1.5767


R2: 1.5794


R3: 1.5839


Support levels:


S1: 1.5677


S2: 1.5650


S3: 1.5605


Trading recommendations: Be careful when selling the EUR/NZD pair since we can observe supply in a low volume.


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

Gold analysis for December 29, 2014

GOLDDaily29.png


GOLDH429.png


Overview :


Since our last analysis, gold has been trading sideways around the price of 1,192.00. We are waiting for a larger activity on the market and stronger price action. Our Fibonacci retracement 61.8% at the price of 1.172.00 has been held successfully, which caused price to start with an upward movement. According to the H4 time frame, we can observe weak supply. My advice is to watch for potential buying opportunities near the lows. According to the daily time frame, we can observe low activity today. I placed Fibonacci retracement to find potential resistance levels and got Fibonacci retracement 38.2% at the price of 1,196.00 (currently on the test) and Fibonacci retracement 61.8% at the price of 1,212.00.


Daily pivot Fibonacci points:


Resistance levels:


R1: 1,195.72


R2: 1,196.28


R3: 1,197.20


Support levels:


S1: 1,193.88


S2: 1,193.32


S3: 1,192.40


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


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

#USDX technical analysis for December 29, 2014

The Dollar index remains in an uptrend, but the strong uptrend is showing signs of fatigue. There are some indications that bulls should be very cautious as we could see a small pullback for a few days. Long-term trend remains bullish. Bullish flag target remains at 91 and stop for longs at 87.60.


usdx.jpg

Red lines = trading range


The Dollar index is trading inside a range between 90.18 and 89.60. Price is above the Ichimoku cloud and trend remains bullish for the short-term. Breaking below 89.60 could push the index towards 89 but this will probably be a buy opportunity. Breaking above 90.18 will probably push the index towards 91 and we will raise our short-term trailing stop to 89.70.


usdxd.jpg

Red line = support


The weekly chart remains bullish as long as price is above 87.60. The tenkan-sen support at 88.50 is the first weekly support. If it is broken, we should expect a test of the consolidation area at 87.60. Breaking below that support we should expect a push towards 85 where the kijun-sen is. Trend remains bullish on the weekly chart, and I still believe we can reach my 91 target.


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

Gold technical analysis for December 29, 2014

Gold price is consolidating below short-term resistance at $1,195-$1,200 area. Important support is at $1,184 and at $1,239. Longer-term trend remains bearish as long as price is below $1,240 and I favor a move towards $1,130 at least. gold.jpg


On the short-term chart as shown above, Gold price is trading sideways in a contracting triangle and above the Ichimoku cloud. $1,192 is important short-term support and $1,198 is important short-term resistance. If the triangle boundaries are broken, they will give a buy or sell short-term signal with $1,220 or $1,184 as targets.


goldh4.jpg

Red line = resistance


Blue line = support


Gold price is testing the resistance at $1,195 as this is where the downward sloping trend line from recent highs is found. Price is below the Ichimoku cloud and this implies that trend remains bearish. I believe that a rejection at current prices will push gold back towards $1,130. A weekly close below $1,184 will also give us a bearish signal.


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

Technical analysis of EUR/JPY for December 29, 2014

General overview for 29/12/2014 09:20 CET


The market stays inside of the tight trading range between the levels of 147.13 - 146.44 marked by the Christmas time and end of the year low liquidity, including profit taking price behavior as well. The golden intraday trend line has been touched 5 times and the last touch was from the downside, what can indicate a lower prices to come. Nevertheless, the market is currently trading close to the weekly pivot at the level of 146.54 and only a breakout below the intraday support at the level of 146.44 would be a valid range violation and market should follow through to test the lower price supports at the level of 145.98 and 145.70. On the other hand, only a clear string impulsive breakout above the intraday resistance at the level of 147.13 would be a valid range breakout, that should be targeting the level of 148.22. Please notice that as long as the level of 144.97 is not broken, the mid-term and longer-term bias is to the upside.


Support/Resistance:


149.76 - Technical Resistance|Swing High|


148.35 - WR3


148.22 - Technical Resistance


147.74 - WR2


147.17 - WR1


147.13 - Intraday Resistance


146.54 - Weekly Pivot


146.44 - Intraday Support


145.92 - WS1


145.70 - Technical Support


145.39 - WS2


144.97 - Technical Support|Swing Low|


144.82 - WS3


Trading recommendations:


From a trading point of view there is no real change, and as I'd mentioned it before: as long as the golden trend line is not broken, the bias is bullish, and traders should consider opening buy orders only. The SL orders still should be placed below the 146.44 level, and TP orders should be placed at the level of 148.23. Please notice that the end of the year liquidity is low and the market moves might get very sharp and sudden in either direction.


eurjpy_h1.jpg


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

Elliott wave analysis of EUR/NZD for December 29, 2014

2014-12-29-EURNZD-D.png


Technical summary:


The decline from 1.7153 just became much more complicated with the break below the support line from 1.5407. The break below this support line is the first indication that the August 2012 lows at 1.4966 will be revisited. The next good indication will be a break below support at 1.5643. With this new information I have changed my scenario which now shows that we are likely in wave z of a triple combination, that began all the way back at 1.7153.


Trading recommendation:


With the new scenario we will shift from a EUR-buying strategy to a EUR-selling strategy. We will sell EUR near 1.5710 with a stop at 1.5840.


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

Elliott wave analysis of EUR/JPY for December 29 - 2014

2014-12-29-EURJPY-8H.png


Technical summary:


There is no real change here. We are still looking for a rally towards 148.36 to end the x-wave and set the stage for a new decline in wave y towards at least 143.50 and possibly even lower to 142.06. Only a direct break below support at 145.95 will indicate that the x-wave ended early, and the decline to 143.50 is developing.


Trading recommendation:


Our stop at 146.40 was hit. We will sell EUR again at 148.30 or upon a break below 145.95.


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

Daily analysis of USDX for December 29, 2014

On the daily chart, the USDX is kept alive in the bullish bias. There are still no signs that this instrument will make a trend change, at least in the medium term. However, we must not lose sight of the resistance level of 90.40, as this area has been strong in the past and currently, the USDX could make a pullback on that level.


Dailychart's resistance levels: 90.40 / 93.44


Daily chart's support levels: 88.63 / 87.35


USDXDaily.png

The USDX is having fallen below the resistance level of 90.01. Therefore, during today's session, this instrument is likely to fall to the support level of 89.76. However, on this area, the USDX could perform a rebound to rise again to the level of 90.01, while the MACD indicator remains in the negative territory. So, the USDX could perform a breakout at the support level of 89.76.


H1 chart's resistance levels: 90.01 / 90.26


H1 chart's support levels: 89.76 / 89.51


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 90.01, take profit is at 90.26, and stop loss is at 89.76.


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

Daily analysis of GBP/USD for December 29, 2014

The GBP/USD pair continues to consolidate in the bearish trend below the resistance level of 1.5642, although the pair is making bullish retracements on the daily chart. For now, the hypothesis that the GBP/USD pair will develop a bearish structure is highly probable, therefore it is advisable to wait until this pair makes a breakout at the support level of 1.5506.


Dailychart's resistance levels: 1.5642 / 1.5746


Dailychart's support levels: 1.5506 / 1.5407


GBPUSDDaily.png


On the H1 chart, GBP/USD has recovered significantly from the level of 1.5555, as this pair had a bullish momentum short and it is likely to reach the resistance level of 1.5590 soon. During today's session, the GBP/USD pair may even consolidate above the 200-day moving average. 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 1.5534, take profit is at 1.5501, and stop loss is at 1.5568.


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

Technical analysis of EUR/USD for December 29, 2014

!EURUSD.jpg


There is no news release during this day, so be careful due to the lack of liquidity and low volatility in the quiet market.


TODAY TECHNICAL LEVELS:


Breakout BUY Level: 1.2242.


Strong Resistance:1.2235.


Original Resistance: 1.2223.


Inner Sell Area: 1.2211.


Target Inner Area: 1.2182.


Inner Buy Area: 1.2158.


Original Support: 1.2141.


Strong Support: 1.2129.


Breakout SELL Level: 1.2122.


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 29, 2014

!USDJPY.jpg


There is no news release during this day, so be careful due to the lack of liquidity and low volatility in the quiet market.


TODAY TECHNICAL LEVELS:


Resistance. 3: 121.11.


Resistance. 2: 120.87.


Resistance. 1: 120.64.


Support. 1: 120.35.


Support. 2: 120.11.


Support. 3: 119.87.


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 29, 2014

EUR/USD: This market fell further last week, closing below the resistance line at 1.2200. The next target for the price is at the support line of 1.2150, and should that support line be breached to the downside, the price may then target another support line at 1.2100.


1.png

USD/CHF: This market rose further last week, closing above the support level at 0.9850. The next target for the price is at the resistance level of 0.9900, and should that resistance level be breached to the downside, the price may then target another resistance level at 0.9950. Could the USD reach parity with the CHF? It seems very likely.


2.png

GBP/USD: This currency trading instrument went downward last week, but further downward movement was rejected as the price bounced upwards from the accumulation territory at 1.5500. Now, hovering around the accumulation territory at 1.5550, further upward bounce could be contained at the distribution territory at 1.5600. Meanwhile, the price could fall down again, testing the accumulation territory at 1.5500.


3.png

USD/JPY: The USD/JPY pair closed at 120.31, on Friday, December 26, 21014. This pair trended upwards last week before it consolidated towards the end of the week. The bias is bullish and the supply level at 12.50 would soon be breached to the upside; after which another supply level at 130.00 would be challenged.


4.png

EUR/JPY: This cross should be bullish – just like certain JPY pairs. However, the weakness in the EUR is too much to allow any significant bullish move. There is a possibility that the demand level at 146.00 could be tested, though a rally may cause the price to reach the supply zone at 147.50.


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

Weekly technical levels of GBP/USD for December 29, 2014

gbpusdh1.png

Trading recommendations :



  • According to the previous events, the price of GBP/USD pair is still trading between the levels of 1.5596 and 1.5510.

  • The descending movement will probably be lower than the 1.5596 (61.8% of Fibonacci retracement levels) level with the first targets at 1.5506 and 1.5473 (the weekly support 1). However, the stop loss should be set above the resistance 1.56620.


The weekly technical levels of GBP/USD pair.


Gbpusd_pp.png



The movement of pivot point among resistances and supports.



  • If the price is at a pivot point, watch for a move back to resistance 1 or support 1.

  • If the price is at resistance 1, expect a move to resistance 2 or back towards a pivot point.

  • If the price is at support 1, expect a move to support 2 or back towards resistance 1.

  • If the price is at support 2, expect a move to support 3 or back towards support 1.

  • If the price is at resistance 2, expect a move to resistance 3 or back towards resistance 1.


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

Weekly technical levels of EUR/USD for December 29, 2014

The weekly technical levels of EUR/USD pair.


eurusd_pp.png

Overview :



  • The resistance of the EUR/USD pair sets at the level of 1.2205 which represents the weekly pivot point. So, if the trend will not able to break and close above the level of 1.2205. Then, it will be a downside momentum, which is rather convincing and the structure of the fall does not look corrective, for that the market will indicate a bearish opportunity at 1.2205. Hence, it will be a good sign to sell at this level in order to continue downward towards 1.2164 on H1 chart. Thus, according to the previous events, the price will move between the levels of 1.2205 and 1.2164 (the double bottom). Therefore, sell again below the double bottom 1.2164 because it looks for further downside with a target of 1.2138 (the weekly support 1).


eurusdh1.png

Notes :



  • 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 significant news to influence, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2 and even resistance 3 or support 3.

  • The resistances will set at the levels of 1.2205 and 1.2246 this week.

  • The double top is going to set at the 1.2272 price.

  • The area of 1.2205 is a useful spot to sell in the long term.

  • We expect a small range of 55 pips on December 29, 2014.


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

Weekly technical levels of NZD/USD for December 29, 2014

The weekly technical levels of NZD/USD pair.


nzdusd-pp.png

Forecast :



  • Best trade to buy the NZD/USD pair above the level of 0.7693 in the short term with the first target at the level of 0.7766. Then, it will resume towards 0.7795 as the second target. A stop loss should be placed below the strong support at 0.7658. It should be noted that the level of 0.7693 represents the weekly double bottom, and the support 1 had already set at the price of 0.7704.



nzdusdh1.png


Observations :



  • Use historic prices to determine future prices.

  • Fibonacci retracement should be used to determine an accurate psychology level of support and resistance, and playing according to it in this time frame.

  • Fibonacci means trade in a range (it is looks like the trend is trapping and going up or down, if you sell or buy for a long term in this period you will sure going to lose your profit.)

  • Stop loss should never exceed your maximum exposure amounts.

  • Usually, the market has a high volatile, if the last day had a higher volatility.


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