Technical analysis of USD/JPY for January 21, 2015

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Fundamental overview:
USD/JPY is expected to trade in a lower range. USD/JPY is underpinned by weak yen sentiment amid speculation that the BOJ might ease monetary policy further by cutting the interest rate on commercial banks' excess reserves at the central bank (currently at 0.1%). It is also boosted by yen-funded carry trades amid diminished risk aversion (VIX fear gauge eased 5.06% to 19.89; S&P 500 closed up 0.15% at 2,022.55 overnight) because of expectations that the ECB will unveil a large-scale bond-buying program on Thursday aimed at reviving Europe's economy, and by 7.3% on-year increase in China 4Q GDP (versus forecast +7.2%) that overshadowed a renewed slide in oil prices. USD/JPY is also supported by the higher shorter-dated U.S. Treasury yields (2-year at 0.499% versus 0.480% late Friday), broadly firmer dollar undertone (ICE spot dollar index last 93.00 versus 92.58 early Tuesday) and demand from Japan's importers. But USD sentiment is dented by lower than expected U.S. January NAHB housing market index of 57 (versus forecast 58). USD/JPY gains are also tempered by the Japanese export.


Technical comment:
The daily chart is mixed as the MACD is bearish, but stochastics is bullish at oversold levels.


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 116.80. A break of this target will move the pair further downward to 116.30. The pivot point stands at 118.05. 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. According to that scenario, a long position is recommended with the first target at 118.40 and the second target at 118.85.


Resistance levels:

118.40

118.85

119.15



Support levels:

16.80

16.30

116


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EUR/NZD analysis for January 21, 2014

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Overview:


In our last analysis EUR/NZD was trading sideways around the price of 1.5110. Our Fibonacci retracement 61.8% at the price of 1.5120 is on the test so be careful when buying EUR/NZD at this stage. According to the daily time frame, we can observe demand in an average volume. We got supply level at the price of 1.5170 and this level has been held successfully. My advice is to watch for potential selling opportunites after retracement. Any larger supply in a high volume may confirm further bearish phase. Anyway, if the price breaks the level of 1.5173, we may see possible testing of the level of 1.5280 (second supply zone).


Daily Fibonacci pivot levels:


Resistance levels:


R1: 1.5150


R2: 1.5212


R3: 1.5311


Support levels:


S1: 1.4952


S2: 1.4890


S3: 1.4791


Trading recommendations: Be careful when buying the EUR/NZD pair at this stage since the price is testing Fibonacci retracement 61.8%.


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Gold analysis for January 21, 2014

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Overview :


Since our last analysis gold has been trading upwards. As we expected, the price has tested the level of 1,304.50 in a high volume. Our Fibonacci retracement 61.8% at the price of 1,292.00 got broken. So, we may expect testing the level of 1,344.00 (swing high like resistance). According to the H4 time frame, we can observe weak supply and demand in an average volume. Be careful when selling gold and watch for potential buying opportunities on the lows.


Daily pivot Fibonacci points:


R1: 1,297.42


R2: 1,303.34


R3: 1,312.93


Support levels :


S1: 1,278.24


S2: 1,272.32


S3: 1,263.73


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


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Technical analysis of Silver for January 21, 2015


Technical outlook and chart setups:


Silver has made yet another intraday high at $18.30 levels today before pulling back lower. The metal is seen trading at $18.10/15 levels for now and is seen to be forming a potential top formation on the H4 chart shown here. The metal has hit a lowest expected Fibonacci extension at $18.30 levels (not shown here), and the next potential high could be at $18.90 levels at least. It remains quite possible that Silver could retrace a bit lower before resuming rally towards $19.00 and higher levels. Immediate support is seen at $17.50/60 levels, followed by $17.20 (past resistance turned support), $16.50, $16.20 and lower while resistance is seen at $18.30 levels (interim) and higher respectively.


Trading recommendations:


Wait for a pullback lower to enter long again.


Good luck!




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Technical analysis of Gold for January 21, 2015.


Technical outlook and chart setups:


Gold has hit yet another intraday high at $1,303.00/04.00 levels before pulling back. The metal is seen to be trading at $1,296.00 levels at the moment and has formed a potential tweezer top candlestick pattern on the 4H chart depicted here. The minimum Fibonacci extension has been met at $1,300.00/05.00 levels today, hence a meaningful pullback could occur before the next leg up resumes. It is recommended to fox full/partial profits on long positions held earlier and remain flat for now. The metal could retrace at least up to $1,250.00 levels (Fibonacci 0.38 support), before resuming rally further towards $1,340.00 levels.


Trading recommendations:


Fix full/partial profits on long positions taken earlier, wait for a pullback to re-enter.


Good luck!




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Technical analysis of EUR/JPY for January 21, 2015


Technical outlook and chart setups:


The EUR/JPY pair seems to be retracing at the moment, after printing highs around 137.50/60 levels yesterday. The pair is seen to be trading at 136.20 levels for now, after forming lows at 135.70 levels earlier. Please note that 135.70 levels is Fibonacci 0.618 support of the rally from 134.20 to 137.60. It is still recommended to hold long positions taken earlier and also to look for adding more longs at current levels. A bullish bounce from here is expected to push the pair higher through 140.00 region as depicted here (red color). Immediate support is at 134.00 and lower while resistance is seen at 140.30/40 levels (Fibonacci). Bulls are expected to remain in control as long as prices remain above 134.00.


Trading recommendations:


Remain long, stop below 134.00, target is open.


Good luck!




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Technical analysis of GBP/CHF for January 21, 2015


Technical outlook and chart setups:


The GBP/CHF pair is still seen within the overall range as seen here at 1.3070 levels. Though it looks as if the pair is breaking lower, it is recommended to hold long positions and look for adding further at these levels. Immediate support is intact at 1.2900, followed by 1.2800, 1.2600 and lower while resistance is seen at 1.33, followed by 1.3400 and 1.3800 respectively. The pair would be breaking out above 1.3400 levels, and it is expected to rally through 1.4100 levels at least, which is Fibonacci 0.618 resistance of the entire drop from 1.5550 to 1.1800 as depicted here. On the flip side, a break below 1.2900 levels would prove to be bearish.


Trading recommendations:


Remain long for now, stop at 1.2850, target at 1.4150.


Good luck!


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Intraday technical levels and trading recommendations for GBP/USD for January 21, 2015

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Many previous lows were established around 1.5550 where the GBP/USD pair found temporary DEMAND in November 2014. A bearish breakout was expressed after many unsuccessful attempts back in 2014.


A bearish breakout scenario similar to what happened back in October was successfully executed shortly after.


The market has already pushed further below the price level of 1.5140 (projection target of the bearish breakout) reaching the lower limit of the depicted bearish channel around 1.5050.


The GBP/USD pair has shown bullish recovery off the price level of 1.5050 which is manifested in the successive bullish hammer daily candlesticks.


The price level of 1.5100 has been defended by bulls since the start of 2015. A double-bottom reversal pattern is being established above it.


Bullish fixation above the price level of 1.5180 - 1.5230 (neck-line) confirms this pattern and enhances the current corrective movement towards 1.5400.



Consolidation movement range 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 exposed lower targets directly. Bears have already reached the price level of 1.5050 that has not been hit since August 2013.


Conservative traders should wait for a bullish pullback towards the recent SUPPLY zone around 1.5480-1.5550 for a low-risk SELL entry. The stop loss should be located above 1.5560.


For RISKY traders, LONG entries were suggested around the price level of 1.5100. Stop Loss remains below the price level of 1.5075 (Tuesday's and recently Thursday's low). TP should be located at 1.5230, 1.5350 and 1.5400.



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Intraday technical levels and trading recommendations for EUR/USD for January 21, 2015

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The market has been pushing lower aggressively after breaking below the major DEMAND LEVELS around 1.2000 and 1.1860 where historical bottoms were previously established back in 2012 and 2010.


Further actions from the ECB regarding QE are still doubted due to the ECB’s policy meeting on January 22. EUROZONE current account stepped down to €18.1 billion which is an eight-month low.


This is strongly affecting the market leading to the current long-term negative sentiment of the EUR/USD pair. The market is recently challenging historical lows that was established back in 2005 and 2003.


The pair has lost almost 490 pips since the beginning of 2015, as the market has revisited the lowest rates since November 2003.


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The market currently looks oversold below the price level of 1.2000 and 1.1900 (prominent psychological SUPPORT and the lower limit of the movement channel on the H4 chart).


Currently, SELLING the EUR/USD pair should be avoided as much as possible at such historically low prices.


On the other hand, BUYING the pair is considered a low-risk opportunity after such steep decline. That is why bullish pullback should be anticipated looking for better prices to SELL the pair off.


The price zone of 1.1750-1.1820 is a recently established SUPPLY zone. Short-term SELL positions can be taken there. Stop loss should be placed above the price level of 1.1880.


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Technical analysis of USD/CHF for January 21-22, 2015

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Overview :



  • After the 15th of January 2015, the market of USD/CHF pair was not stable and trend was not also so clear (it is tight sideway range). According to the previous events, the price has still been moving between 0.9107 and 0.8424 so it is recommended to be careful at this area. Therefore, the first step is to wait for a period of tight sideway range market before breakouts. Then, probably, the market is going to start showing signs of bullish market. In other words, it will be a good sign to buy above 0.8424 (38.2% of Fibonacci retracement levels) with a first target of 0.8762 and it will climb towards 0.8875 (weekly pivot point). Moreover, it should also be noted that other resistance is going to set at the levels of 0.9022, 0.9063 and 0.9104 which coincides with the ratio of 61.8% Fibonacci retracement levels. The level of 0.9104 is called for a strong bearish market since January 15, 2015. However, if the pair can not break 0.8762, the market will indicate a bearish opportunity below 0.8762. Then the level will act as strong resistance, for that it will be a good sign to sell below 0.8762 with the first target of 0.8602 and it will call for downtrend in order to continue bearish trend towards 0.8420.



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USD/CAD intraday technical levels and trading recommendations for January 21, 2015

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Overview:


The USD/CAD pair established a temporary consolidation zone between the price levels of 1.1560 and 1.1670. This price zone roughly corresponds to 61.8% prominent WEEKLY Fibonacci level bullish breakout above which allowed bulls to establish a new consolidation zone between 1.1980-1.1930.


The prominent H4 support that is the price zone of 1.1800-1.1750 provided excellent SUPPORT for the pair on Thursday. LONG positions were suggested at retesting.


Note the newly established short-term channel being expressed since the price level of 1.1750 reached up to 1.2080. The market looks quite overbought since bulls have pushed further above the upper limit of the long-term movement channel. Hence, bulls should be conservative with their targets.


This minor channel pattern may indicate bearish reversal, if confirmed, with H4 bearish breakdown of the lower limit and the recent support around the levels of 1.1930-1.1900.


Otherwise, if bulls keep defending the recent INTRADAY SUPPORT around 1.1900-1.1930, the market bias will remain positive targeting at 1.2090 and 1.2130 shortly after.


Trading recommendations:


Risky traders can wait either for a bullish spike towards 1.2090-1.2100, or for the H4 bearish breakdown below 1.1900 to SELL the pair aiming for 1.1750 and 1.1700.


You should be conservative with your Stop Loss / Targets of such a counter-trend trade.


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GBP/USD intraday technical levels and trading recommendations for January 21, 2015

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Overview:


On December 17, the market failed to express a bullish breakout above the upper limit of the daily bearish channel. Shortly after, an extensive bearish pressure was applied against the price levels of 1.5540-1.5560 on December 23.


Daily closure below the recent bottoms established around 1.5540-1.5560 rendered the previous consolidation range as a bearish flag pattern with projection target at 1.5300.


The market has already pushed further below this level reaching down to 1.5030 where the lower limit of the channel provided significant support for the pair.


Bullish recovery was manifested by the ascending bottoms being established on the H4 chart. Since the pair hit the recent high around 1.5260, successive bearish pressure has been applied resulting in the flag pattern on the H4 chart.


The key-support level for today's movement is located at 1.5100 (the lower limit of the depicted flag pattern). Fixation above it enhances bullish side of the market towards 1.5260 and 1.5380.


However, within such a strong bearish trend you should consider the other scenario that the market fails to fixate above 1.5200 (the upper limit of the flag pattern) followed by H4 breakdown below 1.5150 and 1.5100. If so, further bearish tendency on the market should not be excluded, probably, new lows below 1.5030 would be visited.


Trading recommendations:


Price zone of 1.5350-1.5380 (50% - 61.8% Fibonacci Levels and the upper limit of the daily channel) should be watched for new SELL entries with SL as daily closure above 1.5400.


Intraday traders can SHORT the pair after H4 closure below 1.5080. TP should be located at 1.5035 and 1.5000. SL should be located above 1.5110.


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Technical analysis of AUD/USD for January 21-22, 2015

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Overview :



  • The support of the AUD/USD pair has already been set at the price of 0.8164. On the H4 chart, the ratio of 50% Fibonacci retracement levels is coinciding with the support of 0.8164. Moreover, it should be noted that the minor resistance will be set at the 0.8232 price today. So, according to the previous events, the AUD/USD pair is going to move between the resistance and the support. Then, the market will be trading between the levels of 0.8232 and 0.8164. Therefore, we expect a range about 68 pips. Consequently, if the trend fails to close below the level of 0.8164, it will be a good opportunity to buy above 0.8170 with the first target at 0.8238 (78,6% Fibonacci retracement levels), then it will be continued straight towards the double top around the area of 0.8294 tomorrow. Moreover, it should be noted that the market was very stable and trend was also very clear (upward) since yesterday. However, the stop loss should always be taken into account because it should never exceed your maximum exposure amounts. Thus, the best location to set your stop loss should be placed below the level of 0.8130.



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#USDX technical analysis for January 21, 2015

The Dollar index remains in an uptrend and continues to make higher highs and higher lows in the short-term. it is an important day for the Dollar as well as tomorrow with Mario Draghi announcing that the ECB is going to follow the QE policy. I expect the Dollar index to be greatly affected by it.


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Technically, the Dollar index remains in an uptrend in the short-term after the big volatility caused by the SNB rate cut. Support is found at 92.65 and resistance at 93.10. Breaking any of these levels will push the index towards 93.40 or 92.35.


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The weekly chart remains fully bullish and inside the upward sloping channel. Weekly important support for this uptrend is found at 90.80. Resistance on the weekly chart is found at 93.70. My longer-term target of 94-95 remains valid.


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Gold technical analysis for January 21, 2015

Gold price has broken above $1,300 and has closed above the 61.8% retracement resistance of the decline from $1,393. This resistance is important and as long as we hold above $1,300, momentum will be in favor of bulls. We could see a minor pullback towards $1,290 today to backtest broken resistance but overall trend is bullish.


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On the daily chart aboe we see how Gold has broken above the 61.8% retracement of the decline from $1,393. Price is clearly above the Ichimoku cloud with all Ichimoku indicators fully bullish. My target for the short-term is at $1,330.


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Green line = support


In the shorter-term Gold price remains in an uptrend as price makes higher highs and higher lows. Price is above the Ichimoku cloud on the 15-minute chart. Short-term double top pattern at $1,303 is signaling the potential of a short-term pullback towards $1,290. Trend remains bullish and any pullback should be considered a buy opportunity with $1,240 stop.


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Technical analysis of EUR/JPY for January 21, 2015

General overview for 21/01/2015 09:30 CET


Despite the yesterday's breakout above the level of 137.02 and entering the neutral zone, the market was unable to hold the gains and currently is testing the golden trend line from the upside. It is still possible that another leg upward will be made above the intraday resistance at the level of 137.64. So far the price sits at the golden trend line support and waits for the data.


Support/Resistance:


134.72 - Intraday Support


136.80 - Weekly Pivot


137.64 - Intraday Resistance


138.90 - WR1


Trading recommendations:


As it was advised all week long, buying on the dips on this market is the way to trade it with the SL orders placed just below the level of 134.12.


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Technical analysis of USD/CAD for January 21, 2015

General overview for 21/01/2015 09:15 CET


The market has made another higher high, and the wave progression has been slightly changed to include the alternative scenario. The bottom for the corrective cycle in wave 4 green is possible, but it looks like the correction is very simple and it might evolve into something more complex, maybe even a triangle. The move upward is so fat in three waves that looks like a zig-zag. As long as another higher high is made, the recent wave progression might still be a part of some more complex corrective cycle. The key level for intraday traders is the intraday support at the level of 1.2045.


Support/Resistance:


1.2192 - WR2


1.2113 - Intraday Resistance


1.2097 - WR1


1.2045 - Intraday Support


1.1949 - Weekly Pivot


Trading recommendations:


As it was advised all week long, buying on the dips on this market is the way to trade it. However, please, notice that the SL orders should be moved just below the level of 1.2045 now as any breakout lower might be the first sight that the market is going back to the corrective zone.


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Elliott wave analysis of EUR/NZD for January 21 - 2015

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Technical summary:


The rally of the 1.4788 low has been nice and strong, but we have to keep in mind, that this rally is only a part of the red wave iv correction and once this correction is over a new decline to new all time lows is expected. Looking at red wave ii, it was simple zig-zag correcting most of red wave i, which means that red wave iv should be shallow and only correct a minor part of red wave iii. We have already seen the 23.6% corrective target at 1.5112 and it looks like a continuation higher towards the 38.2% corrective target at 1.5312 could be seen, but we should not become stubborn if prices begin to turn lower.


Trading recommendation:


We are long EUR from 1.4855 and will move our stop higher to 1.5000 and place our take profit + revers at 1.5145


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Elliott wave analysis of EUR/JPY for January 21 - 2015

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Technical summary:


We can count five waves up from the 134.71 low. The following correction has stopped exactly at the 61.8% corrective target of the rally from 134.71 to 137.64. Ideally this support will continue to protect the downside for a break above minor resistance at 136.45 and more importantly a break above resistance at 137.27 confirming the next impulsive rally higher towards at least 138.75 and more likely even higher towards 140.56 to confirm the 134.71 low as an important low.


Trading recommendation:


We are long EUR from 136.88 with a stop placed at 135.10. If you are not long EUR yet, then buy near 135.83 with a stop at 135.10 too.


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Technical analysis of EUR/USD for January 21, 2015

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Fundamental overview:
EUR/USD is expected to trade in lower range. It is undermined by the expectations for full-scale quantitative easing measures from the European Central Bank at its meeting Thursday and lower-than-expected Germany December PPI of -1.7% on-year (versus forecast -1.4%), broadly firmer dollar undertone and fears of Greece exit from the eurozone if the anti-austerity left-wing Syriza party wins the snap elections Sunday and renege on the country's reform program and euro sales on soft EUR/GBP cross. But the EUR sentiment is soothed by the stronger-than-expected rise in Germany ZEW indicator of economic sentiment to 48.4 in January from December's 34.9 (versus forecast 40.3). EUR/USD losses are also tempered by the euro demand on buoyant EUR/JPY cross amid subdued risk aversion and the weak yen sentiment.


Technical comment:

Daily chart is negative-biased as MACD is bearish, stochastics stay suppressed at oversold levels, five- and 15-day moving averages are declining.


Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as far as it remains below the pivot point. Short positions are recommended with the first target at 1.1515. A break of this target will move the pair further downward to 1.1450. The pivot point stands at 1.1665. 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. According to that scenario, a long position is recommended with the first target at 1.1720 and the second target at 1.1795.


Resistance levels:

1.1720

1.1795

1.1845

Support levels:


1.1515

1.1450

1.1415


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Technical analysis of USD/CHF for January 21, 2015

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Fundamental overview:
USD/CHF is expected to trade in a range. The pair is undermined by franc demand on cross trades versus major currencies. But USD/CHF downside is limited by broadly firmer dollar undertone (ICE spot dollar index last 93.00 versus 92.58 early Tuesday), negative Swiss interest rates, and threat of SNB CHF-selling intervention. However, the USD sentiment is dented by lower-than-expected U.S. January NAHB housing market index of 57 (versus forecast 58).


Technical comment:
Daily chart is mixed as MACD is in bearish mode, but stochastics is neutral.


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 0.8840 and the second target at 0.8910. In an alternative scenario, if the price moves below its pivot points, short posisitions are recommended with the first target at 0.8550. A break of this target would push the pair further downwards and one may expect the second target at 0.8445. The pivot point is at 0.8685.


Resistance levels:

0.8840

0.8910

0.8975


Support levels:

0.8550

0.8445

0.84


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Technical analysis of NZD/USD for January 21, 2015

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Fundamental overview:
NZD/USD is expected to trade in a lower range. Kiwi sentiment is dented by the lower-than-expected New Zealand 4Q CPI of -0.2% on-quarter (versus forecast -0.1%); weaker 1.0% rise in Fonterra's GDT Price Index at latest Global Dairy Trade auction versus the 3.6% increase at its previous auction. NZD/USD is also weighed by the broadly firmer dollar undertone and Kiwi sales on buoyant AUD/NZD cross. But NZD/USD losses are tempered by the subdued risk aversion and NZD-USD yield differential.


Technical comment:

Daily chart is negative-biased as MACD and slow stochastic indicators are bearish.


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 0.7620. A break of this target will move the pair further downward to 0.7605. The pivot point stands at 0.77. 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. According to that scenario, a long position is recommended with the first target at 0.7765 and the second target at 0.7815.


Resistance levels:

0.7765

0.7815

0.7845

Support levels:


0.7620

0.7605

0.7575


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Technical analysis of EUR/USD for January 21, 2015

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When the European market opens, no economic data will be released from the Euro Zone. But the US will publish some economic reports such as the Housing Starts and Building Permits. So, amid the reports, EUR/USD will move with low to medium volatility during this day.


TODAY TECHNICAL LEVELS:


Breakout BUY Level: 1.1607.


Strong Resistance:1.1600.


Original Resistance: 1.1589.


Inner Sell Area: 1.1578.


Target Inner Area: 1.1578.


Inner Buy Area: 1.1524.


Original Support: 1.1513.


Strong Support: 1.1502.


Breakout SELL Level: 1.1495.


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 January 21, 2015

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In Asia, Japan will release the BOJ Press Conference, All Industries Activity m/m, and Monetary Policy Statement. The US will publish some economic reports such as Housing Starts and Building Permits. 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: 119.01.


Resistance. 2: 118.78.


Resistance. 1: 118.55.


Support. 1: 118.26.


Support. 2: 118.03.


Support. 3: 117.80.


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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Daily analysis of USDX for January 21, 2014

The Union State Address at the United States by their president, Barack Obama, will be an event that will help to give a more evident “north” to the USDX, because at the moment, this instrument is trying to perform a breakout at the resistance level of 93.02, as we can see it on the daily chart after a development of one bullish pattern. The next target would be the 94.18 level.


USDXDaily.png

During the last American's session, the USDX got to stay above the support level of 92.88 with a higher high pattern formation. The USDX is still respecting the bullish trend line next to the support level of 92.88. Currently, the short-term bias for the USDX would be the level of 93.22, where this instrument could find strong resistance. We'll be waiting for a breakout at that zone.


USDXH1.png

Daily chart's resistance levels: 93.02 / 94.18


Dailychart's support levels: 91.88 / 90.28


H1 chart's resistance levels: 93.22 / 93.65


H1 chart's support levels: 92.88 / 92.55




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 93.22, take profit is at 93.65, and stop loss is at 92.79.


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Daily analysis of GBP/USD for January 21, 2015

The financials markets in the United Kingdom are waiting for the BoE minutes that will be published today at 09:30 GMT, no suprises are expected in their statement. However, from the technical view on the daily chart, the GBP/USD pair is waiting for a momentum, bullish or bearish, above the resistance level of 1.5247 or below the support level of 1.5025.


GBPUSDDaily.png

On the H1 chart, there was an interesting price action during Tuesday's session, because the GBP/USD pair found dynamic resistance at the 200 SMA, which is currently neutral. Now, this pair is trying to fall again to the support level of 1.5128. The bias remains bearish, because the MACD indicator is on the negative territory and a breakout at the 1.5128 level would open the way for more falls until the 1.5084 level.


GBPUSDH1.png

Daily chart's resistance levels: 1.5247 / 1.5424


Dailychart's support levels: 1.5025 / 1.4821


H1 chart's resistance levels: 1.5169 / 1.5251


H1 chart's support levels: 1.5128 / 1.5084




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 1.5128, take profit is at 1.5084, and stop loss is at 1.5172.


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Daily analysis of major pairs for January 21, 2015

EUR/USD: This is a weak market and the recent bullish attempt in it was being thwarted by bearish effort. The price is currently below the resistance line at 1.1550 and it may reach the support line at 1.1500.


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USD/CHF: The outlook on this special market remains unchanged. When the USD/CHF pair dropped like a stone last week, the EUR/USD pair ought to spike skywards, since they are negatively correlated in a normal condition. The latter was not affected, and both pairs cannot remain bearish for a long time (and the USD is strong in its own right). USD/CHF would, therefore, move upwards by at least, 500 pips this week.


2.png

GBP/USD: In spite of some obvious efforts by bulls to push the price upwards, the USD is still able to prove it is stronger than the GBP. While the GBP is rising somewhere else, it is falling against the USD and it may reach the accumulation territory at 1.5050.


3.png

USD/JPY: Since it tested the demand level at 116.00, the USD/JPY pair has moved upwards by over 250 pips, trading above the demand level at 118.50. The price is expected to keep on going upwards, closing above the supply level at 119.50. This view is supported by the Bullish Confirmation Pattern on the chart.


4.png

EUR/JPY: Like a few other JPY pairs, the EUR/JPY cross is trying to move upwards. The market has moved upwards this week by more than 200 pips; yet the long-term outlook is bearish. While the price is above the EMA 11, it is still below the EMA 56. Although the RSI period 14 is above the level 50, things will not really turn bullish until the price crosses the supply zone at 138.50 to the upside.


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Technical analysis of EUR/USD for January 21, 2015

eurusdm30.png



Overview :



  • The minor support of the EUR/USD pair is going to set at 1.1485. And this level is going to represent the weekly support 1. But the second support had already set at the price of 1.1457. We sould consider the following important notice: the price hit the weekly pivot point and all supports because the market went through a high volatility last week. We expect a bearish market from the weekly pivot point at 1.1632. So, according to the previous events, the price of the EUR/USD pair is going to move between 1.1636 and 1.1480. Sell below the level of 1.1632 with the first target at 1.1555, then it will be continued towards 1.1485 to test the major support today. Also, it should be noticed that the double bottom will set at the same price of the major support (1.1485).



eurusdh1.png

Notes :



  • Check out the market volatility before investing, because the sight price may have already been reached and scenarios might have become invalidated.

  • Additionally, the stop loss should always be taken in account. Therefore, it will be very safe to set your stop loss at the price of 1.1660.



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

Technical analysis of GBP/USD for January 21, 2015

gbpusdh1.png

Trading recommandations :



  • The GBP/USD pair has still been trapped between the levels of 1.5218 and 1.5063. The level of 1.6163 is representing the weekly pivot point. Also, it should be noted that the weekly pivot point is coinciding with the ratio of 50% Fibonacci retracement levels. So, sell below the level of 1.5218 in the short term with the first target of 1.5103, it might resume to 1.5063 in order to test the weekly support 1. Moreover, if the trend manages to break the weekly support 1 at 1.5063, then the trend will continue towards the double bottom at the level of 1.5036.


Observations :



  • The market was in a downtrend. Moreover, the trend was so clear because the price moved higher to 1.5200; but the price of the GBP/USD pair has been rebounding lower towards the level of 1.5140.

  • The double bottom is set at the price of 1.5036.

  • We expect a range of 275 pips this week. The last range was 193 pips.

  • The level of 1.5252 is the key level to confirm the bullish market.

  • It should be noted that if there is no significant news to influence, the market price will be moving from the pivot point to resistance 1 or support 1. But if there is a significant news, 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.

  • If the trend is of an upside character, then the strength of the currency will be defined as following: GBP is an uptrend and USD is a downtrend.

  • The stop loss should never exceed your maximum exposure amounts.


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Technical analysis of GBP/JPY for January 20, 2015

GBPJPYM30.png

Fundamental overview:
GBP/JPY is expected to trade in a higher range. It is supported by the subdued investor risk aversion and demand from Japan's importers. But GBP/JPY gains are tempered by the Japanese exporter.


Technical comment:
The daily chart is still negative-biased as the MACD is bearish, stochastics stays suppressed at oversold levels, five- and 15-day moving averages are declining.


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 180.90 and the second target at 181.65. In an alternative scenario, if the price moves below its pivot points, short posisitions are recommended with the first target at 177.50. A break of this target would push the pair further downwards and one may expect the second target at 176.94. The pivot point is at 178.25.


Resistance levels:

180.90

181.65

182.35


Support levels:

177.50

176.95

176.45


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