Intraday technical levels and trading recommendations for GBP/USD for May 4, 2015

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Significant SUPPLY levels located around 1.5300 (weekly 38.2% Fibonacci level) and 1.5500 (weekly 50% Fibonacci level) have been providing significant bearish pressure over the GBP/USD pair for a few months.

Evident bullish recovery emerged off the price levels near 1.4550 where a significant bullish engulfing weekly candlestick was expressed.

As mentioned in the previous articles, persistence above the zone of 1.5000-1.5080 exposed the weekly supply zone at 1.5500-1.5550 (roughly corresponding to weekly 50% Fibonacci level).

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Sideways movement with slight bearish tendency was expressed on the daily chart until a bullish breakout took place above 1.4970-1.5000 (via a Full-body bullish candlesticks).

The price zone of 1.5000 to1.5050 (daily 38.2% and 50% Fibonacci levels) constitutes a prominent DEMAND level for the GBP/USD pair. Hence, it will probably offer a valid buy entry at retesting.

On the other hand, daily closure below the level of 1.4970 invalidates the ongoing bullish scenario giving more time for indecisive sideway movement.

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Intraday technical levels and trading recommendations for EUR/USD for May 4, 2015

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The market was pushed lower after breaking below the major demand levels around 1.2100 and 1.2000 where historical bottoms were previously established back in July 2012 and June 2010.

The EUR/USD pair lost almost 1500 pips since the beginning of 2015. Moreover, EUR/USD bears have already pushed the market slightly below the monthly demand level at 1.0550 (established on January 1997).

The previous monthly closure had a negative impact on the EUR/USD pair. However, April's monthly candlestick came as a bullish engulfing candle.

This may hinder further bearish decline for some time. On the other hand, it may enhance a short-term bullish corrective movement towards 1.1350 initially.

On the long-term, bearish breakdown of the monthly demand level of 1.0550 should not be excluded as long-term breakout target is roughly projected towards the level of 0.9450.

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The obvious bearish breakout of the weekly demand level at 1.1100 enhanced the bearish side of the market exposing lower targets.

Full projection targets of the Flag pattern were successfully reached at 1.0800 and 1.0500.

After such a long bearish rally (which started around the levels of 1.1300), bullish rejection was expressed at 1.0570 (monthly demand level).

The price zone between 1.0750 and 1.0800 failed to neutralize the ongoing bullish momentum. Instead of it, an ascending bottom was established around the level of 1.0750.

This applied a strong bullish pressure to the level of 1.1050, exposing the DAILY supply zone at 1.1150-1.1240 where bearish rejection was expressed by the end of last week.

The current daily candlestick closure should be considered for further price analysis. Daily closure below 1.1110 pauses the ongoing bullish momentum in the short term.

Note that the nearest DEMAND levels of the EUR/USD pair are located at 1.1050 and 1.1000.

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Technical analysis of USD/JPY for May 04, 2015

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Fundamental outlook:
USD/JPY is expected to consolidate with bullish bias after hitting almost the three-week high of 120.29 on Friday. Today, liquidity is thin in Asia and Europe as financial markets in Japan and the UK are closed for public holidays. USD/JPY is underpinned by broadly firmer dollar undertone (ICE spot dollar index last 95.25 versus 94.84 early Friday) and higher U.S. Treasury yields (10-year at 2.117% versus 2.044% late Thursday). The pair is also affected by the comment of Fed's Mester that she is not yet willing to rule out supporting a rise in rates at central bank's June policy meeting despite data showing a very weak start to growth in 2015. Ms. Mester said that when it comes to boosting rates off their current near zero levels, "all meetings are on the table." USD/JPY is also supported by the ultra-loose Bank of Japan's monetary policy and reduced safe-haven appeal of the yen as global risk sentiment improves (VIX fear gauge eased 12.71% to 12.7; S&P 500 closed up 1.09% at 2,108.29 Friday). But USD sentiment is dented by the surprise on-month drop of 0.6% in the U.S. March construction spending (versus forecast +0.5%), and weaker-than-expected U.S. April ISM manufacturing PMI of 51.5 (versus forecast 52.0). USD/JPY gains are tempered by the buy-yen orders from Japan's exporters.

Technical comment:
The daily chart is positive-biased as stochastics is bullish, the MACD histogram bars are turned positive. Five-day moving average is rising above 15-day moving average.

Trading recommendations:
The pair is trading above its pivot point. It is likely to trade in a wider range as long as it remains above its pivot point. As long as the price holds above its pivot point, long positions are recommended with the first target at 120.50 and the second target at 120.80. In the alternative scenario, if the price moves below its pivot points, short positions are recommended with the first target at 1119.20. A break of this target is likely to push the pair further downwards, and one may expect the second target at 118.75. The pivot point is at 119.55.

Resistance levels:
120.50
120.80
121.45

Support levels:
119.20
118.75
118.30

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EUR/NZD analysis for May 04, 2015

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Overview:

Recently, EUR/NZD has been trading upwards. As we had expected, the price tested the level of 1.4898 in a volume below the average. The short-term trend had changed from bullish to neutral. Be careful when buyingh at this stage since we may see bearish correction. According to Fibonacci expansion, the next bullish objective point is at the price of 1.5000 (Fibonacci expansion 161.8%). According to the daily time frame, we can observe demand in a volume below the average. I have placed Fibonacci retracement to find potential support levels. I got Fibonacci retracement 38.2% at the price of 1.4620, Fibonacci retracement 50% at the price of 1.4535 and Fibonacci expansion 61.8% at the price of 1.4450.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.4890

R2: 1.4935

R3: 1.5010

Support levels:

S1: 1.4745

S2: 1.4700

S3: 1.4625

Trading recommendations: Be careful when selling EUR/NZD and watch for potential buying opportunities after a retracement.


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Gold analysis for May 04, 2015

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Overview:

Since our last analysis, gold has been trading downward. The price tested the level of $1,169.74. I am waiting for a clear direction and stong volume. According to the daily time frame, we can observe supply in a volume below the average (weak supply), which is a sign that selling at this stage looks risky. Our Fibonacci retracement 61.8% (support) at $1,174.00 was held successfully. Major resistance is seen around the level of $1,220.00. The short-term trend is neutral. According to the H4 time frame, we can observe supply in a high volume but with very weak price action (hidden buying). I placed Fibonacci expansion to find potential resistance levels and got Fibonacci expansion 61.8% at $1,220.00, Fibonacci expansion 100% at $1,250.00, and Fibonacci expansion 161.8% at $1,300.00. Anyway, if the price breaks the level of $1,175.00 in a high volume, we may see potential testing of the level of $1,148.00 (swing low like support).

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,178.80

R2: 1,179.35

R3: 1,180.90

Support levels:

S1: 1,177.00

S2: 1,176.20

S3: 1,175.00

Trading recommendations: I am neutral about gold. Anyway, selling looks risky around the price of $1,174.00 (Fibonacci retracement 61.8%). Watch for potential buying opportunities if you see a clear sign of strength.


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Technical analysis of USD/CHF for May 04, 2015

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Fundamental overview:
USD/CHF is expected to consolidate after hitting the two-month low of 0.9335 on Wednesday. The pair is ndermined by the negative dollar sentiment and franc demand on retreating the EUR/CHF cross. But USD/CHF downside is limited by the negative Swiss interest rates and threat of the Swiss National Bank to carry out CHF-selling intervention.

Technical comment:
The daily chart is still negative-biased as the MACD and stochastics are bearish, although the latter one is at oversold levels. 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 long as it remains below the pivot point. Short positions are recommended with the first target at 0.9290. A break of that target will move the pair further downwards to 0.9220. The pivot point stands at 0.9420. 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, long positions are recommended with the first target at 0.9500 and the second target at 0.9575.

Resistance levels:
0.95
0.9575
0.9620

Support levels:
0.9290
0.9220
0.9175

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Technical analysis of NZD/USD for May 04, 2015

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Fundamental overview:
NZD/USD is expected to trade with bearish bias after hitting the three-month high of 0.7744 on Wednesday. Kiwi sentiment is weak as the Reserve Bank of New Zealand held its interest rate at 3.5% as widely anticipated and kept the door open for a possible rate decrease, and Fonterra cut its forecast milk solid payout to 10,600 farmer shareholders to NZ$4.50 per kilogram of milk solids in the current season. NZD/USD is also weighed by kiwi sales on the buoyant AUD/NZD cross, soft dairy prices, and subdued investor risk appetite. But NZD/USD losses are tempered by the negative dollar sentiment.

Technical comment:
The daily chart is mixed as the MACD is bullish, but stochastics is turning bearish near overbought levels.

Trading recommendations:

The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 0.7490. A break of that target will move the pair further downwards to 0.7435. The pivot point stands at 0.7585. 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, long positions are recommended with the first target at 0.7665 and the second target at 0.7700.

Resistance Levels:
0.7665
0.77
0.7740

Support levels:
0.7490
0.7435
0.74

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Technical analysis of GBP/JPY for May 04, 2015

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Fundamental outlook:
GBP/JPY is expected to consolidate with bearish bias as markets await the BOJ monetary policy decision. GBP/JPY is undermined by the reduced investor risk appetite and Japan's exports. But GBP/JPY downside is limited by the demand from the Japanese importers.

Technical comment:
The daily chart is still positive-biased as the MACD and stochastics are bullish, although the latter one is at overbought levels. Five-day moving average is above 15-day moving average and is advancing.

Trading recommendations:
The pair is trading below its pivot point. It is likely to trade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 180.75. A break of that target will move the pair further downwards to 180. The pivot point stands at 182.40. 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, long positions are recommended with the first target at 183 and the second target at 184.50

Resistance levels:
183
184.50
185

Support levels:
180.75
180
179.35

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Daily analysis of USDX for March 04, 2015

The USDX is already finding strong support at the level of 95.00 and we can see that the bearish correction on the daily time frame could have been finished because the psycological zone is very strong. Anyway, we recommend to remain cautious as the only confirmation of this outlook will come when the index breaks the resistance level of 97.29.

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During the last Friday, the USDX was rejected by the support zone of 94.70 and now it is trying to reach the 200 SMA in the near term on the H1 chart. In the upside, the USDX could find resistance at the levels of 95.87 and 96.23. Also, we could start to see some pullbacks in the road, but the bullish momentum's risk is still alive.

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Daily chart's resistance levels: 96.30 / 97.29

Dailychart's support levels: 95.00 / 93.95

H1 chart's resistance levels: 95.87 / 96.23

H1 chart's support levels: 95.34 / 94.70



Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USD Index breaks with a bearish candlestick; the support level is at 95.34, take profit is at 94.70, and stop loss is at 95.99.

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Daily analysis of GBP/USD for May 04, 2015

The GBP/USD continues to trade lower below the resistance level of 1.5238 and the focus remains located at the support zone of 1.5007. The pullback made near the 200 SMA on the daily chart formed a fractal. So it could offer a new bearish journey in progress for the medium and long term. The MACD indicator is also at the overbought territory.

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A lower low pattern formation is taking place below the 200 SMA and the resistance zone of 1.5155 on the H1 chart. The nearest target in the downside is located at the support level of 1.5102. If GBP/USD achieves and makes a breakout in that zone, it would be expected to fall to the level of 1.5060 and the bearish bias could strenghten in the short term.


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Daily chart's resistance levels: 1.5238 / 1.5371

Dailychart's support levels: 1.5007 / 1.4874

H1 chart's resistance levels: 1.5155 / 1.5217

H1 chart's support levels: 1.5102 / 1.5060



Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.5155, take profit is at 1.5217, and stop loss is at 1.5090.

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Technical analysis of EUR/JPY for May 4, 2015

General overview for 04/05/2015 11:00 CET

After hitting the wave C of B top at the level of 135.26, the market reversed quite sharply to the downside and now it is trading at the key intraday support at the level of 133.69. Any breakout lower would support the indication that the top for the wave B is in place and test of the level of 131.27 is due. Please note that only a sustained breakout below this level would be a real game changer for this market as the price would have entered the neutral zone below the weekly pivot again. On the other hand, the level of 134.82 looks like the intraday resistance level and it should put a cap on any rally to the upside.

Support/Resistance:

135.26 - Swing High

134.82 - Intraday Resistance

133.69 - Intraday Support|Key Level|

133.32 -Weekly Pivot

131.43 - WS1

131.27 - Technical Support

Trading recommendations:

As long as the level of 135.26 is not violated, the daytraders and swingtraders should consider opening sell orders from the current price levels with SL above the level of 134.83 and TP at the level of 132.89 with a possible extension downside to the level of 131.27 later this week.

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Technical analysis of USD/CAD for May 4, 2015

General overview for 04/05/2015 10:20 CET

The market is still trying to make higher highs after bouncing from monthly Fibonacci support level at the level of 1.2023, but the real resistance is the zone between the levels of 1.2325 - 1.2351. Only a sustained breakout above this level would be considered as a mid-term bullish wave progression. On the other hand, any new low below the level of 1.1944 invalidates the bullish scenario.

Support/Resistance:

1.1944 - Swing Low

1.2029 - WR1

1.2115 - Weekly Pivot

1.2132 - Intraday Support

1.2202 - Intraday Resistance

1.2286 - WR1

Trading recommendations:

Buy orders opened last week should be still kept open as the market approaches the key resistance at the level of 1.2325. A higher breakout means another buy orders should be opened with SL below the swing low at the level of 1.1943.

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#USDX technical analysis for May 4, 2015

The US dollar index is bouncing towards the 38% Fibonacci retracement. This is an important short-term resistance. The H&S target has not been reached yet, so we assume that this bounce will be temporary before a new lower low. A downward reversal is expected from 96 or 97.

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Green line = H&S neckline resistance

Blue lines = H&S target projection

The 4-hour chart shows that the price is bouncing. Resistance by the yellow line/kijun-sen is at 95.70; and by the 38% retracement, at 96. So this area is an important resistance. If it is broken, we could see a push towards the cloud and the level of 97. As long as the price is below the cloud, the medium-term trend is bearish. Support is found at 94.40. If it is broken, we go towards our H&S target of 93.

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According to the monthly chart, support is at 91.50 and at 89. Resistance is at 101.70 (61.8% Fibonacci retracement). The US dollar index has made a huge breakout above the Ichimoku cloud last year and, I believe, the 61.8% retracement will be achieved after this pullback is over.

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Gold technical analysis for May 4, 2015

Gold price remains above the support area of $1,180-75. Today we could see a bounce towards the short-term resistance of $1,200, but the trend remains unclear as the trading range remains unbroken. I prefer to be neutral in the short term, while my longer-term outlook remains bearish.

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Gold price is below the Ichimoku cloud in the 4-hour chart. The short-term trend is bearish. Resistance by the cloud and the 61.8% retracement is at the area of $1,200. Support is at $1,170 where we saw a low last week. The price bounced quickly from that area but remains fragile. Breaking above $1,200 will be a sign of strength for bulls.

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The weekly chart remains bearish especially after last week's long-tailed candle after the second rejection by the kijun-sen. The weekly chart remains below the cloud resistance and still below the 50% retracement. Huge support is at $1,130. If it is broken, I expect the level of $1,000 to be reached.

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Technical analysis and trading recommendations on Gold for May 04, 2015

The yellow metal edged lower and probably made a double top at $1,214.70. At yesterday's session, the metal managed to made a higher low at $1,178.00 on a closing basis, but intraday it made a low at $1,169.70. The previous low was at $1,174.90 and then rounded to $1,174.00. The FOMC meeting delivers a hawkish tone on the US economy. The first quarter slow growth was a temporary event. It makes the traders consider booking profits. At yesterday's session, the US jobs data surpassed expectations.That was the lowest level for initial claims since April 15, 2000. This factor as well added more pressure on the metal and turned the bullish signals on the US economy. The technical resistance seems at $1,191.00 50Dsma, $1,198.00 20Dsma, and $1,200.00 uneconomical level. The daily RSI and stochastic indicated bearish signals. We recommend fresh selling below $1,174.00 with targets at $1,167.00 and $1,164.00 initially. The price has been consolidating for 4 weeks between $1,178.00 and $1,223.00. Finally, it gave the break on the downside and made a double bottom on the four-hour chart and changed the direction. The current trading pattern is formed between $1,174.00 and $1,200.00. Until the price closes below $1,200.00, the probability of another break on the lower side is high. At the intraday session, we recommend buying above $1,185.00 with small targets at $1,190.00, $1,192.00, and $1,195.00. In the latter case, it can retest $1,197.00 and $1,200.00. Intraday support is seen between $1,177.50 and $1,176.50. From my viewpoint, the price has been making a base at $1,175.00. On the daily chart, lower highs are being formed. The weekly trading pattern is framed between $1,174.00 and $1,215.00. Weekly strong support is found at $1,166.00. If the price closes below 1166.00, we can expect a fresh 2015 low around $1,135.00.

Trade: buying above $1,185.00.

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Technical analysis and trading recommendations on USDX and USD/JPY for May 04, 2015

The USD index moved higher and probably made a double top at 94.40. The trading pattern is framed between 95.45 20Wsma and 94.40. The 100Dsma pushed the index higher. The 100FE seems at 95.70 and swing low seems at 96.17. Until the price closes below 96.17, selling on a rise is preferable this week. The weekly trend is framed between 94.40 and 96.17. The 20& 50Dsma seems at 97.40 (rounded). The daily momentum indicators favor a pullback. The USD index softened more after the FOMC meeting. The March strong tone was missing at the April meeting. The US Fed stated the labour market improved in March, but in April it was moderated. Economic growth in March was modest, but in April it was subdued. The US flash GDP in Q1 2015 was 0.2%, but in the Q4 2014 it was 2.2%. Literally the US economy is stalled.

USD/JPY

Technical view: The pair paused for 2 weeks in a row and managed to close above 20Wsma. The pair has support at 119.30 or 20Wsma. This month the pair opened with a bullish bias. At Friday's session, the pair made a double top on the four-hour chart at 120.29. We recommend fresh buying only above the double top. We still recommend buying with sl 118.20 100Dsma for a couple of weeks and moving SL at 119.20. At Friday's session, we recommended selling below 118.50, but the pair made a low at 118.50 and changed the direction. The pair managed to close above 20Dsma and 100Sma, but bearish crossover is still active. The pair has the nearest parallel resistance at 120.30. Another big spikes are available above 120.30 towards 120.85 which is a trend change level. If the pair closes above 120.85, bulls can bet on a new high at 122.50. Today, the pair opened on a bearish note. On the downside, the support is found at 119.90 or 50Dsma and 119.50 and 119.30.

The 100Dema is found at 118.30. Intraday support is seen at 119.90, besides mild support is found at 119.50.

Trade: fresh buying is above 120.30, positional traders move SL to 119.90.

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Technical analysis and trading recommendation of GBP/USD for May 04, 2015

The cable has stepped into a big event this week. Today the bank holiday on account of May day and Thursday's election are the major events. The cable erased its weekly gains and closed with losses. The parallel resistance at 1.5550 shows the strength again. But finally the cable managed to close above 20Wsma. This event took place after 38 weeks. Today at the Asian, session the pound is trading higher against the USD and is capable of holding above 20Wsma 1.5110. Ahead of the UK's election on Thursday, the pound is trading higher against the USD. Initially, we expected the pound to be under pressure, but the soft USD allows the cable to fly high. From the April low's, the cable rose more than 900 pips. At yesterday's session, the cable edged lower and probably made a double top at 1.5498. The strong resistance seems at a 1.5550 previous swing high on the daily chart and 200Dema. Though the cable closed above 20&50Dsma, bullish crossover has not taken place yet. The cable managed to recover the March losses in April. At Friday's session, the cable drifted below 100Dsma, favoring bears. The pair has the nearest support at 1.5100. Strong support is seen at 1.5000 50& 20Dsma.

Key support levels:

20WSMA 1.5100, 50DSMA & 20DSMA 1.5000

Resistance levels:

200DSMA1.5550, 200DEMA 1.5683. A double top at 1.5498 is rounded to 1.5500, 100DEMA at 1.5225,and 100DSMA at 1.5165.

The above technical levels have provided, ahead of big event- UK's election. We expect wild moves in this week.

Intraday view: The cable shifted from lower lows to lower tops on the hourly chart after April 20. A double top was formed at nearly 1.5500. The trading pattern is framed between 1.5500 and 1.5000. For risky traders, we recommend buying above 1.5330 with targets at 1.5385, 1.5400, and 1.5390. Bulls can challenge 1.5550 in case the double top is breached, fut the chances are remote. On the bearish front, we recommend selling below 1.5100 with targets at 1.5060 and 1.5000. If a daily close is below 1.5000, real panic will be triggered. The pair broke a 3-week ascending trend line and closed below it. This is not a good sign to bulls.

Trade: selling below 1.5100.

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Technical analysis and trading recommendations on EUR/USD for May 04, 2015

The pair exactly touched the 100Dema and changed the direction. In our Friday's article we recommended positional selling with sl 1.1250 on a weekly closing basis or intraday selling with sl 1.1315. The pair made a high at 1.1298 and drifted to 1.1175. Today at the Asian session, the pair was rejected at 20Wsma once again trading at 1.1194 compared to Friday's closing at 1.1198. The pair managed to hold above a 2-month high. On the weekly chart, the pair gave an upside break of 590 pips. It's a pure technical view. In the fundamental aspect, the pair is weak due to divergence between the ECB and Fed policies. On the daily chart, the nearest resistance seems between 1.1290 and 1.1310 100Sama and 100Dema respectively. If the price manages to close above 1.1310, bulls can extend their rally towards 1.1400, 1.145, and 1.1530. Until the price closes above 1.1310, the situation favours bears. Maybe some intraday pullbacks will be possible. The soft USD has been supporting the euro bulls. The pair's support is found at 1.1175, 1.1100, 100.00 FE and crucial support zone between 1.1050 and 1.1030. Before the price closes above 1.1310, we expect bears to drag the pair towards 1.1100 or 1.1050. In case of a daily close below 1.1050, bears take the complete control towards 1.0875. This week's pattern is framed between 1.1050 and 1.1310.

Intraday view: On the one-hour chart, 5 days later the pair gave a lower low formation. If the price closes below 1.1200 today as well, we can conclude the weekly trend was capped at 1.1300. From an intraday view, we recommend selling below 1.1175 with targets at 1.1115, 1.1100, and 1.1070. The trend change level are seen between 1.1050 and 1.1030 (median 1.1040 34hrsma). For bulls, small buying trade is possible above 1.1220 with targets at 1.1250 and 1.1290.

Upcoming events: Traders eye Spainish, Italian, and German manufacturing PMIs. Except Spain, we expect the positive readings from the rest. On Friday, Spain gave better readings than France and Germany. If the revised figures support the euro, bulls can paint spikes up to 1.1300, not beyond that I guess. US factory orders report is due today. In April, the factory orders reversed to positive. If the same repeats, another intraday panic towards 1.1100 will be possible.

Trade: Selling below 1.1175

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Technical analysis of EUR/JPY for May 04, 2015

Technical outlook and chart setups:

The EUR/JPY pair might be looking to target 137.00 levels before producing a meaningful retracement lower. The pair has clearly broken out of the resistance trend line as depicted here and entered into the buy zone for now. It is recommended to buy on dips from here on. Immediate support is seen at 131.50 levels, followed by 129.00, 127.50 and lower while resistance is seen at 136.00 levels, followed by 137.00 and higher respectively. The pair is expected to correct at least to 131.00 levels before resuming its rally.

Trading recommendations:

Flat for now. Looking to buy on dips.

Good luck!


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Technical analysis of GBP/CHF for May 04, 2015

Technical outlook and chart setups:

The GBP/CHF pair has dropped to 1.4100 levels and pulled back forming an engulfing bullish candlestick pattern. It indicates that short-term rallies can be expected from here towards at least 1.4300/1.4450 levels before the pair could turn back lower again. It is recommended to stay flat for a while and look to sell rallies into 1.4450 levels. Immediate support is seen at 1.4100 (interim), while resistance is seen at 1.4300/1,4450, 1.4700 and higher respectively. Bulls could be poised to take control at least to 1.4400/50 levels from here.

Trading recommendations:

Remain flat for now. Look to sell higher again.

Good luck!


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Technical analysis of Silver for May 04, 2015

Technical outlook and chart setups:

Silver seems to be looking to rally towards $18.40/50 levels at least, after having tested lows at $15.80 levels again last Friday. The metal is still preferred to buy on dips with bulls poised to push it higher till prices stay above $15.60 levels. It is therefore recommended to remain long, with risk at $15.30 levels for now. Immediate support is seen at $15.60 (interim) levels, followed by $15.30 and lower while resistance is seen at $16.70/80 (interim) levels, followed by $17.40/50, $18.40/50 and higher respectively.

Trading recommendations:

Remain long, stop at $15.30, a target is open.

Good luck!


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Daily analysis of major pairs for May 4, 2015

EUR/USD: This pair moved upwards strongly in the most part of last week. The pair moved upward by at least 400 pips. While more bullish journey cannot be ruled out, this would depend on the Euro sustaining its stamina, because any weakness in the Euro may cause the market to tumble.

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USD/CHF: As it happened last week, the movement on USD/CHF would largely be determined by what happens to the EUR/USD pair. As long as the latter is strong, the former would be weak. The price is currently below the resistance line at 0.9350, going towards the support line 0.9300 (which was tested last week and might be tested again).

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GBP/USD: This market moved upwards by 300 pips last week, and it later fell by 300 pips. This means that all the bullish gain which was made last week has been forfeited. Any movement below the accumulation territory at 1.5000 would result in a bearish bias.

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USD/JPY: The USD/JPY pair has been able to maintain its recent bullish signal. The bullish signal started on April 30, 2015, and the price has now crossed above the demand level at 120.00. The supply levels at 120.50 and 130.00 can also be tested. However, one thing must be considered: the market might tumble if the Yen becomes strong.

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EUR/JPY: On this cross, there has been an upward movement of 580 pips last week, which is enough to show that the bull has gotten lots of stamina. While the price is still threatening to go further north (owing to the great stamina in the Euro), the trend may change any time in case the Euro becomes weak.

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Technical analysis of Gold for May 04, 2015

Technical outlook and chart setups:

Gold had stopped us out at $1,170.00 levels on Friday before reversing. The metal has bounced off $1,169.00 levels as seen here, which is also the fibonacci 0.618 retracement of the rally between $1,144.00 and $1,225.00 levels respectively. It is recommended to initiate long positions again, with risk at $1,165.00 levels. Immediate support is seen at $1,162.00 levels, followed by $1,144.00 and lower while resistance is seen at $1,215.00 levels, followed by $1,225.00, $1,235.00/45.00 and higher respectively.

Trading recommendations:

Initiate long positions again, stop at $1,165.00, a target is open.

Good luck!


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Technical analysis of EUR/USD for May 04, 2015

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When the European market opens, some economic news will be released such as Sentix Investor Confidence, Final Manufacturing PMI, German Final Manufacturing PMI, French Final Manufacturing PMI, Italian Manufacturing PMI, and Spanish Manufacturing PMI. Besides, the US will release few macroeconomic reports such as the Loan Officer Survey and Factory Orders m/m. So amid the reports, EUR/USD will move with low to medium volatility during this day.


TODAY TECHNICAL LEVELS:


Breakout BUY Level: 1.1241.


Strong Resistance:1.1235.


Original Resistance: 1.1224.


Inner Sell Area: 1.1213.


Target Inner Area: 1.1187.


Inner Buy Area: 1.1161.


Original Support: 1.1150.


Strong Support: 1.1139.


Breakout SELL Level: 1.1133.

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 May 04, 2015

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In Asia, Japan will not release any economic data. However, the US will release some macroeconomic reports such as Loan Officer Survey and Factory Orders m/m. So there is a big probability the USD/JPY will move with low volatility during the Asian session, but with low to medium volatility during the US session.


TODAY TECHNICAL LEVELS:


Resistance. 3: 120.74.


Resistance. 2: 120.51.


Resistance. 1: 120.27.


Support. 1: 119.99.


Support. 2: 119.76.


Support. 3: 119.51.

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

Weekly technical levels for EUR/USD for May 4 - 8, 2015

Overview

  • The EUR/USD pair will set a minor support at the 1.1102 level (a weekly pivot point) considering strong support at 1.0914 which represents the weekly support this week (from the 4th to 8th of May) So, the strong support will set at the spot of 1.0914, 1.1050 and 1.1102 this week. Besides, you have to consider the price of 1.1289 which represents strong resistance and a double top at the same time. Thereupon, we expect a range about 187 pips in the coming days. Just like that, the market will probably indicate a bullish opportunity at the level of 1.1289 and the weekly pivot point will act as minor support around the area of 1.1102. So, according to the previous events, the price is going to move below the level of 1.1289 and above the 1.1102 level.
  • From the source previously mentioned, the area above 1.1234 looks for a further upside move with the first target at the 1.3645 level and continue towards 1.1280.

The weekly technical levels for GBP/USD pair:

Definition:

  • R3 and S3 are considered to be clear indicators of the maximum range of extreme volatility, though it is possible to pass them through. Pivot lines work well on sideways markets, as the prices are most likely to be located between the R1 and S1 lines. Within a strong trend, the price is expected to be lower than the pivot point line and continue the movement. If a breaking news affects the market, the price is likely to go straight through R1 or S1 and even reach R2 and R3 or S2 and S3.
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Weekly technical levels for GBP/USD for May 4 - 8, 2015

The weekly technical levels for GBP/USD pair:

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Overview:

  • The GBP/USD pair has still been moving between resistance and support. These level are set at 1.5248 and 1.5000 respectively. It should be noted that the key price is set at the level of 1.5248 (the weekly pivot point). Equally important, a double top will be formed at the 1.5255 level. As it is known, history will probably repeat itself at this level again. Therefore, it will be a good idea to sell below 1.5255/1.5240 with the first target of 1.5106 in order to test the double bottom. Then, it will call for a downtrend to continue its bearish movement towards 1.5005. At the same time, the stop loss should never exceed your maximum exposure amounts, in consequence the stop loss should be placed above the weekly pivot point at the price of 1.5266.
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Observations:

  • The weekly pivot point sets at the level of 1.5248 (key level).
  • We expect a range of 289 pips at least this week.
  • If the trend is buoyant, then the strength of the currency will be defined as following: GBP is in an uptrend and USD is in a downtrend.
  • As a rule, the market is highly volatile if the previous day or week had huge volatility (368.71).
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Elliott wave analysis of EUR/NZD for May 4 - 2015

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Technical summary:

The strong rally in wave iii higher towards at least 1.4983 and maybe even 1.5180 has developed nicely. In the short term, we are looking for a minor correction towards 1.4758 before the next rally higher to 1.4983 in wave iii. Even if the correction from 1.4895 proves larger than expected, it should just be a matter of time before the impulsive rally to above 1.4895 is seen.

Trading recommendations:

We are long EUR from 1.4645 and will keep our stop at 1.4745, but will move our stop higher to 10 pips below the most recent low if the top at 1.4895 is broken. If you are not long EUR yet, then buy near 1.4895 with the same stop at 1.4745.

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Elliott wave analysis of EUR/JPY for May 4 - 2015

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Technical summary:

The extended rally in red wave iii seems to have peaked between the 261.8% and the 300% extension target of red wave i. We should now be looking for red wave iv. As red wave ii was a simple zig-zag correction, we should expect a shallow but complex correction in red wave iv. A correction that likely will not move lower than the 132.95 - 133.45 area. Once the correction in red wave iv is over, a new rally higher towards 137.40 should be expected to end the first impulsive rally of the 126.02 low.

Trading recommendations:

We are long EUR from 128.85 and will move stop higher to 132.75. If you are not long EUR yet, then but EUR near 133.45 with the same stop at 132.75.

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