EUR/NZD: analysis for May 15, 2015

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Recently, EUR/NZD has been trading sideways around the level of 1.5240. As we expected, the price tested the level of 1.5251 in a high volume. The short-term trend is bullish. Our target at 1.5155 (Fibonacci retracement 50%) has been reached and we can observe the sideways market. According to the daily time frame, demand in a volume just above average. It looks like that major resistance at this stage is around the price of 1.5310 (Fibonacci retracement 50% and strong cluster). If the price breaks the level of 1.5310 (price action resistance), we may see possible testing of the level of 1.5450. Anyway, buying at this stage looks risky since the price is near the critical resistance.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.5260

R2: 1.5320

R3: 1.5410

Support levels:

S1: 1.5075

S2: 1.5020

S3: 1.4930

Trading recommendations: Be careful when buying EUR/NZD at this stage since it is on critical resitance.

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Technical analysis of USD/JPY for May 15, 2015

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USD/JPY is expected to consolidate with risks skewed higher after hitting nine-day low 118.88 on Thursday. It is underpinned by the reduced safe-haven appeal of the yen amid positive risk sentiment (VIX fear gauge eased 7.41% to 12.74; S&P 500 finished up 1.08% at record closing high 2,121.10 overnight) on fewer-than-expected 264,000 US jobless claim in the week ended May 9 (versus forecast 273,000) and signs of stability in bond markets after the recent sell-off as European Central Bank President Draghi reaffirmed his commitment to the massive bond-buying program aimed to stimulate the eurozone's economy. USD/JPY is also supported by the demand from Japan importers and ultra-loose Bank of Japan's monetary policy. But USD/JPY gains are tempered by the Japan export sales and lower US Treasury yields (2-year fell to 0.544% overnight from 0.576%) on surprise 0.4% on-month decline in U.S. April PPI (versus forecast +0.1%); positions adjustment ahead of the weekend.

Technical comment:
The daily chart is still negative-biased as the MACD and stochastics are in bearish mode, five-day moving average is falling below 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 120.15 and the second target at 120.50. In the alternative scenario, short positions are recommended with the first target at 119.05 if the price moves below its pivot points. 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 119.35.

Resistance levels:
120.15
120.50
121

Support levels:
119.05
118.75
118.50

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Technical analysis of USD/CHF for May 15, 2015

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Fundamental overview:
USD/CHF is expected to consolidate with risks skewed higher after hitting a weekly low of 0.9073 on Thursday. It is supported by negative Swiss interest rates and the threat of Swiss National Bank CHF-selling intervention. But USD/CHF gains are tempered by the positions adjustment ahead of the weekend.

Technical comment:
The daily chart is still negative-biased as the MACD and stochastics are in bearish mode.

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 0.9240 and the second target at 0.9295. In the alternative scenario, short positions are recommended with the first target at 0.9060 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 0.8970. The pivot point is at 0.9140.

Resistance levels:
0.9240
0.9295
0.9345
Support levels:
0.9060
0.8970
0.89

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Technical analysis of NZD/USD for May 15, 2015

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Fundamental overview:

NZD/USD is expected to consolidate in lower range after hitting a six-day high of 0.7562 on Thursday. It is undermined by the expectations for interest rate cuts from the Reserve Bank of New Zealand in coming months and weak dairy prices. But kiwi sentiment is soothed by strong data on retail sales in New Zealand in Q1. NZD/USD losses are also tempered by the positive risk sentiment, NZD-USD interest differential, and kiwi demand on retreating AUD/NZD cross and positions adjustment ahead of the weekend.

Technical comment:
The daily chart is mixed as stochastics is rising from oversold levels, but the MACD is still in bearish mode.

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 0.7405. A break of that target will move the pair further downwards to 0.7335. The pivot point stands at 0.7515. 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 0.7560 and the second target at 0.76.

Resistance levels:
0.7560
0.76
0.7650

Support levels:
0.7405
0.7355
0.73

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Technical analysis of GBP/JPY for May 15, 2015

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Fundamental outlook:
GBP/JPY is expected to consolidate with a bullish bias. It is supported by the positive risk sentiment and demand from Japan importers. But GBP/JPY upside is limited by the Japan export sales, sterling sales on buoyant EUR/GBP cross, and position adjustment ahead of the weekend.

Technical comment:
The daily chart is still positive-biased as tha MACD and stochastics are bullish, although latter is at overbought levels, five- and 15-day moving averages are advancing.

Trading recommendations:
The pair trads 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 189.20 and the second target at 189.75. In the alternative scenario, short positions are recommended with the first target at 186.65 if the price moves below its pivot points. A break of this target is likely to push the pair further downwards, and one may expect the second target at 186. The pivot point is at 187.3.

Resistance levels:
189.20
189.75
190.35

Support levels:
186.65
186
185.25

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Gold : analysis for May 15, 2015

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Overview:

Since our last analysis, gold has been trading downwards. The price tested the level of $1,210.84 in a high volume. We can observe demand in a high volume but weak price action in the daily time frame. The short-term trend is bullish. The first major resistance at the level of $1,220.00 is on the test. If the price breaks the level of $1,220.00 in a high volume and strong price action, we may see possible testing of the level of $1,250.00 (Fibonacci expansion 100%). Be careful when selling and watch for potential buying opportunities above the price of $1,220.00. I found support area around the levels of $1,210.00-$1,214.00.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,227.65

R2: 1,231.00

R3: 1,237.40

Support levels:

S1: 1,215.50

S2: 1,211.20

S3: 1,205.50

Trading recommendations: Be careful when selling gold at this stage and watch for potential buying opportunities (buy on dips).


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Technical analysis of EUR/USD for May 15, 2015

Overview:

  • The daily pivot point of the EUR/USD pair is expected to be set at the level of 1.1360. Also, the weekly support is seen at the same level today. Moreover, the major resistances have been already placed at the levels of 1.1380 and 1.1399. Consequently, the market has still been calling for downward because the price has set below the resistances since yesterday. Accordingly, if the trend fails to close above the level of 1.1399, then it will be a good opportunity to sell below 1.1380 with the first target at 1.1327, then it will be continued in downtrend towards 1.1300 in order to test the double bottom (61.8% of Fibonacci retracement levels). On the other hand, the stop loss should always be taken in account because it should never exceed your maximum exposure amounts. Thereby, the best location to set your stop loss is seen above the level of 1.1420 (the daily resistance sets at 1.1399).
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Notes:

  • We expect a new range about 87 pips at least today.
  • The key level will set at the level of 1.1366.
  • Major resistance is set at the level of 1.1399. The support had been already placed at the level of 1.1300.
  • If there is no significant news to influence, the 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.
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Technical analysis of GBP/USD for May 15, 2015

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Overview:

  • Today, · the GBP/USD pair was not stable because the trend rebounded from the level of 1.5814 for that it has been moving between 1.5814 and 1.5725 since yesterday. Accordingly, it is of the foresight to be careful in this area. So, the first step is waiting in this spot before investing. As a result, it will probably be that the GBP/USD pair is going to start showing the signs of bullish market at the level of 1.5725 again. In other words, it will be a good sign to buy above the level of 1.5725 with the first target at 1.5786 in order to test the weekly resistance 1. It will call for the uptrend to continue its bullish movement towards 1.5814 to retest the double top in the H1 chart. At the same time, if the pair could not break 1.5814, the market will indicate a bearish opportunity at the spot of 1.5814. This level will act as strong resistance on May 15, 2015. It is providing a clear signal for sell deals with a target at 1.5720. Moreover, if the trend is able to break minor support at the level of 1.5720, the pair will drop towards the major support at 1.5666. On the other hand, the stop loss should be placed above 1.5837.
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#USDX technical analysis for May 15, 2015

Yesterday, the Dollar index made a short-term reversal to the upside towards 94 but did not manage to move above it. The trend remains bearish in all time frames. Bulls need to step up and push the Dollar index above resistance at 94.20 in order to gain some bullish momentum.

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Red line - broken resistance trend line

Now that the H&S target has been met, we saw an upward push in the index yesterday that broke the short-term downward sloping red trend-line resistance. The index is back testing the recent lows but has the potential to stage a bigger bounce towards the resistance at 94.

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The weekly chart does not look good. The price is below the kijun-sen and the next support is at 92.30 where the 38% retracement is found. A weekly close above 93.75 is likely to be a positive sign for bulls but only a break above 95.30 will confirm the trend reversal. If the week closes below the kijun-sen (yellow line), there will be increased risk for a drop lower towards 92.30.






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Gold technical analysis for May 15, 2015

Gold price made a new short-term high above $1,224 but the upward move did not last. The price is at important weekly resistance levels and it will be hard for bulls to push it higher. Support at $1,212 is important for the short-term trend. I believe we are inside a bearish wedge and the next move Gold price makes will be to the down side towards $1,190.

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Red lines = bearish wedge

Blue lines = expected path of Gold price

Gold is above the Ichimoku cloud and has made a higher high relative to the early April high. Support is found at $1,200 and at $1,190. A daily close near $1,230 will be bullish for the next week and a move towards $1,250-60.

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On a weekly basis, Gold price is testing the cloud resistance and the kijun-sen indicator resistance (yellow line). Bulls control the short-term trend but will need to show more strength in order to break this resistance area. Important weekly support is found at $1,185.

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Technical analysis of EUR/JPY for May 15, 2015

General overview for 15/05/2015 08:50 CET

As anticipated yesterday, the market made a high at the level of 136.41 and then reversed sharply down to the intraday support at the level of 135.29. More downside is expected for this market as long as no new highs are made. The market should break below the level of 135.29 and head lower to test the golden trend-line dynamic support. On the other hand, only a sustained breakout above the local high at the level of 136.41 will be considered bullish and the target for bulls would be at the level of 137.22.

Support/Resistance:

137.22 - WR2

136.41 - Swing High

135.59 - WR1

135.29 - Intraday Support

134.34 - Weekly Pivot

Trading recommendations:

As long as the market trades below the level of 136.41 daytraders would consider opening sell positions only with SL above the level of 136.42 and TP at the level of 135.29. Nevertheless, any break out higher above the level of 136.41 is bullish and daytraders should consider opening buy positions from the level of 136.45, with tight SL (20-30 pips) and TP at the level of 137.22.

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Technical analysis of USD/CAD for May 15, 2015

General overview for 15/05/2015 08:30 CET

As anticipated yesterday, the market has broken through the level of 1.1978 that was intraday support and the key level for bulls. To continue with the impulsive wave progression, the price should bounce from the support level and head higher to the next resistance at the level of 1.2027. Please notice that higher time frames are indicating a possible wave 4 red bottom, but the confirmation will come with the golden trend-line breakout in an impulsive way.

Support/Resistance:

11918 - Swing Low

1.1964 - WS1

1.1978 - Intraday Support

1.2027 - Intraday Resistance

1.2044 - 1.2059 - Supply Zone

Trading recommendations:

The buy orders should be still kept open and the SL should be moved higher to the level of 1.1977.

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Technical analysis of USD/JPY for May 15, 2015

USD/JPY

Unemployment insurance weekly claims: In the week ending May 9, the advance figure for seasonally adjusted initial claims was 264,000, a decrease of 1,000 from the previous week's unrevised level of 265,000. The 4-week moving average was 271,750, a decrease of 7,750 from the previous week's unrevised average of 279,500. This is the lowest level for this average since April 22, 2000 when it was 266,750.

Producer price index - April 2015

The Producer Price Index for final demand fell 0.4 percent in April, seasonally adjusted, the US Bureau of Labor Statistics reported yesterday. Final demand prices moved up 0.2 percent in March and decreased 0.5 percent in February. On an unadjusted basis, the index for final demand declined 1.3 percent for the 12 months ended in April.

USD/JPY

USD has been softening in the recent days. In the lot of USD related pairs, the USD is trading higher against JPY. The recent USD rally against JPY, CAD, SGD, and CHF failed the bullish view in the near term. But only this pair has been sustaining in the structural bullish view. As we expected yesterday, before the price inches above 120.30, it is likely to retest 119.60 and 119.40 today. So, we might see the sub-level at 119.00. The pair made a low at 118.89. The real problem for bulls is found at 118.50 100Dema. The pair is likely to make a double bottom at 118.50 and 118.30. At yesterday's session, we initiated buying in case if we see the pair around 119.00. Buying between 119.00 and 118.60 sl 118.50 closing basis or 118.30 intraday. For today's session, we expect strong momentum above 119.70 towards 120.00 and 120.25 initially. In case of a daily close above 120.85, bulls will aim at 122.00. We have been recommending the same target for a while, but not met yet. Buying above 119.70 is advised anyone who joins bulls' party.

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Technical analysis of USD/CAD for May 15, 2015

The USD related pairs have been correcting for more than 2 months. Except for USD/JPY, pairs were trading almost near 200Dsma/200Dema. USD/CHF is an exception on this view. Today, I am would like to discuss technical perspective on the USD/CAD pair. Both these pairs are trading around 200Dsma. We will go through USD/CAD first. The pair gave a break on the downside following 3 months of consolidation. The strong resistance was found at 1.2350 and 1.1875 200Dema and 1.1763 200Dsma on the down side. The chart looks better for USD/CAD compared with USD/SGD. In the daily chart, the pair has been making minor bottom around 1.1940, whereas strong support is found at 1.1875. Intraday resistance is seen between 1.2005 and 1.2028. Strong resistance is seen at 1.2095 rounded to 1.2100. The near-term reversal takes place in case of a closure above 1.2175 100Dema. We expect bottom to be placed between 1.1900 and 1.1875. In case the price takes out 1.1875, it can extend the sharp correction towards 1.1800/1.1760 where we expect a sharp reversal. In the daily chart, we can observe positive divergence. The bottoming process is a very painful process after a sharp fall in the prices.

Intraday- buy above 1.2010 target 1.2030, 1.2050, 1.2080, and 1.2095

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Technical analysis of EUR/CAD for May 15, 2015

The cross changed its direction at the strong support levels. The cross has been moving northwards for 2 consecutive days. In the daily chart, the pair managed to close above 20 & 50 Dsma. We have been recommending buying this cross. We recommended buying between 1.3450 and 1.3400 with sl 1.3385 with targets at 1.3530, 1.3570, 1.3600, 1.3640, and 1.3680 (May 13th article). The pair made a high at 1.3695. The nearest resistance is seen at 1.3730 100Dema, 1.3765 (the previous high) and 1.3790. In case the price closes above 1.3765, we expect big move looms towards another 200 pips. We had been recommending the same for a while but the break did not happen yet. We expect the cross to make a nominal top around 1.3725 and 1.3790 before moving further. Bulls are likely to aim at the level of 1.4000 later. Traders should keep in mind that bulls must close above 1.3765. We request to book profit at the current levels.

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Technical analysis of GBP/USD for May 15, 2015

GBP/USD

Technical view: The cable moved above a 5-month high. A couple of facts have been supporting the pound in moving higher. The cable made a high at 1.5815. Today at the Asian session, the pound is trading at 1.5762 compared to 1.5775 Thursday's closing against USD. In the four-hour chart, higher highs and higher lows formation are expanding. At Wednesday's session, we recommend fresh buying above 1.5715 (like 1.5830, 1.5860, 1.5900, and finally 1.5975). The cable made a high at 1.5815. In the daily chart, the cable managed to close all the moving averages in all-time intervals. The cable has been trading with big gains for the second consecutive week. The nearest resistance is seen at 1.5835 100Wema and 1.5865 50Wsma.

Key support: 200Dsma 1.5620 200Dema 1.5545.

Intraday view: We expect profit booking at 1.5800/1.5830 and retest towards the support at 1.5560. We expect a near-term top to be placed this week, as 1.5815 high was printed. We expect the cable to test the levels of 1.5550/1.5500. In the hourly chart, the price made a double top at 1.5815. For an intraday view, resistance is seen at 1.5780 and 1.5815. Support is found at 1.5740. Today, multiple trading opportunities are likely to arise. We recommend safe selling below 1.5730. Small trade is available for bulls. Buy above 1.5780 with small targets at 1.5800, 1.5815, and 1.5830.

Trade: On the bullish front, safe buying is above 1.5770 with targets at 1.5800 and 1.5830. We recommend selling below 1.5720 with targets at 1.5700 and 1.5660.

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Daily analysis of USDX for May 15, 2015

The overall correction in favor of a bearish bias is still alive, because the USDX could find immediate support at the level of 92.64. The Index is likely to reach the 200 SMA on daily chart. In that zone, the USDX could perform a dynamic rebound and rally again until new highs. The MACD indicator is still in negative territory.

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The short-term outlook remains bearish, but the support zone of 93.07 is still offering a good bottom for the USDX. That's why we want to see a rebound until the resistance level of 93.85 and a breakout of that zone in order to rally towards the resistance level of 94.70, which is above the 200 SMA on the H1 chart.

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Daily chart's resistance levels: 93.95 / 95.00

Dailychart's support levels: 92.64 / 91.41

H1 chart's resistance levels: 93.85 / 94.70

H1 chart's support levels: 93.07 / 92.37



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 93.07, take profit is at 92.37, and stop loss is at 93.80.

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Daily analysis of GBP/USD for May 15, 2015

GBP/USD remains very strong in the current bullish trend on the daily chart. There is a high probability that the pair will reach overbought levels or, better said, extreme zone. We could expect some sideways moves in the coming days because of it, as the GBP/USD pair could start to do strong pullbacks and the bearish side could take advantage.

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On the H1chart, the GBP/USD pair found strong resistance at the 1.5794 level in a temporary manner. It's expected to fall until the support zone of 1.5706. For now, the pair is trading higher and counter-trend trades are very risky at this point. So it's better to wait for pattern confirmations if you want to trade in favor of the downside. The breakout of the support level of 1.5706 could take place.

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Daily chart's resistance levels: 1.5907 / 1.6060

Dailychart's support levels: 1.5745 / 1.5543

H1 chart's resistance levels: 1.5794 / 1.5882

H1 chart's support levels: 1.5706 / 1.5597



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 1.5794, take profit is at 1.5882, and stop loss is at 1.5706.

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USOIL: more upside potential

AAfter a downtrend throughout January to March 2015, WTI oil was consolidating between 44 and 54 USD a barrel. During that time, WTI formed a triple bottom signaling for a potential reversal to the upside. On April 7, the price broke out above the descending channel confirmed bullish sentiment.

Fibonacci indicator applied to the channel breakout point provided current support levels as well as a potential near-term target. Clearly Fibonacci levels were acting as support. In particular, the price bounced off the S4 (50.24), S2 (55.31) and most recently S1 (58.44). While S1 is holding, buyers should be dominating and WTI might target 0% Fibonacci at R1 (63.50)

Consider buying USOIL near S1 (58.44) targeting the area around R1 (63.50). The most recent support, S1, can be used as a protective stop loss level; although it is better to give a trade some room and place the stop loss slightly lower. A daily close below 58.00 could trigger further correction down, back to the point of the channel breakout – S3 (52.78).

Support: 58.44, 55.31, 52.78

Resistance: 63.50


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Technical analysis of EUR/USD for May 15, 2015

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When the European market opens, the US will release economic data on the TIC Long-Term Purchases, Prelim UoM Inflation Expectations, Prelim UoM Consumer Sentiment, Industrial Production m/m, Capacity Utilization Rate, and Empire State Manufacturing Index. So amid the reports, EUR/USD will move with low to medium volatility during this day.


TODAY TECHNICAL LEVELS:

Breakout BUY Level: 1.1456.

Strong Resistance:1.1449.

Original Resistance: 1.1438.

Inner Sell Area: 1.1427.

Target Inner Area: 1.1400.

Inner Buy Area: 1.1373.

Original Support: 1.1362.

Strong Support: 1.1351.

Breakout SELL Level: 1.1344.



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 15, 2015

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In Asia, Japan will release data for Consumer Confidence with the PPI y/y. The US is expected to release economic data on TIC Long-Term Purchases, Prelim UoM Inflation Expectations, Prelim UoM Consumer Sentiment, Industrial Production m/m, Capacity Utilization Rate, and Empire State Manufacturing Index. So, there is a strong probability that USD/JPY will move with low to medium volatility during a day.


TODAY TECHNICAL LEVELS:

Resistance. 3: 119.87.

Resistance. 2: 119.64.

Resistance. 1: 119.41.

Support. 1: 119.12.

Support. 2: 118.89.

Support. 3: 118.65.


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 EUR/USD for May 15, 2015

The euro managed to hold above a monthly high as the greenback is trading below a 3-motnh low. The euro has been extending the bullish prints for 3 consecutive days as well. This is the second consecutive week when the pair is trading above 20Wsma. Soft data from the US has boosted the recent rally. The long-term picture still favors bears. The divergence between two central banks (ECB and FED) favors bears. The pair has been closing with losses on a weekly basis for five weeks. The nearest resistance is seen at 1.1480 and 1.1535. We expect book-profit action to take place before further rise. Support is found at 1.1300 100Dema and 1.1195 10Dsma. The weekly support is found at 1.1165 20Wsma. In case the pair manages to close above 1.1535, bulls can print at 1.1800 and 1.1965. It's still too early to expect 1.1800.

Intraday view: The nearest resistance is seen at 1.1460 100.0FE in the four-hour chart and 1.1480 161.8 FE in the daily chart. In the four-hour chart, the negative divergence has been developing. We have been recommending buying with mild caution. We expect booking to take place between 1.1500 and 1.1535. Small bullish trade is available today. Risky buying is seen above 1.1460 and safe above 1.1480 with small targets at 1.1500 and 1.1530. In the last case, we expect 1.1550 and 1.1580 but chances are remote. Another bullish leg is likely to be available if the price gets above 1.1535 on a weekly basis. In case of today's closure above 1.1535, we can conclude that another leg towards 1.1800+ is formed. For bears, intraday support is found at 1.1340 and 1.1330. Selling will emerge below these levels for 100 pips correction towards 1.1300, 1.1240, and even 1.1200. At yesterday's session, we expected this week's high to be placed between 1.1450/1.1475. The pair has made a high at 1.1445.

Trade: Selling below 1.1340/1.1330

or selling with sl 1.1420 cmp 1.1404 target 1.1350/1.1340,1.1320, 1.1275, and 1.1250

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NZD/USD: signs of a downtraend

NZD/USD formed an ascending channel and is rising very slightly. That looks more like a range trading. NZD/USD has been moving within the range of 0.7400 - 0.7700 for a month. NZD/USD finally showed signs of a potential downtrend following a sharp drop in price on May 11.

Taking the Fibonacci levels from the breakout of the ascending channel, the daily close took place below S2 (0.7370) support level that is 38.2% Fibonacci resistance, while previous support R2 (0.7556) proved to be a resistance that has been rejected. In addition, the daily close was below R1 (0.7512) that is a 61.8% Fibonacci support. Rejection of the 200 MA indicator became the final touch to support further decline.

Amid the above mentioned facts, consider selling NZD/USD around the current level. A target is the 23.6% Fibonacci support – S3 that is located at 0.7282. The daily close above R2 (0.7556) could trigger further extensions up towards already formed double bottom at 0.7740. Therefore, stop loss should be just above R3 (0.7600). Alternatively exit can be triggered on the daily close above R2 (0.7556).

Support: 0.7441, 0.7370, 0.7282

Resistance: 0.7512, 0.7556, 0.7600

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Daily analysis of major pairs for May 15, 2015

EUR/USD: So far the EUR/USD pair has moved upwards by at least 260 pips. The resistance lines at 1.1450 and 1.1500 could be tested: they could even be breached to the upside. On the downside, there are support lines at 1.1300 and 1.1250. There is no threat to the existing bullish bias as long as the price is above those support lines.

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USD/CHF: The USD/CHF pair fell by over 220 pips this week testing the support level at 0.9100. That support level and another support level at 0.9050 could be battered and eventually breached to the downside if USD continues weakening.

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GBP/USD: The cable has moved upward by about 380 pips this week. Any bearish retracements here would provide bulls with opportunities to enter the market at lower prices while the major trend is bullish. The trend is not over until it is actually over.

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USD/JPY: There is a sell signal on this market now. The price has crossed the EMA 56 to the downside and the RSI period 14 is below the level of 50. This is a Bearish Confirmation Pattern in the chart. While the market is volatile, the demand level at 119.00 could be battered seriously today or next week.

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EUR/JPY: This cross is currently strong; the strength will continue as long as the EUR maintains its stamina. The cross may settle above the supply zone at 136.50 later, going further northwards.

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