Daily analysis of Silver for January 29, 2016

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Overview

The silver price declined strongly yesterday, breaking the 14.27 level, and has settled at a daily close below it. This stops the positive overview suggested in our recent reports and puts the price inside the sideways range again, waiting to breach one of the lines represented by the 13.65 support and 14.40 resistance to detect the next targets clearly. Therefore, the sideways trading will remain dominant on an intraday basis. Breaching the 14.40 level will reactivate the correctional bullish scenario, which next target is 15.30; while breaking the mark of 13.65 will resume the main bearish trend, which targets begin at 13.00 and extend to 12.00.

The expected trading range for today is between the 13.80 support and 15.67 resistance.

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Daily analysis of GBP/JPY for January 29, 2016

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Overview

The H4 chart demonstrates that a rebound from 163.96 extends higher today and the price has breached 38.2% retracement of 188.79 to 163.96 at 173.44. The rebound is stronger than expected and there is no sign of topping yet. A further rise could be seen to 55-day EMA (now at 176.45). On the downside, breaches below the minor support at 168.55 will turn the bias back to the low of 163.96.

Daily Pivots: (S1) 169.12; (P) 170.13; (R1) 171.60

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Gold analysis for January 29, 2016

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Overview:

Since our last analysis, gold has been trading sideways at the level of $1.114.00. An intraday short-term trend is neutral, but the short term trend is upward. It seems like that our strong support at the price of $1,109.00 held very successful.Also. the pair is trading well above all key MA`s (SMA 50,100,150,200) according to the H4 time frame. The take-profit zone is established around the level of $1,134.00 (Fibonacci retracement 61.8%, daily SMA 200). In the 30M time frame, I found a massive volume spike (selling climax) and successfully test of supply, which is a sign that selling looks risky. Watch for buying opportunities on dips.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,122.90

R2: 1,126.65

R3: 1,133.70

Support levels:

S1: 1,110.75

S2: 1,107.00

S3: 1,100.95

Trading recommendations:Trading recommendations: watch for potential buying opportunities on dips.

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EUR/NZD analysis for January 29, 2016

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Overview:

Recently, EUR/NZD has been moving downwards. The price tested the level of 1.6642 in a very high volume. In the daily time frame, we can observe a test of our key point in the control zone (1.6640-1.6515). In the H4 time frame, the price has broken this point, and we may expect further upward movements. I found upward trend line. The price is well above all key MA`s (50SMA, 100SMA, 150SMA, and 200 SMA). The first take profit zone is seen around the level of 1.7260 (previous swing high).

Fibonacci Pivot Points:

Resistance levels:

R1: 1.6965

R2: 1.7020

R3: 1.7110

Support levels:

S1: 1.6780

S2: 1.6725

S3: 1.6630

Trading recommendations: Trading recommendations: the intraday trend is neutral, but the short-term trend is upward. Watch for potential buying opportunities.

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Global macro overview for 29/01/2016

Global macro overview for 29/01/2016:

The UK GDP data for the fourth quarter were released yesterday and the figures were in line with expectations (0.5% q/q; 1.9% y/y). The services industry contributed greatly to the GDP increase in the end of 2015 (78.6% of Britain's economic output), while production and construction continued to drag the growth down. For the whole 2015, the UK growth slowed to 2.2% from 2.9% in 2014, the Office for National Statistics says. Importantly, the UK economic output have been rising steadily for the last 12 consecutive quarters and unemployment is at its lowest level for a decade. Therefore, the BoE is likely to be more focused on the global growth problems (particularly in China) that can cause headwinds for the British economic recovery.

Now let's take a look at the technical chart of the GBP/USD pair. Currently, the H4 time frame shows down trend, and the recent bounce from the 1.4078 level is in a shape of a rising wedge. This means that any break below the lower dashed blue line will indicate the downtrend resumption that can even accelerate if the technical support at 1.4218 is violated.

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Global macro overview for 29/01/2016

Global macro overview for 29/01/2016:

The Japanese yen has fallen sharply on Friday after the Bank of Japan shocked financial markets by lowering interest rates into negative territory from 0.10% to -0.10%. Other fundamental data were worse than expected as well, including the national CPI index, household spending and industrial production. However, the BoJ Governor Haruhiko Kuroda has warned recently that the bank would continue monetary easing if necessary. It looks like the BoJ actions aimed to increase the inflationary pressure has been unsuccessful, so last night the bank decided to follow the path which the ECB took last year. Still, there is the question whether negative rates would help to fight the inflation? Some clues can be borrowed from the experience of ECB: it had implemented negative rates, but inflation levels didn't respond.

From the technical point of view, the reaction of the USD/JPY pair was quite dramatical, as USD/JPY has surged to its highest levels since late December. However, there is still one more resistance to break before we can conclude the longer term upward trend has resumed: daily technical resistance is at 123.77. When the pair breaks this level, the bulls will set their new target at 125.84 and beyond.

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Technical analysis of USD/CAD for January 29, 2016

General overview for 29/01/2016:

The market still trades inside of the narrow dashed blue channel, but the upside breakout is coming. The reason for that is diminishing downward momentum and bullish divergence, which might be seen between the price and momentum oscillator. Moreover, there is an uncompleted wave progression to the upside that indicates at least wave c purple should made a local high around the level of 1.4272. Please notice the larger uptrend is still intact in this time frame, but the corrective cycle might get complex and more time-consuming.

Support/Resistance:

1.4690 - Swing High

1.4436 - WR1

1.4420 - Technical Resistance

1.4330 - 38%Fibo

1.4325 - Technical Resistance

1.4272 - Weekly Pivot

1.4156 - Intraday Resistance

1.3947 - Intraday Support

Trading recommendations:

We are still expecting bullish wave c to the upside. So again today day traders should consider placing buy orders if the intraday resistance at the level of 1.4156 is violated. The SL orders should be placed below the level of 1.4028 and TP at the level of 1.4271.

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Technical analysis of EUR/JPY for January 29, 2016

General overview for 29/01/2016:

As anticipated yesterday, the up trend has resumed in a very impulsive fashion. The market has broken above the technical resistance at the level of 130.85, reaching a local high at the level of 132.27. From the Elliott Wave point of view the current upward move might be completed as there are five impulsive wave seen in the hourly chart. Nevertheless, an alternative count suggests even more impulsive wave progression to the upside as long as the level of 130.22 is not violated.

Support/Resistance:

132.27 - Local High|Intraday Resistance|

131.73 - WR3

130.22 - Intraday Support

130.13 - WR2

Trading recommendations:

Yesterday's TP level has been hit and all trades should be closed in profit. Currently, day traders should refrain from trading and wait for another trading setup to occur.

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Technical analysis of NZD/USD for January 29, 2016

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Overview:

  • The NZD/USD pair is still trading between the levels of 0.6428 and 0.6558, so it is recommended to be careful while making deals in this area. Therefore, it is necessary to wait till the sideways channel is passed through. Then, the market will probably indicate signs of a bullish trend. In other words, buy deals are recommended above the level of 0.6427 with its first target at 0.6558. From this point, the pair is likely to begin the ascending movement to the point of 0.6558 and further to the level of 0.6593 in order to form a new double top in the H1 chart. However, if the pair fails to pass through the level of 0.6593, the market will indicate a bearish opportunity below the new strong resistance level of 0.6593. Regarding to this, sell deals are recommended below the level of 0.6593 with the first target at 0.6477. It is possible that the pair will turn to downward movement, continuing the development of the bearish trend towards the level of 0.6424.
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Technical analysis of EUR/USD for January 29, 2016

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Overview:

  • Today, the EUR/USD pair will probably turn to bearish sentiment from the level of 1.0922 because the first resistance is seen at the level of 1.0922. The double top was also placed near the resistance at 1.0984. Accordingly, it will profitable to sell at 1.0922 with the first target at 1.0850/1.0856 testing minor support at this level, which represents a the ratio of 38.2% Fibonacci retracement in the H1 chart. If the trend breaks 38.2% Fibonacci retracement, it will call for a downtrend in order to continue its bearish movement towards 1.0724. The weekly support one is found at 1.0724 thus week. However, the stop loss should be placed at the level of 1.1005. Equally important, the support level is seen at 1.0724. Therefore, we expect a range between the levels of 1.0724 and 1.0984 today.
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USDX technical analysis for January 29, 2016

The US dollar index broke an upward sloping wedge downwards as expected, but renewed dollar strength after the BOJ announcements has pulled the index back up to test the broken support and cloud resistance.

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Red lines - upward sloping wedge

The US dollar index has broken below 98.80 cloud and wedge support, but now it is bouncing back up towards the Ichimoku cloud resistance that was support. This back-test could be a final chance to go short on the dollar index. As long as the price is below the cloud, I would remain bearish.

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The US dollar index has reached the level of 98.44 yesterday, so a breakout below that low will confirm the bearish reversal and that we are heading towards 97 at least if not lower. The price is testing the weekly tenkan-sen on the weekly chart as shown above. Today's close is important.The material has been provided by InstaForex Company - www.instaforex.com

Gold technical analysis for January 29, 2016

Gold price continues pulling back towards support of $1,110-$1,105 as it trades inside a short-term upward sloping channel. Yesterday, I warned bulls to be cautious as our target was reached.

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Yellow lines - short-term bullish channel

Blue line -bullish channel

Gold price continues to trade above the Ichimoku cloud inside the bullish channel, but is testing the kijun-sen (yellow indicator) support at $1,110. Breaking below it will open the way for a deeper pullback towards the Ichimoku cloud.

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On a weekly basis, the price has reached as expected the kijun-sen but got rejected. To remain in control, bulls should not fail to hold. A failure to hold above the tenkan-sen will imply new lows below $1,000.The material has been provided by InstaForex Company - www.instaforex.com

Daily analysis of major pairs for January 29, 2016

EUR/USD: This currency trading instrument has succeeded in generating a "buy" signal. Short trades are not currently logical according to the price action in the chart. The price could go further north, targeting the resistance lines at 1.0000 and 1.0050. A breakout above the resistance line of 1.0000 would particularly be remarkable, because it is a psychological line.

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USD/CHF: The USD/CHF pair moved sideways yesterday trading in a weakening bullish trend. The bullish effort devoted to the EUR/USD pair has been affecting the USD/CHF pair (which is negatively correlated to the EUR/USD). In case the EUR/USD pair goes further upwards, USD/CHF might plummet.

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GBP/USD: There has been a persistent bullish effort on this pair – against all odds. The bullish effort has been persistent enough to become a real threat to the extent bearish outlook. In fact, an upward movement of 200 pips would lead to a new bullish signal. A Bullish Confirmation Pattern is likely to be formed in the market in the market.

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USD/JPY: The bullish signal remains valid in this market, though the price has not gone significantly upwards. The price is above the EMA 56 and the RSI period 14 is above the level of 50, which means that there is a high possibility that the price could go further upwards when momentum returns to the market.

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EUR/JPY: The EUR/JPY pair is trading in a clear uptrend. It has moved up by 200 pips this week getting above the demand zones of 128.50, 129.00, and 129.50. Our target for this week has already been met at the supply zone of 130.00, but the price is clearly ready to move far beyond this supply zone. So, the next targets are the supply zones of 130.50 and 131.00, which the pair might attain today or next week.

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Technical analysis of Silver for January 29, 2016

Technical outlook and chart setups:

Silver is testing the resistance-turned-support line of a consolidation around $14.25. The metal could hit a higher low at $14.20 yesterday looking for an opportunity to test $14.60 levels again. Please note that a successful test here should enable bulls to gain control of the market again with prices exceeding $14.60 and $15.00. It is hence recommended to remain long now with risk at $13.90. Immediate support is seen at $14.00, while resistance is seen at $14.50/60.

Trading recommendations:

Remain long now with stop at $13.90, a target is $14.60.

Good luck!

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Technical analysis of Gold for January 29, 2016

Technical outlook and chart setups:

Gold formed a bottom around $1,108.00/09.00 and then reversed. The metal is trading around the level of $1,115.00/16.00 now looking for a way to push higher towards $1,136.00 at least. An overall bullish structure still remains intact in the yellow metal chart. Gold bounced off a trend line support, Fibonacci 0.382 support, and past resistance turned support as depicted on the H4 chart. It is hence recommended to remain long and also add further positions with risk at $1,100.00. Immediate support is seen at $1,100.00, while resistance is seen at $1,128.00 (interim).

Trading recommendations:

Remain long with stop at $1,100.00, a target is open.

Good luck!

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Technical analysis of EUR/JPY for January 29, 2016

Technical outlook and chart setups:

The EUR/JPY has raised and hit an intraday high of 132.25 before pulling back. The pair is trading around the level of 131.80 now looking for an opportunity to reverse from current levels, towards the major trend which is down. Please note that the pair has hit the trend line resistance and also around Fibonacci 0.618 retracement as depicted on the daily chart. It is hence recommended to initiate short positions with risk at the level of 134.00. Immediate support is seen at 130.50, while resistance is now seen at 132.25. Bears should regain control until prices remain broadly below 132.25.

Trading recommendations:

Initiate short positions now with stop at 134.00, a target is open.

Good luck!

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Elliott wave analysis of EUR/NZD for January 29, 2016

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Wave summary:

We can see an upward staircase, but this might be because this cross is accumulating energy for the extended red wave iii higher towards 176.41 and higher towards 1.8020.

In the short term, we expect minor support at 1.6715 and more importantly support at 1.6603 to protect the downside for a breakout above 1.7010 and more importantly a breakout above 1.7273 providing upside acceleration to 1.7641 and 1.8020.

Only a breakout below support at 1.6603 will delay the expected rally higher.

Trading recommendation:

We are long EUR from 1.6706 with stop placed at 1.6600. If you are not long EUR yet, then buy on the breakout above 1.7010 and place your stop at 1.6600 too.

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NZD/USD intraday technical levels and trading recommendations for January 29, 2016

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On December 30, a significant bearish rejection took place around the level of 0.6840 (daily resistance level) similar to what happened previously on October 23.

Moreover, a daily closure below 0.6750 allowed a quick bearish decline to occur initially towards the level of 0.6500, which was broken to the downside as well.

The daily chart illustrates a double-top reversal pattern. An obvious bearish breakdown of the depicted support level at 0.6400 should be executed in order to confirm the reversal pattern.

However, the levels of 0.6400-0.6350 constituted a significant support zone, which corresponded to the backside of a broken downtrend line. Hence, a strong bullish rejection was expressed on January 20.

Last week, bullish persistence above 0.6500 was mandatory to keep pushing the NZD/USD pair towards higher bullish targets.

However, on Friday, a lower high has been reached at the level of 0.6530. This enhanced the bearish side of the market and brought the NZD/USD pair towards the depicted support level of 0.6400 again.

Earlier this week, the depicted support level of 0.6400 acted as a prominent key level, which offered a valid buy entry as expected. The suggested position is running in profits now. S/L should be moved to 0.6400 to secure some profits.

Bullish persistence above 0.6500 is currently needed to keep moving towards higher bullish targets. An initial target is located at 0.6590.

Otherwise, a bearish closure below 0.6500 brings another bearish pullback towards 0.6430 and 0.6370 (which is less probable to occur).

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USD/CAD intraday technical levels and trading recommendations for January 29, 2016

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A bullish breakout above the previous consolidation zone between 1.2400 and 1.2800 was performed on July 15 (shown on the weekly chart).

A significant bearish rejection was observed around 1.3450. Hence, another consolidation range was established between 1.3450 down to 1.2800.

On December 7, a bullish breakout above 1.3450 (the upper limit of the recent consolidation range) enhanced the bullish side of the market. Hence, a bullish visit towards the resistance level of 1.4150 (Fibonacci Expansion 100%) was executed.

Bullish persistence above 1.4150 enhanced the bullish side of the market towards 1.4600 (141.4% Fibonacci expansion) where evident bearish rejection was expected (a bearish engulfing weekly candlestick).

The level of 1.4100 (Fibonacci Expansion 100%) remains a significant key level to be watched for price reaction during the current week's consolidations. It may offer a valid sell entry if any bullish pullback occurs soon.

On the other hand, the price zone of 1.3370-1.3400 remains a significant support zone to be watched for valid buy entries if the current bearish momentum persists below the mentioned key level (1.4100) and 1.4000 (a prominent Weekly Support).

Trading recommendations:

As we expected, a valid sell entry was offered around 1.4650 (141.4% Fibonacci expansion). It is already running in profits.

S/L should now be lowered to 1.4200 to secure our profits, while the next T/P level remains projected at 1.3800 if USD/CAD bears maintain enough bearish momentum below 1.4100 and 1.4000.

On the other hand, conservative traders should wait for a bearish pullback towards the price zone of 1.3370-1.3400 where a valid buy entry can be offered.

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Intraday technical levels and trading recommendations for GBP/USD for January 29, 2016

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Few months ago, the market was pushed above the depicted weekly level at 1.5550 trying to reach the zone of 1.5900. That's where the depicted Head and Shoulders pattern was formed.

On November 2015, a bearish engulfing weekly candlestick closed below the level of 1.5200 (the neckline of the Head and Shoulders pattern). This supported the bearish side of the market in the long term.

A quick bearish decline towards the previous weekly level of 1.4950 was expected as a result of the bearish breakout below 1.5200.

Extensive bearish pressure has been applied to the demand levels of 1.4620 and 1.4360. Both of them were broken to the downside.

Shortly after, the GBP/USD pair has moved below 1.4220, evident signs of bullish recovery expressed around 1.4075. This resulted in the hammer weekly candlestick, which closed above 1.4220 indicating extensive bullish rejection.

That is why, the zone of 1.4360-1.4220 remains a significant demand zone for the GBP/USD pair.

Bullish persistence above 1.4220 and 1.4360 is mandatory to maintain enough bullish strength in the market. The first bullish target is seen at 1.4615.

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During 2015, significant bearish rejection was expressed around 1.5770 and 1.5230 where a bearish Head and Shoulders reversal pattern was formed. Since then, the market has been trending downwards within the depicted bearish channel.

Few weeks ago, the level of 1.4950 was broken to the downside, constituting a significant supply level.

Daily persistence below 1.4800 (the lower limit of the depicted bearish channel) favored a bearish decline towards 1.4680 and 1.4610 where previous prominent bottoms are located on the GBP/USD daily chart.

Currently, the GBP/USD pair looks oversold as it is moving further below the prominent demand levels of 1.4620 and 1.4360.

That is why, any signs of bullish rejection around the demand level of 1.4220 should be considered a valid buy signal.

Bullish persistence above 1.4360 is mandatory to maintain enough bullish strength in the market. The first bullish target is projected towards 1.4615.

Trading Recommendation:

In our previous articles, traders were advised to take a valid buy entry when the GBP/USD pair achieved a daily closure above the level of 1.4220 on Friday. It is already running in profits now.

Initial T/P levels should be located at 1.4360, 1.4440, and 1.4500, while S/L should be advanced to 1.4200 to offset the associated risk.

Those who missed the initial trade can have another buy entry when the GBP/USD pair achieves a bullish closure above 1.4360. T/P levels would be located at 1.4440, 1.4500, and 1.4600.

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Intraday technical levels and trading recommendations for EUR/USD for January 29, 2016

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On January 2015, the EUR/USD pair moved below the major demand levels around 1.2100 and 1.2000 where historical bottoms were previously established back in July 2012 and June 2010. Hence, a long-term bearish target is projected towards 0.9450.

On March 2015, EUR/USD bears challenged the monthly demand level of 1.0570 (established in January 1997). One month later, strong bullish recovery was observed around the mentioned demand level.

April's candlestick came as bullish engulfing one. However, next monthly candlesticks (September, October and November) reflected strong bearish rejection around the level of 1.1450.

As mentioned above, the long-term projected target is still seen at 0.9450 if the current monthly candlestick closes below the depicted demand level of 1.0570.

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On August 2015, the EUR/USD pair looked overbought as the market spiked above the level of 1.1500 (daily supply level).

Shortly after, the intraday supply zone of 1.1360-1.1400 produced significant bearish pressure.

A bearish breakout of the depicted uptrend was performed on October 23. This enhanced a long-term bearish scenario with targets at 1.0800 and 1.0600.

On November 2015, daily persistence below the level of 1.0800 (a prominent key level) ensured enough bearish momentum towards 1.0550 (a monthly demand level) where the recent bullish pullback was initiated towards 1.0800 and 1.1000.

During the last few weeks, the level of 1.1000 was considered to be the significant supply level to offer valid sell entries. Moreover, a Head and Shoulders reversal pattern was executed as depicted on the chart.

The previous bearish closure below 1.0800 (the reversal pattern neckline) confirmed the depicted reversal pattern. An estimated bearish target is located at 1.0620.

Today, bearish persistence below 1.0800 (neckline of the depicted reversal pattern) is needed to allow more bearish decline to occur towards 1.0730, 1.0620, and 1.0570.

On the other hand, bullish persistence above 1.0830 hinders further bearish decline. Hence, a bullish pullback towards 1.1000 would be expected.

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Technical analysis of EUR/USD for Januari 29, 2016

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When the European market opens, economic news on the Core CPI Flash Estimate y/y, CPI Flash Estimate y/y, Private Loans y/y, M3 Money Supply y/y, Spanish Flash GDP q/q, Spanish Flash CPI y/y, French Consumer Spending m/m, French CPI m/m, German Retail Sales m/m, and French Prelim GDP q/q is due to be released. The US will unveil economic data on the Revised UoM Inflation Expectations, Revised UoM Consumer Sentiment, Chicago PMI, Goods Trade Balance, Employment Cost Index q/q, Advance GDP Price Index q/q, and Advance GDP q/q. So amid the reports, the EUR/USD pair will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.0981.

Strong Resistance:1.0975.

Original Resistance: 1.0964.

Inner Sell Area: 1.0953.

Target Inner Area: 1.0928.

Inner Buy Area: 1.0903.

Original Support: 1.0892.

Strong Support: 1.0881.

Breakout SELL Level: 1.0875.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

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

Technical analysis of USD/JPY for Januari 29, 2016

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In Asia, Japan will release data on the BOJ Press Conference, Housing Starts y/y, BOJ Core CPI y/y, BOJ Outlook Report, Monetary Policy Statement, Prelim Industrial Production m/m, Unemployment Rate, National Core CPI y/y, Tokyo Core CPI y/y, and Household Spending y/y. The US will deliver economic data on the Revised UoM Inflation Expectations, Revised UoM Consumer Sentiment, Chicago PMI, Goods Trade Balance, Employment Cost Index q/q, Advance GDP Price Index q/q, and Advance GDP q/q. So, there is a strong probability that the USD/JPY pair will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 119.20.

Resistance. 2: 118.97.

Resistance. 1: 118.74.

Support. 1: 118.45.

Support. 2: 118.22.

Support. 3: 117.99.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

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

Technical analysis of GBP/CHF for January 29, 2016

Technical outlook and chart setups:

The GBP/CHF pair is trading around the level of 1.4550/60 at the moment looking for an opportunity to drop lower towards 1.4300/30 before resuming its rally. The pair is attempting to complete the final leg of the corrective drop from 1.4645. It would complete a counter trend wave structure around the level of 1.4300. It is hence recommended to remain short now and add positions with risk at 1.4650. Immediate support is seen at the levels of 1.4475/50, while resistance is seen at 1.4640/50. Bears are expected to remain in control until prices stay below 1.4645.

Trading recommendations:

Remain short now with stop at 1.4650, a target is at 1.4300

Good luck!

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

Daily analysis of USDX for January 29, 2016

The H1 chart structure is showing us that the USDX has declined sharply from the highs formed around the 200 SMA price zone. Currently, the Index is finding strong bottom around the 98.52 level which is an inflection area formed during the January 15th session's lows. If the USDX manages to break that zone to the downside, then we can expect another decline towards the 98.35 level, which would endanger our bullish overall outlook.

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H1 chart's resistance levels: 98.72 / 98.97

H1 chart's support levels: 98.52 / 98.35

Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks a bullish candlestick; the resistance level is at 98.72, take profit is at 98.97, and stop loss is at 98.46.

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Daily analysis of GBP/USD for January 29, 2016

The cable recovered above the 200 SMA at H1 chart after it had gained a momentum during the Thursday's session. Currently we're seeing a higher high pattern formation below the resistance at 1.4373, and the pair is likely to break it above. Then it is expected to rally towards the next inflection area formed during the January 13th session, around the 1.4467 level. MACD indicator is reaching overbought territory, so we'll be able to see some pullbacks in coming hours as the overall bearish structure cannot be discarded yet.

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H1 chart's resistance levels: 1.4373 / 1.4467

H1 chart's support levels: 1.4309 / 1.4198

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 1.4309, take profit is at 1.4198, and stop loss is at 1.4417.

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Daily analysis of EUR/JPY for January 28, 2016

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Overview

The break of the 129.07 minor resistance suggests a near-term reversal before the 126.09 key support level. A rebound from 126.16 should now target the 55-day EMA (now at 130.57). A sustained break will target the 134.58 resistance. In case of a retreat, we stay cautious on strong support from 126.09 to bring a rebound. Price actions from the 149.76 medium-term top is viewed as a developing corrective pattern. At this point, as long as the 126.09 support holds, we expect a sideways pattern between 126.09 and 149.76 in the medium term to be followed by an upside breakout at a later stage. However, a decisive break of 126.09 will raise some questions over this outlook and would bring a deeper fall to 61.8% retracement of 94.11 to 149.76 at 115.36.

Daily Pivots: (S1) 128.52; (P) 129.00; (R1) 129.75

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Daily analysis of Silver for January 28, 2016

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Overview

The silver price continues fluctuating around the sideways range resistance, while stochastic approaches the oversold areas. This keeps the bullish trend scenario valid and active for the rest of the day, waiting to target 14.67 followed by 15.30 levels on a near-term basis. Breaking 14.27 will stop the suggested rise and put the price under negative pressure that the main bearish trend might resume again. The EMA50 supports the suggested bullish wave, and breaching the 14.67 level will ease achieving the mentioned target, while the bullish trend will remain valid and active unless breaking the 14.27 level and holding below it.

The expected trading range for today is between the 14.20 support and 15.00 resistance.

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Daily analysis of USD/JPY for January 28, 2016

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Overview

A rebound in USD/JPY from 115.96 is still in progress. A further rise is in favor to 120.33 (support turned resistance). A break will target 123.74 next. Overall, price actions from 125.85 are viewed as a sideways consolidation pattern and we will hold on to this view as long as the 115.96 support holds. The consolidation pattern from the 125.85 medium-term top is still in progress. At this point, we are viewing it as a sideways pattern and expect strong support around 116.13 to contain downside. However, a sustained break of 116.13 will indicate that the corrective fall from 125.85 would extend to the 38.2% retracement of 75.56 (2011 low) to 125.85 at 106.63 and lower.

Daily Pivots: (S1) 118.13; (P) 118.60; (R1) 119.15

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Technical analysis of USD/JPY for January 28, 2016

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USD/JPY is expected to trade with a bullish bias above 118.35. Overnight, the US stock indices closed lower after the US Federal Reserve left interest rates unchanged saying: "The committee is closely monitoring global economic and financial developments and is assessing their implications for the labor market and inflation." The Dow Jones Industrial Average slid 1.4% to 15944, the S&P 500 lost 1.1% to 1882, while the Nasdaq Composite was down 2.2% to 4468.

Nymex crude oil gained another 2.7% to $32.30 a barrel, gold increased 0.5% to $1125 an ounce, while the benchmark 10-year Treasury yield edged up to 2.003% from 1.996% at the previous session.

Meanwhile, the U.S. dollar cannot benefit from the Fed's release, which did not cut uncertainty about another rate hike in March. EUR/USD rose 0.2% to 1.0891, AUD/USD gained 0.3% to 0.7025, and USD/CAD was down 0.2% to 1.4091. Meanwhile, GBP/USD fell 0.8% to 1.4229.

NZD/USD plunged 1.0% to 0.6430 as New Zealand's central bank maintained the official cash rate unchanged at 2.50% (as expected) saying: "Some further policy easing may be required over the coming year to ensure that future average inflation settles near the middle of the target range." The pair ran up to 119.07 before entering a consolidation zone. Currently it is trading above the key support level of 118.35. The 20-period (30-minute chart) moving average remains above the 50-period one, while the relative strength index is around the neutrality level of 50. As long as 118.15 holds as the key support, the intraday outlook stays bullish and the pair should challenge again the first upside target at 119.15.

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 119.15 and the second target at 119.50. In the alternative scenario, short positions are recommended with the first target at 118 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 117.60. The pivot point is at 118.35.

Resistance levels: 119.15, 119.50, 119.85

Support levels: 118, 117.60, 117.20

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Technical analysis of USD/CHF for January 28, 2016

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USD/CHF is expected to consolidate. The pair remains under pressure below the resistance level of 1.0185. It is likely to consolidate. The relative strength index is mixed to bearish below its neutrality area of 50. Furthermore, the key moving averages are turning down as well. Hence, below 1.0185 (a key horizontal resistance), expect a return to 1.0085 and 1.0050.

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 1.0215. A break of that target will move the pair further downwards to 1.0250. The pivot point stands at 1.0185. 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 1.0085 and the second target at 1.0050.

Resistance levels: 1.0215, 1.0250, 1.0295

Support levels: 1.0085, 1.0050,1.0030

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NZD/USD intraday technical levels and trading recommendations for January 28, 2016

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On December 30, a significant bearish rejection took place around the level of 0.6840 (daily resistance level) similar to what happened previously on October 23.

Moreover, a daily closure below 0.6750 allowed a quick bearish decline to occur initially towards the level of 0.6500, which was broken to the downside as well.

The daily chart illustrates a double-top reversal pattern. An obvious bearish breakdown of the depicted support level at 0.6400 should be executed in order to confirm the reversal pattern.

However, the levels of 0.6400-0.6350 constituted a significant support zone, which corresponded to the backside of a broken downtrend line. Hence, a strong bullish rejection was expressed on January 20.

Last week, bullish persistence above 0.6500 was mandatory to keep pushing the NZD/USD pair towards higher bullish targets.

However, on Friday, a lower high has been expressed off the price level of 0.6530. This enhanced the bearish side of the market and brought the NZD/USD pair towards the depicted support level of 0.6400 again.

Yesterday, the depicted support level of 0.6400 acted as a prominent key level, which offered a valid buy entry as expected. The suggested position is running in profits now. S/L should be moved to 0.6400 to secure some profits.

Bullish persistence above 0.6500 is currently needed to keep moving towards higher bullish targets. An initial target is located at 0.6590.

Otherwise, a bearish closure below 0.6500 brings another bearish pullback towards 0.6430 and 0.6370 (which is less probable).

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Technical analysis of NZD/USD for January 28, 2016

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NZD/USD is turning down. The pair has accelerated its slide after breaking below the 20-period and 50-period moving averages, both of which have turned downward and should act as resistance. The relative strength index has just broken below its key level of 30 ("oversold"), but has not yet displayed any reversal signals. As long as 0.6530 holds on the upside, look for a further decline to 0.6465 and 0.6410.

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 0.6455. A break of that target will move the pair further downwards to 0.6410. The pivot point stands at 0.6530. 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 0.6550 and the second target at 0.6580.

Resistance levels: 0.6550, 0.6580, 0.6610

Support levels: 0.6455, 0.6410, 0.6375

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USD/CAD intraday technical levels and trading recommendations for January 28, 2016

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A bullish breakout above the previous consolidation zone between 1.2400 and 1.2800 was performed on July 15 (shown on the weekly chart).

A significant bearish rejection was observed around 1.3450. Hence, another consolidation range was established between 1.3450 down to 1.2800.

On December 7, a bullish breakout above 1.3450 (the upper limit of the recent consolidation range) enhanced the bullish side of the market. Hence, a bullish visit towards the resistance level of 1.4150 (Fibonacci Expansion 100%) was executed.

Bullish persistence above 1.4150 enhanced the bullish side of the market towards 1.4600 (141.4% Fibonacci expansion) where evident bearish rejection was expected (a bearish engulfing weekly candlestick).

The level of 1.4100 (Fibonacci Expansion 100%) remains the significant key level to be watched for price reaction during the current week's consolidations.

On the other hand, the price zone of 1.3370-1.3400 remains a significant support zone to be watched for valid buy entries if the current bearish momentum persists below the mentioned key level (1.4100).

Trading recommendations:

As we expected, a valid sell entry was offered around 1.4650 (141.4% Fibonacci expansion). It is already running in profits.

S/L should now be lowered to 1.4200 to secure our profits, while the next T/P level remains projected at 1.3800 if USD/CAD bears maintain enough bearish momentum below 1.4100 (Fibonacci Expansion 100%) and 1.4000 (Recent Weekly Support).

On the other hand, conservative traders should wait for a bearish pullback towards the price zone of 1.3370-1.3400 where a valid BUY entry can be offered.

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Technical analysis of GBP/JPY for January 28, 2016

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GBP/JPY is expected to trade with bullish bias. The pair is well supported by its rising 20-period moving average, which stays above the 50-period one. Meanwhile, the relative strength index lacks downward momentum. Further upside is therefore expected with the next horizontal resistance and overlap set at 71.35 at first. A break above this level would call for further advance towards 172.20 in extension.

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 171.35 and the second target at 172.20. In the alternative scenario, short positions are recommended with the first target at 168.05 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 167. The pivot point is at 168.80.

Resistance levels: 171.35, 172, 172.30

Support levels: 168.05, 167, 166.05

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