EUR/NZD analysis for February 17, 2016

EURNZDH1.png17.png

EURNZDDaily.png17.png

Overview:

Recently, EUR/NZD has been moving downwards. As I expected, the price tested the level of 1.6841 in a high volume. In the daily time frame, I found a demand bar in a volume below the average. In the 4-hour time frame, we can observe strong rejection from our resistance cluster (1.7025). Therefore, be careful when buying EUR/NZD at this stage and watch for potential selling opportunities. I placed Fibonacci expansion to find potential support level (take profit levels). I got Fibonacci expansion 61.8% at 1.6720 , Fibonacci expansion 100% at 1.6525, and Fibonacci expansion 161.8% at 1.6210. Watch for potential selling opportunities on rallies. The position of moving averages is flat, but great weakness is observed in the background and the intraday resistance cluster suggests that we may see further downward movements.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.7020

R2: 1.7095

R3: 1.7210

Support levels:

S1: 1.6790

S2: 1.6715

S3: 1.6600

Trading recommendation: A spike in an ultra-high volume (potential buying climax) is seen in the background. Be careful when buying EUR/NZD and watch for potential selling opportunities.

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

Gold analysis for February 17, 2016

GOLDDaily.png17.png

GOLDH4.png17.png

Overview:

Since our last analysis, gold has been trading sideways at the level of $1,204.00. It seems like sellers had no power to break through our support level at $1,196.00. According to a daily time frame, I found a weak supply in a high volume, which is the potential sign of strength. I found that demand remained high, which is a sign that selling gold at this stage looks risky. I found Fibonacci retracement 38.2% at the level of $1,181.00 and Fibonacci retracement 61.8% at the level of $1,131.00. The trend is upward according to the intraday and short-term time frames. The level of $1,235.00 may provide strong resistance. The price is above all key MA`s. Our 10 SMA has been successfully held according to the daily time frame. Anyway, if the price continues to move lower, we may see potential testing of $1,181.00.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,225.40

R2: 1,234.85

R3: 1,250.00

Support levels:

S1: 1,195.00

S2: 1,185.40

S3: 1,170.00

Trading recommendations: be careful when selling gold and watch for potential buying opportunities on dips.

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

NZD/USD intraday technical levels and trading recommendations for February 17, 2016

analytics56c462e3e58b2.pnganalytics56c462eea65bf.png

A daily closure below 0.6750 allowed a quick bearish decline to occur towards the level of 0.6500 that was broken to the downside as well.

However, the levels of 0.6400-0.6350 constituted a significant support zone. Hence, a strong bullish rejection was expressed on January 20 (inverted head and shoulders pattern).

Since January 26, bullish persistence above 0.6500 was mandatory to keep pushing the NZD/USD pair towards higher bullish targets.

However, a temporary bearish rejection has been expressed around 0.6550 for almost two weeks resulting in a depicted consolidation range.

On January 28, the depicted support level of 0.6400 acted as a prominent key level offering a valid buy entry. A bullish breakout above 0.6550 has been executed earlier last week.

Bullish persistence above 0.6550 (depicted recent support) was needed to keep the price moving towards higher bullish targets.

The area of 0.6700-0.6750 constituted a significant resistance zone. Recent signs of a bearish rejection were seen during last week's consolidations near the same zone.

On February 9, the NZD/USD pair failed to consolidate below 0.6570 (depicted support level). That is why, another bullish pullback took place towards 0.6700 where the current bearish movement was initiated.

Today, a recent bullish recovery is being expressed above 0.6570 (temporary support level).

On the other hand, bearish persistence below 0.6570 is mandatory to allow further bearish decline towards the price zone of 0.6550 - 0.6500 where the price reaction should be watched for a possible buy entry.

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

Global macro overview for 17/02/2016

Global macro overview for 17/02/2016:

The release of the FOMC Meeting Minutes is scheduled for 07:00pm GMT today. As we remember, the Fed did not raise the interest rates at its first meeting in January 2016 as it remained cautious. Macroeconomic events showed very statistical changes in the financial markets: sell-off of Chinese equities and dropping oil prices heavily weigh on commodity currencies. Moreover, Fed Chair Janet Yellen's testimonies last week confirmed that the US economy is growing, but it faces negative exposure to macro headwinds. In conclusion, the markets are not that keen to expect two more rate hikes in 2016 as they were in December ( after the first hike).

What is going on the SPY (SP500 EFT) index from a technical point of view then? It looks like the market is living through a crucial period. On the H4 chart, we can see a double bottom at the level of 180.96, just at the lower end of the demand zone. The market bounced higher, but it is still trading in the neutral zone, way below the technical resistance at the level of 194.89. If the market reverses in coming days and trades below the level of 180.96, then the mid-term top might be in place at the level of 213.78, and further decline should be expected.

analytics56c453215f4da.jpg

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

Technical analysis of NZD/USD for February 17, 2016

NZDUSDH1.png

Overview:

  • The NZD/USD pair dropped sharply from the level of 0.6638 towards 0.6545. Now, the price is set at 0.6604. On the H1 chart, the resistance is seen at the levels of 0.6638 and 0.6686. Volatility is very high for that the NZD/USD pair is still expected to be moving between 0.6545 and 0.6686 in coming hours. In the short term, we expect the NZD/USD pair to continue to trade in a bullish trend from the new support level of 0.6570 to form a bullish channel. Also, it should be noted that major resistance is seen at 0.6686, while immediate resistance is found at 0.6638. According to the previous events, the pair is likely to move from 0.6570 towards 0.6638 and 0.6686 as targets.
  • In the H4 time frame:
NZDUSDH4.png
  • However, if the pair fails to pass through the level of 0.6686, the market will indicate a bearish opportunity below the level of 0.6686. So, the market will decline further to 0.6604 in order to return to the daily pivot point (0.6604). Moreover, a breakout of that target will move the pair further downwards to 0.6528.

,

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

Global macro overview for 17/02/2016

Global macro overview for 17/02/2016:

According to the report of the Cabinet Office, Japan's core machinery orders rebounded in December, despite mounting uncertainty over the global economy. After a massive plunge of 14.4% a month earlier, seasonally-adjusted machinery orders excluding ships and utility items jumped by 4.2% on month in December. Moreover, the Japanese companies expect core machinery orders to surge 8.6% in the first quarter of the year. In conclusion, the initial estimates of the GDP in the last quarter declined 0.4% and shrunk 1.4% on an annual basis. This kind of data does not support the perceived recovery despite the depredate BoJ measures.

Let's take a closer look at the technical picture of USD/JPY in the daily time frame. After the last week sell-off, the pair is trying to bounce and test the technical resistance at the level of 115.94. The next important support is seen at the level of 110.06 and any breakout below this level before the resistance is violated would mean the near-term top is in place (at the level of 125.86).

analytics56c44f829acc9.jpg

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

Technical analysis of USD/CHF for February 17, 2016

1455704753_USDCHFH1.png

Overview:

  • TThe USD/CHF pair continues to move upwards from the level of 0.9866. Yesterday, the pair rose from the level of 0.9866 (the level of 0.9866 coincides with a ratio of 38.2% Fibonacci retracement) to a top around 0.9914. Today, the first support level is seen at 0.9866 followed by 0.9789, while daily resistance 1 is seen at 0.9990. According to the previous events, the USD/CHF pair is still moving between the levels of 0.9866 and 0.9990; for that we expect a range of 124 pips (0.9990 - 0.9866). On the one-hour chart, immediate resistance is seen at 0.9928, which coincides with a ratio of 50% Fibonacci retracement. Currently, the price is moving in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. The price is still above the moving average (100) and (50), Therefore, if the trend is able to break out through the first resistance level of 0.9928, we should see the pair climbing towards the daily resistance at 0.9990 to test it. It would also be wise to consider where to place stop loss; this should be set below the second support of 0.9789.

Intraday technical levels:

  • R3: 1.0123
  • R2: 1.0078
  • R1: 0.9990
  • PP: 0.9928
  • S1: 0.9866
  • S2: 0.9789
  • S3: 0.9727
The material has been provided by InstaForex Company - www.instaforex.com

USD/CAD intraday technical levels and trading recommendations for February 17, 2016

analytics56c44d2e8f9dc.pnganalytics56c44d37dcb53.png

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 from 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 to the resistance level of 1.4120 (Fibonacci Expansion 100%) was executed.

Bullish persistence above 1.4150 enhanced the bullish side of the market towards 1.4650 (141.4% Fibonacci expansion) where an evident bearish rejection was expected (a bearish engulfing weekly candlestick).

The recent bullish recovery was manifested around the level of 1.3750. That is why the current bullish pullback is taking place towards 1.4000 again.

The level of 1.4120 (Fibonacci Expansion 100%) remains the significant key level to be watched for price reactions. It may offer a valid sell entry on the current bullish pullback, which is taking place this week.

On the other hand, the price zone of 1.3370-1.3400 remains a significant support zone to be watched for a valid buy entry if enough bearish momentum is maintained below the prominent weekly support level of 1.4000.

Trading recommendations:

On the other hand, conservative traders should wait for a bearish pullback towards the zone of 1.3370-1.3400 for a valid buy entry. S/L should be located below 1.3320.

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

Intraday technical levels and trading recommendations for GBP/USD for February 17, 2016

analytics56c4451a75f87.png

In June 2015, the pair pushed above the depicted level of 1.5550 trying to reach the zone of 1.5900 where the depicted Head and Shoulders pattern was formed.

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

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

Shortly after the GBP/USD pair moved below 1.4220, evident signs of bullish recovery were expressed around 1.4075. Hence, the previous few weekly candlesticks closed above 1.4220 and 1.4360 again, indicating strong bullish demand.

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

A recent bearish pullback was initiated around 1.4615 as it corresponded to a broken weekly demand level. It is acting as a strong supply level now.

On the other hand, the price zone of 1.4360-1.4220 remains a significant demand zone to be watched for a possible BUY entry similar to what happened two weeks ago.

analytics56c44539455ff.png

On February 4, the market failed to close above 1.4615. Instead, an inverted hammer daily candlestick was expressed. Hence, a bearish pullback took place towards 1.4360.

Later on February 8, the market expressed significant bullish rejection around 1.4360.

This led to a quick bullish swing towards 1.4570 where recent bearish pressure was applied. Hence, another bearish swing towards 1.4360 was performed last week.

Note that the GBP/USD pair remains trapped between 1.4615 and 1.4220 until a breakout occurs in either direction. These levels are important key levels that determine the next destination for the pair.

Note that a recent lower high was established around 1.4530 levels, which enhanced the ongoing bearish momentum towards the price zone of 1.4360-1.4220.

Although the price level of 1.4360 acted as a demand level for the GBP/USD pair, a temporary bearish breakout below 1.4360 is currently manifested on the daily chart.

Hence, a quick bearish decline towards 1.4220 and a valid buy entry should be expected near this level.

Trading Recommendation:

The zone of 1.4360-1.4220 remains a significant demand zone to be watched for a possible buy entry similar to what happened two weeks ago.

That is why, conservative traders should wait either for evident signs of bullish reversal near 1.4220 or a bullish re-closure above 1.4360 to buy the GBP/USD pair. The initial T/P level should be located at 1.4530.

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

Intraday technical levels and trading recommendations for EUR/USD for February 17, 2016

analytics56c444cb57fef.png

In January 2015, the EUR/USD pair moved below the major demand levels near 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.

In March 2015, EUR/USD bears challenged the monthly demand level of 1.0570, which was hit in August 1997.

Later in April 2015, strong bullish recovery was observed around the mentioned demand level.

The April candlestick came as bullish engulfing one. However, next monthly candlesticks (September, October, and November) reflected strong bearish rejection around the level of 1.1400.

December's candlestick came as bullish engulfing one allowing the current bullish pullback to take place towards 1.1370.

The zone of 1.1350-1.1400 remains the significant Supply Zone to be watched during the current bullish pullback. As we expected, the recent bearish rejection is currently being manifested.

Moreover, the level of 0.9450 will remain a long-term bearish target in case the current monthly candlestick closes below the depicted demand level of 1.0570.analytics56c444f1dc0e0.png

In October 2015, the Daily Supply Zone of 1.1360-1.1400 produced significant bearish pressure shortly after the EUR/USD pair spiked above the level of 1.1500 (daily supply level).

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

In November 2015, daily persistence below the level of 1.0800 (prominent key level) ensured enough bearish momentum towards 1.0550 (monthly demand level) where the current bullish swing was initiated.

During the last few weeks, the level of 1.1000 was providing significant bearish rejection. Hence, a consolidation range extending between 1.1000 and 1.0800 was established on the daily chart. On February 3, a bullish breakout was executed above this consolidation range.

Hence, a quick bullish movement took place towards the zone of 1.1350-1.1450 where previous daily bottoms and the backside of the broken uptrend are depicted on the daily chart. On Friday, a strong bearish engulfing daily candlestick was expressed by the end of the day.

Hence, a quick bearish decline towards 1.1160 and 1.1100 should be expected as long as the market keeps trading below 1.1250.

Trading Recommendations:

Previously, traders were advised to sell the EUR/USD pair anywhere around the levels of 1.1350-1.1400. This position is already running in profits. S/L should be lowered to 1.1270 to secure some profits.

For those who missed the initial trade, another sell entry can be offered at the level of 1.1215 if a bullish pullback persists above 1.1170. S/L should be located above 1.1250.

On the other hand, a low-risky buy entry can be offered around the recently broken consolidation range near 1.1000 if the current bearish pullback continues below 1.1150.

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

Technical analysis of USD/CAD for Febuary 17, 2016

General overview for 17/02/2016:

An impulsive upward reversal from the wave c purple bottom has not been completed yet, but it looks like the market is finally resuming its uptrend. Four impulsive eaves are visible in the hourly chart and now it is time to make one more to the upside. The target would be the technical resistance at the level of 1.4014. There is still a possibility however that a breakout below this level might extend the C purple wave down to the next support at 1.3637. Nevertheless, the abc purple corrections looks completed and the market might reverse any time now. To confirm this bullish progression to the upside, the price should break out above the golden trend line at least.

Support/Resistance:

1.3637 - Local Low

1.3648 - WS2

1.3746 - WS1

1.3819 - Intraday Support

1.3880 - Weekly Pivot

1.3911 - Intraday Resistance

1.3972 - WR1

1.4014 - Technical Resistance

1.4108 - WR2

Trading recommendations:

Buying on dips is a proper way to trade on this market as the uptrend is still in play. The corrective cycle is violating the support levels, but the most important support at the level of 1.3637 has not been broken yet. Bulls are still in control in this market, but no confirmation of a bullish reversal has been received yet.

analytics56c43e545e910.jpg

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

Technical analysis of EUR/JPY for Febuary 17, 2016

General overview for 17/02/2016:

The golden trend line has been broken and the market is currently trading close to the intraday support at the level of 126.61. In case of a breakout, the next intraday support is seen at the level of 125.76. The market is still treading inside of the bearish zone, but the current count in the bigger time frames still indicates a possible upward wave progression as a low for the wave B cycle seems to be in place. This would mean the market still needs to make one more wave to the upside, big-cycle wave C blue, to complete the bigger-time-frame corrective cycle.

Support/Resistance:

125.02 - WS1

126.61 - Intraday Support

125.73 - Local Low

127.98 - Weekly Pivot

128.26 - Intraday Resistance

130.13 - WR1

133.09 - WR2

Trading recommendations:

Day traders should refrain from trading and wait for a better trading setup to occur in the nearest term

analytics56c43cc7ed069.jpg

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

Technical analysis of USD/JPY for February 17, 2016

USDJPYM30.png

USD/JPY is expected to trade in a lower range. Overnight, the US stocks continued their rally as investors took up shares in sectors that have been recently beaten down. Buying was spotted in financial and technology shares, while consumer discretionary, industrial, health-care and materials shares also posted solid gains. The Dow Jones Industrial Average rose 1.4% to 16196, the S&P 500 gained 1.7% to 1895, while the Nasdaq Composite was up 2.3% at 4435.

Nymex crude oil lost 1.4% to $29.04 a barrel, gold dropped 0.8% to $1,200 an ounce, while the benchmark 10-year Treasury yield rose further to 1.779% from 1.746% last Friday.

The U.S. dollar grew stronger against most other major currencies upon further improvement in market sentiment. EUR/USD edged down 0.1% to 1.1141, GBP/USD lost 0.9% to 1.4303, and NZD/USD was down 1.1% to 0.6573. USD/CAD performed volatile price action as it plunged to 1.3705 before closing up 0.2% at 1.3859. Meanwhile, USD/JPY slid 0.5% to 114.06. Currently, it is trading around the 20-period moving average, which stands well below the 50-period one. If the pair fails to up-hold the level of 114.40, it should decline toward the first downside target at 113.00.

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 113. A break of this target will move the pair further downwards to 112.25. The pivot point stands at 114.40. 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 114.90 and the second target at 115.25.

Resistance levels: 114.45, 115.25, 115.85

Support levels: 112.35, 111.60, 111.25

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

Technical analysis of USD/CHF for February 17, 2016

USDCHFM30.png

USD/CHF is expected to prevail its upside movement. The pair stays above its key support at 0.9830 and remains on the upside. Meanwhile, the intraday RSI still stands above its 50% neutrality area. Further upside is therefore expected with the next horizontal resistance and overlap set at 0.9900 at first. A breakout above this level would call for further advance toward 0.9940 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 0.99 and the second target at 0.9940. In the alternative scenario, short positions are recommended with the first target at 0.9785 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 0.9750. The pivot point is at 0.9830.

Resistance levels: 0.9900, 0.9940, 0.9975

Support levels: 0.9785, 0.9750, 0.9715

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

Daily analysis of major pairs for February 17, 2016

EUR/USD: This pair moved sideways yesterday, consolidating to the downside. The price is now below the resistance line at 1.1200, threatening to go further south. Another movement of 150 pips to the downside would mean the end of the recent bullish outlook.

1.png

USD/CHF: the USD/CHF pair moved upwards on Monday, and it moved sideways yesterday, consolidating to the upside. The price is now above the support line of 0.9850, threatening to go further north. Another movement of 150 pips to the upside would mean the end of the recent bearish outlook.

2.png

GBP/USD: The GBP/USD pair has already dropped by 200 pips this week, testing the accumulation territory of 1.4300. Since there is a Bearish Confirmation Pattern in the 4-hour chart, it is safe to assume that the bearish trend would continue, reaching the accumulation territories at 1.4250 and 1.4200 today or tomorrow.

3.png

USD/JPY: What this currency trading instrument is doing right now is best called an upward bounce and consolidation in the context of a downtrend. The price is below the EMA 11, which is below the EMA 56. The RSI period 14 is below the level of 50. When there is a breakout in the market, it would most probably be to the downside.

4.png

EUR/JPY: by all indication, the bias is still bearish on the cross. Unless the price goes upwards by 300 pips, long trades would not be rational in this market. The demand zones of 126.50 and 126.00 stand to be tested; whereas the supply zones at 129.00 and 129.50 should do a good job to prevent bullish machination.

5.png

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

Technical analysis of NZD/USD for February 17, 2016

NZDUSDM30.png

NZD/USD is expected to trade in a lower range and move toward 0.6540. A rebound from the low of 0.6541 is losing steam, while the bearish bias is maintained by the descending 50-period moving average. The relative strength index is badly directed within the selling area between 50 and 30. A breakout below the downside target at 0.6540 would trigger a further decline toward 0.6505 (a level of over-lapping support and resistance seen on February 2).

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 0.6540. A break of this target will move the pair further downwards to 0.6505. The pivot point stands at 0.6610. 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 0.6640 and the second target at 0.6680.

Resistance levels: 0.6640, 0.6680, 0.6710

Support levels: 0.6540, 0.6505, 0.6475

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

Technical analysis of GBP/JPY for February 17, 2016

GBPJPYM30.png

GBP/JPY is expected to trade in a lower range. Key resistance is seen at 163.85. The pair stays below its key resistance at 163.85 and remains capped by its declining 50-period moving average. Meanwhile, the relative strength index lacks upward momentum. The first target to the downside is set at the horizontal support and overlap at 161. A breaout below this level would open the way to further weakness at 159.80.

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 161.00. A break of this target will move the pair further downwards to 159.80. The pivot point stands at 163.85. 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 164.80 and the second target at 165.90.

Resistance levels: 164.80, 165.90, 166.65

Support levels: 161, 159.80, 159

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

USDX Ichimoku indicator analysis for February 17, 2016

The US dollar index continues to move higher inside a short-term upward sloping channel and has reached the 38% retracement resistance of a decline from 99.80. The bounce in the US dollar index is not as strong as I expected. Bulls need to be very cautious.

analytics56c428083bdd4.jpg

Red lines - bullish channel

The US dollar index has entered the Ichimoku cloud in the 4-hour chart. The price remains below the 38% retracement but also above both the tenkan- and kijun-sen indicators. As long as the US dollar index is above 96.15, a trend will remain neutral. A breakout above 97.50 will change the trend to bullish.

analytics56c428bb722d6.jpg

The weekly candle is testing the weekly kijun-sen resistance. The back test is unfolding as we expected, but bulls need to be very cautious in case we see a rejection. A rejection now will push prices even lower towards 92 where the lower boundary of the Ichimoku cloud is found. Important support and stop for longs is seen at 95.30.

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

Gold wave analysis for February 17, 2016

Gold is trading above $1,200 supported by the 38% Fibonacci retracement. Can the entire downward move have ended? What must happen to gold to make it rise towards $1,300? My preferred scenario is that gold price has ended a wave 4 at the 38% retracement and has reversed as we expected yesterday. Now it is important for gold to continue its impulsive upward move.

analytics56c42672e2301.jpg

Blue line - support trend line

Gold price started an impulsive move up from $1,190. The decline was corrective. That increased chances that we could see a move above yesterday's highs. Important support is the blue trend line that connects the two recent lows.

analytics56c426d7cb746.jpg

An alternative scenario is marked by blue letters. Important resistance is seen at $1,130-40, so rejection in that area could imply the rise was wave B and wave C should move towards $1,150 near the 61.8% Fibonacci retracement. Another clue that we are heading lower will be the breakout below $1,190. So, we remain bullish as long as we are above $1,190-95.The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of EUR/JPY for February 17, 2016

Technical outlook and chart setups:

The EUR/JPY pair has reversed lower from 128.25 as expected, and now it is trading at 127.00. Bears should remain in control until prices stay below 128.25. Also please note that the pair has been following resistance trend line, and still remains its sell zone (south of the trend line). Furthermore, the pair has reversed lower from Fibonacci 50% retracement (128.25/30) of a drop between 130.25 and 125.75. It is hence recommended to remain short with risk above 128.30. Immediate support is seen at 126.25, while resistance is seen at 128.30 . The pair seems to be heading towards fresh swing lows.

Trading recommendations:

Remain short with stop at 128.50/129.00,a target is open.

Good luck!

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

Technical analysis of GBP/CHF for February 17, 2016

Technical outlook and chart setups:

The GBP/CHF pair is trading at 1.4075/80 at the moment. Please note that prices are testing the backside of intermediary resistance trend line, which could act as support now. Furthermore, prices are testing Fibonacci 0.618 support (1.4070) for a rally between 1.3920 through 1.4320. There is still a high probability that a bullish turn around can take place soon. A bullish signal here could resume the rally and push prices higher towards 1.4460 and 1.4560 subsequently. It is hence recommended to remain long with risk at 1.3900. Immediate support is seen at 1.3920/30, while resistance is seen at 1.4300 (interim). Bulls are expected to remain in control until prices stay above 1.3930.

Trading recommendations:

Remain long now with stop at 1.3900, a target is at 1.4450 and 1.4560.

Good luck!

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

Technical analysis of Gold for February 17, 2016

Technical outlook and chart setups:

Gold is trading at $1,206.50 now looking for an opportunity to push higher towards $1,233.00/35.00. The metal could face stiff resistance around $1,235.00 and produce a bearish reversal. The yellow metal hit interim lows just around $1,090.00 yesterday as seen on the hourly chart. The metal seeks to complete its first leg lower between $1,263.00 and $1,090.00. The metal is expected to rally through $1,233.00/35.00 before resuming its third leg lower towards $1,146.00. It is hence recommended to go long now with risk below the levels of $1,090.00. Immediate interim support is seen at $1,090.00, while resistance is found at $1,246.00. We expect a short-term rally before a bearish reversal.

Trading recommendations:

Stay long with stop below $1,090.00, a target is at $1,233.00.

Good luck!

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

Technical analysis of Silver for February 17, 2016

Technical outlook and chart setups:

Silver is trading at the level of $15.30 at this moment after hitting intraday lows near $15.14. The metal is likely to be poised for a rally towards $15.60/70 before reversing lower. Please note that the short-term hourly chart depicted above shows our immediate outlook. The chart reveals that immediate trend-line support has been broken, and an interim low is likely to be hit at $15.10/12. The metal could rally towards Fibonacci 0.618 resistance at $15.60 (depicted with arrow here). It is hence recommended to remain long with risk just around $15.00. Immediate interim support is found at $15.10/12, while resistance is seen at $15.80. Bulls are expected to remain in control in the short term before bears take it over.

Trading recommendations:

Long now, stop at $15.00, target is $15.60.

Good luck!

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

Daily analysis of USDX for February 17, 2016

On the H1 chart, the USDX has been trading in a bullish mode above the 200 SMA, and now we can see a fractal formation, which was developed during the today's Asian session. However, if the USDX achieves in breaking the resistance zone of 97.36, then we can expect a rally to the level of 97.77, which would add more strength to the bullish outlook.

USDXH1.png

H1 chart's resistance levels: 97.36 / 97.77

H1 chart's support levels: 96.80 / 96.40

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USDX breaks with a bearish candlestick; the support level is seen at 96.80, take profit is at 96.40, and stop loss is at 97.20.

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

Daily analysis of GBP/USD for February 17, 2016

GBP/USD is forming a lower low pattern after a huge decline held from Tuesday session's highs and now it is testing the support zone of 1.4282. When a breakout happens there, then we can expect another decline towards the level of 1.4206, which is the next interest area for buyers. However, the MACD indicator is turning to positive territory favoring the bullish scenario.

GBPUSDH1.png

H1 chart's resistance levels: 1.4369 / 1.4436

H1 chart's support levels: 1.4282 / 1.4206

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 seen at 1.4282, take profit is at 1.4206, and stop loss is at 1.4470.

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

Technical analysis of EUR/USD for February 17, 2016

!_EURUSD.jpg

When the European market opens, some economic news on the German 10-y Bond Auction is due to be released. The US will deliver economic data on the FOMC Meeting Minutes, Industrial Production m/m, Capacity Utilization Rate, Housing Starts, Core PPI m/m, PPI m/m, and uilding Permits. So amid the reports, EUR/USD will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.1184.

Strong Resistance:1.1178.

Original Resistance: 1.1167.

Inner Sell Area: 1.1156.

Target Inner Area: 1.1130.

Inner Buy Area: 1.1104.

Original Support: 1.1093.

Strong Support: 1.1082.

Breakout SELL Level: 1.1076.

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 February 17, 2016

!!_USDJPY.jpg

In Asia, Japan will release data on the Core Machinery Orders m/m, and the US will release economic data on the FOMC Meeting Minutes, Industrial Production m/m, Capacity Utilization Rate, Housing Starts, Core PPI m/m, PPI m/m, and Building Permits. So, there is a probability that the USD/JPY pair will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 114.67.

Resistance. 2: 114.44.

Resistance. 1: 114.22.

Support. 1: 113.95.

Support. 2: 113.72.

Support. 3: 113.50.

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

Elliott wave analysis of EUR/NZD for February 17, 2016

2016-02-17-EURNZD.8H.png

Wave summary:

We still expect a break above resistance at 1.7042 and, more importantly, above 1.7273 which will result in acceleration towards 1.8020.

As long as no clear break above 1.7042 is seen, we must accept the possibility of more consolidation in the 1.6835-1.7042 area.

On a longer term basis, acceleration of upward movement is expected.

Trading recommendation:

We are looking for a buying opportunity upon a break above 1.7042 for acceleration towards 1.7273 and higher.

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

Elliott wave analysis of EUR/JPY for February 17, 2016

2016-02-17-EURJPY-8H.png

Wave summary:

We still expect a decline closer to the support line near 124.00 before a faster corrective rally can occur.

In a short term, a break below 126.36 will confirm the expected downside pressure towards 124.00.

Resistance is now seen at 127.36. This resistance will protect the upside for the break below 126.36.

Trading recommendation:

Short positions are recommended at 126.10 looking for a move lower to 124.00.

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