USD/CAD intraday technical levels and trading recommendations for April 5, 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 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 (bearish engulfing weekly candlestick).

The level of 1.4120 (Fibonacci Expansion 100%) stood as a significant key level to be watched for further price reactions.

Although the price zone of 1.3170-1.3250 was expected to offer bullish support for the USD/CAD pair, temporary bearish breakdown of the same price zone is being manifested on the daily chart.

This price zone corresponded to the depicted weekly uptrend line and the upper limit of the previous consolidation range (prominent breakout level).

Previously, the price level of 1.2975 (61.8% Fibonacci level) stood as a prominent support level which provided significant bullish rejection and prevented further bearish decline.

On the other hand, the price level of 1.3300 constituted a significant resistance level as it corresponded to the 50% Fibonacci level and the backside of the broken weekly uptrend where a valid sell entry was suggested on March 24.

Conservative traders should wait for a DAILY closure below 1.2975 (61.8% Fibonacci level) to SELL the USD/CAD pair. Initial T/P levels should be located at 1.2770 and 1.2550.

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Intraday technical levels and trading recommendations for GBP/USD for April 5, 2016

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On January 21, after the GBP/USD pair moved below 1.4340, evident signs of a bullish recovery were expressed around 1.4075. Hence, previous weekly candlesticks closed above 1.4340 again.

Bullish persistence above 1.4488 was mandatory to maintain enough bullish strength in the market. The first bullish target was seen at 1.4615 where the most recent bearish swing was initiated.

As previous weekly candlesticks maintained their bearish persistence below the depicted demand zone (below 1.4340), the next demand level located at 1.3845 (historical bottom that goes back to March 2009) provided significant bullish rejection on February 26.

As expected, an evident bullish recovery and a bullish engulfing weekly candlestick were expressed around 1.3850 (prominent weekly demand level). That is why, a valid buy entry was suggested near the same level.

Recently, the price zone of 1.4340-1.4488 has been a significant supply zone during the past few weeks.

Bullish persistence above the price level of 1.4488 will allow a quick bullish movement to occur towards 1.4620.

Otherwise, a quick bearish movement towards the price levels of 1.4060 and 1.3960 should be expected.

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A recent lower high was achieved around the level of 1.4530. This applied extensive bearish pressure against the price level of 1.4340.

Hence, an extensive bearish breakout below 1.4340 was expressed on the daily chart. The GBP/USD pair looked oversold few weeks ago.

That is why, signs of bullish recovery and a profitable long entry were expected around 1.3850. A recent bullish swing was expressed towards the price levels around 1.4400.

On March 14, a recent bearish movement was initiated around 1.4350 (61.8% Fibonacci level). The nearest bearish target was located around 1.4050 where the current bullish swing was initiated.

Last week, the price level of 1.4488 was being challenged. It corresponded to the 79.6% Fibonacci level and the backside of the depicted uptrend line. That is where the recent bearish swing was initiated towards 1.4050.

The price zone of 1.4340-1.4490 constitutes a significant supply zone to be watched for evident bearish rejection and a valid SELL entry.

Today, daily persistence below 1.4340 (61.8% Fibonacci level) is needed to ensure further bearish decline. Estimated bearish targets are located at 1.4060 and 1.3960.

Otherwise, if bullish persistence above 1.4490 is achieved, a bullish movement towards 1.4650 should be expected (low probability).

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Intraday technical levels and trading recommendations for EUR/USD for April 5, 2016

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In January 2015, the EUR/USD pair moved below the major demand levels near 1.2100 and 1.2000 where historical bottoms had been previously set in July 2012 and June 2010. Hence, a long-term bearish target is projected towards 0.9450.

In March 2015, the EUR/USD bears challenged the monthly demand level of 1.0570, which had been previously reached in August 1997.

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

April's monthly candlestick came as a bullish engulfing one. However, the next monthly candlesticks (September, October, and November) reflected a strong bearish rejection in the area around 1.1400.

December's candlestick came as a bullish engulfing one, allowing the previous bullish swing to take place towards 1.1390.

In February, the price zone of 1.1350-1.1400 acted as a significant supply zone during the previous bullish pullback. Hence, another bearish rejection should be expected around the current price zone during the current bullish swing.

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

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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 most recent bullish swing was initiated.

During the last few weeks, a consolidation range between 1.1000 and 1.0800 was established on the daily chart. On February 3, a bullish breakout was executed above this consolidation range.

Consequently, a quick bullish movement started towards the zone of 1.1350-1.1400 where previous daily bottoms and the backside of the broken uptrend were depicted on the daily chart.

On February 12, a strong bearish engulfing daily candlestick was expressed near the mentioned supply zone. Hence, a quick bearish decline towards 1.1000 was executed.

A temporary bearish breakdown below 1.1000 (upper limit of the broken range) was seen on the daily chart. A quick bearish decline was expected towards 1.0820 where the most recent bullish swing was initiated.

Recently, bullish fixation above 1.1000 was mandatory to allow bullish movement to continue. Bullish targets were expected around 1.1320 and 1.1400.

Similar to what happened on February 12, the supply zone of 1.1320-1.1400 stands as a significant resistance zone for the EUR/USD pair to offer bearish rejection and a valid sell entry.

Daily breakdown of the depicted uptrend line (around the price level of 1.1320) is needed to ensure enough bearish momentum in the market.

Trading Recommendation:

A valid sell entry can be offered around the supply zone around 1.1400. T/P levels should be placed at 1.1200 and 1.1070. S/L should be placed above 1.1460.

Conservative traders can wait for a daily closure below 1.1300 to SELL the EUR/USD pair. Initial T/P levels should be located at 1.1150 and 1.1080.

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EUR/NZD analysis for April 05, 2016

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Recently, EUR/NZD has been moving upwards. As I expected, the price tested the level of 1.6791 in a high volume. EUR/NZD is trading in a clearly defined upward trend channel. Watch for buying opportunities on dips inside the channel. I found successful rejection from the medium lane in upward channel, which is a good sign for futher upward movement. First take profit level at the price of 1.6645 has been reached. I found absorption of selling climax in the background, which is a sign that selling EUR/NZD looks very risky. Second take profit level is set at the price of 1.6850.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.6885

R2: 1.6725

R3: 1.6790

Support levels:

S1: 1.6550

S2: 1.6510

S3: 1.6445

Trading recommendation for today: Watch for buying opportunities on the dips.

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Gold analysis for April 05 , 2016

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Since our previous analysis, Gold has been moving upwards. As I expected , the price reached our first take profit level at $1,232.80. An accumulation phase took place and we got the strong effect (upward movement) from professionals. According to the 30M time frame, I found a massive volume spike (selling climax) in the background followed by a reversal up-thrust bar (demand overcame supply). Today we can observe again successful testing of supply in a low-average volume, which is a strong sign for me that professional money is still interested in an upward price. Watch for buying opportunities on the dips. Take profit level is set near the price of $1,241.00.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,220.70

R2: 1,222.50

R3: 1,225.37

Support levels:

S1: 1,215.10

S2: 1,213.40

S3: 1,210.70

Trading recommendations for today: watch for buying opportunties on the dips.

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Daily analysis of major pairs for April 5, 2016

EUR/USD: Once EUR/USD tested the resistance line at 1.1400, it became difficult for the price to go above that line. Bulls have been battering that defense line since last week. As the bullish outlook on the market is valid, there is a high probability that the resistance line would be breached to the upside today or tomorrow.

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USD/CHF: This currency trading instrument did not make any serious movements on Monday. There is a bearish confirmation pattern on the chart. The EMA 11 is below the EMA 56, while the Williams' % Range period 20 is in the oversold region. Further southward movement is possible, though there could also be a rally this week.

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GBP/USD: The situation surrounding the cable is tricky now. The bulls and bears are struggling for domination. While further bearish correction is not ruled out, a rally is a great possibility because the April outlook for GBP is rather bright. This strength would be seen in most GBP pairs.

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USD/JPY: Since last Tuesday, this pair has been moving downwards. The price has declined by 260 pips, now it is below the supply level at 111.00. The EMA 11 is below the EMA 56 and the RSI period 14 is below the 50 level. The next target for bears is located around the demand levels at 110.50 and 110.00.

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EUR/JPY: There is a "sell" signal in EUR/JPY; and now there is a bearish confirmation pattern on the 4-hour chart. This cross started a bearish correction on April 1, 2016 and has continued it so far. The demand zone at 126.00 has been tested and it might be breached to the downside.

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Technical analysis of USD/CHF for April 5, 2016

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Overview:

  • The NZD/USD pair has dropped sharply from the level of 0.6845 towards 0.6770. Now, the price is set at 0.6770 to act as a daily pivot point. It should be noted that volatility is very high for that the NZD/USD pair is still moving between 0.6845 and 0.6723 in coming hours.
  • Furthermore, the price has been set below the strong resistance at the levels of 0.6852 and 0.6816, which coincides with the 61.8% and 50% Fibonacci retracement level, respectively.
  • Additionally, the price is in a bearish channel now.
  • Therefore, the price spot of 0.6852 and 0.6816 remains a significant resistance zone. Hence, a possibility that the NZD/USD pair will have downside momentum is rather convincing and the structure of a fall does not look corrective. In order to indicate a bearish opportunity below 0.6816, sell below 0.6816 or 0.6780 with the first target at 0.6723.
  • If the trend is able to break the first support at the level of 0.6723, then the market will continue falling towards the level of 0.6667 so as to test the double bottom.
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Technical analysis of USD/CHF for April 5, 2016

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Overview:

  • The trend of USD/CHF pair movement was controversial as it took place in a narrow sideways channel, the market showed signs of instability. Amid the previous events, the price is still moving between the levels of 0.9556 and 0.9639. Also, the daily resistance and support are seen at the levels of 0.9556 and 0.9492 respectively. Therefore, it is recommended to be cautious while placing orders in this area. So, we need to wait until the sideways channel is completed. Yesterday, the market moved from its bottom at 0.9556 and continued rising towards the top of 0.9639. Today, on the one-hour chart, the current rise will remain within a framework of correction. However, if the pair fails to pass through the level of 0.9639, the market will indicate a bearish opportunity below the strong resistance level of 0.9639 (the level of 0.9639 coincides with the daily pivot point). Since there is nothing new in this market, it is not bullish yet. Sell deals are recommended below the level of 0.9639 with the first target at 0.9556. If the trend breaks the support level of 0.9556, the pair is likely to move downwards continuing the development of a bearish trend to the level of 0.9492 in order to test the daily support 1 (horizontal green line). On the other hand, if a breakout happens at the support level of 0.9639, then this scenario may become invalidated.
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Global macro overview for 05/04/2016

Global macro overview for 05/04/2016:

The Construction PMI, which is the key indicator of a household activity in UK, remained steady in March at the level of 54.2. This figure was 0.1 point lower than the market consensus, but still unchanged from February's 10-month low. The residential housing sector has recorded the weakest pace of growth since January 2013, despite efforts made by the government to spur more housebuilding. Nevertheless, 51% of survey respondents said they anticipate an increase in business activity at their units over the next 12 months, while only 11% forecast a slowdown. In conclusion, the housing market is still showing high level of performance and it can still contribute substantially to the next GDP reading (revised up to 0.6% from a previous estimate of 0.5%).

Let's now take a look at the GBP/USD technical picture in the 4H time frame. We can see the recent rejection of the level of 1.4324 (now resistance) and a downward move towards the support at the level of 1.4194. The market is clearly trading inside the triangle pattern and as long as the golden trend line is not clearly violated, the bulls and bears will fight to take the control over this market. The long term trend remains bearish.

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Technical analysis of EUR/CAD for April 05, 2016

The EUR/CAD pair managed to find a hard bottom near the 1.4500 level after which a sharp move up followed. The spike up resulted in the breakout of the descending channel, where price broke above the 23.6% (R1) level of the Fibonacci applied to the channel breakout point.

Following the sharp rise to the 1.5000 area, price corrected downwards, tested and rejected the upper channel trend line twice. Finally price broke above the 200 Moving Average, which could signal about the start of the corrective move higher.

While price broke above the R1 (1.4960) but hasn't tested R2 (1.5130), consider buying EUR/CAD either on a corrective wave down towards S1 (1.4850) or on the R1 breakout targeting the nearest resistance R2. The stop loss should be just below S1.

Support: 1.4850, 1.4760, 1.4670

Resistance: 1.4960, 1.5130

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Technical analysis of CAD/CHF for April 05, 2016

CAD/CHF was range trading for the past month and only few days ago pair managed to get below the 0.7330 support level. This could signal that a downtrend is about to emerge.

The pair was also trading below the 200 Moving Average, then, broke below a descending channel and close below it. The Fibonacci, applied to the first corrective wave after the 0.7330 support, and a channel breakout showed potential downside targets.

Consider selling CAD/CHF either on a small pullbacks or on the breakout below S1 (0.7300). There are 3 targets, including S2, S3 and S4 (0.7125) being the final target. The stop loss should be just above R1 (0.7370)

Support: 0.7300, 0.7260, 0.7190, 0.7225

Resistance: 0.7330, 0.7370

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Global macro overview for 05/04/2016

Global macro overview for 05/04/2016:

The Reserve Bank of Australia kept the official cash rate at a record low of 2% for a 10th consecutive meeting yesterday, just in line with the market expectations. RBA Governor Glenn Stevens said low inflation would facilitate another rate cut if that was necessary. This statement might be supported by the recent data, as the consumer inflation in the final quarter increased to 1.7%, the sixth straight quarter that headline inflation was below the RBA's 2-3% target range. In conclusion, if the next March-quarter inflation data ( scheduled for release on April 27) will turn out to be another failure, then chances for a rate-cut in June will be high.

Let's now take a look at the technical picture of the AUD/USD pair in the daily time frame. After making another marginal higher high at the level of 0.7721, the pair has reversed and currently it is trading just above the short-term dashed trend line around the level of 0.7564. Bulls are still in control over this market, but if bears make the price fall out of the rising wedge formation, then the next support will be seen at the level of 0.7411.

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Technical analysis of EUR/JPY for April 5, 2016

General overview for 05/04/2016:

Both of the projected target levels for wave c were violated. Currently the market is trading below this levels, testing the 78% Fibo support at the level of 125.50. The grey rectangular zone is the line in sand for bulls, because any break out lower will eventually result in the recent lows test or even break out. Please note that the alternative count still points out more complex and time-consuming corrective cycle, labeled as (a) (b) (c) blue. Moreover, any violation of the level of 124.66 will invalidate the bullish impulsive count.

Support/Resistance:

124.66 - Blue Impulsive Cycle Invalidation Level

125.41 - WS2

125.36 - Intraday Support

126.03 - Projected Target For Wave c

126.24 - WS1

126.44 - Intraday Resistance

126.95 - Intraday Resistance

127.22 - Weekly Pivot

128.05 - WR1

128.21 - Local High

Trading recommendations:

Traders should refrain from trading and wait for another trading setup to occur .

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Technical analysis of USD/CAD for April 5, 2016

General overview for 04/04/2016:

The intraday support at the level of 1.3007 worked very well, but after the bounce bulls weren't strong enough to clearly break out above the neutral zone. Currently, the market is trading inside the neutral zone between the levels of 1.3017 - 1.3148. Nevertheless, the outlook is bullish and only a sustained break out above the intraday resistance at the level of 1.3148 would confirm the bottom for wave (c) of wave Z brown is in place.

Support/Resistance:

1.2814 - WS1

1.2850 - Swing Low

1.3007 - Intraday Support

1.3048 - Weekly Pivot

1.3146 - WR1

1.3241 - WR2

Trading recommendations:

Day traders should place buy stop orders at the level of 1.3148 with SL below the level of 1.3000 and TP open for now. Any big, impulsive, long hourly candle that breaks out above the intraday resistance might suggest that bulls are back in control and we will try to join them.

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Technical analysis of USDX for April 5, 2016

The Dollar index did not make any substantial move yesterday and continues to trade around the support of 94.50. The trend remains bearish in the short and medium term. Bears however should be very cautious and protect their positions with tight stops.

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Red line- resistance

Blue area- support

The Dollar index remains below the Kumo (cloud) resistance and is trading sideways since yesterday. Support is at 94.40 while resistance is at 95.50. There are still chances of a bounce towards 95 and then a new low but as long as we are above 94.40 I remain short-term neutral.

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Blue lines - sideways channel

The Dollar index weekly chart shows us that the downward move could extend towards 93 and may not be over yet. Important weekly support is at 93 while important resistance is at 95.50. In the larger context, price continues to move inside the sideways channel.

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Technical analysis of Gold for April 5, 2016

Gold price held above recent low yesterday at $1,207 but remains inside the bearish channel. A new higher high towards $1,300-$1,320 is not ruled out yet as a break above $1,250 will increase the chance of this happening.

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Blue lines - bearish channel

Blue area - support

Yellow area - resistance

Gold price remains below the Kumo in the 4-hour chart and the trend remains bearish as long as price is below $1,245-50. Support is set at $1,207 if broken will open the way for a test of the 38% Fibonacci retracement support at $1,190.

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On a weekly basis price remains above the cloud and above the tenkan-sen indicator (red line). We have not reached the 38% Fibonacci retracement yet and therefore the possibility of a new higher high towards $1,300-$1,320 is still there. I remain longer-term bullish but I would prefer to enter long Gold once it pulls back towards $1,150-$1,100 with $1,045 stop.The material has been provided by InstaForex Company - www.instaforex.com

Elliott wave analysis of EUR/NZD for April 5 - 2016

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Wave summary:

It finally looks as this cross is beginning to accelerate. In the short term, we expect that minor support at 1.6682 will be able to protect the downside for a continuation higher to minor resistance at 1.6874 and above here it will confirm a continuation higher to 1.7220 on the way towards our long-term target at 1.8550.

If minor support at 1.6682 is broken, then back-up support is seen just below at 1.6624.

Trading recommendation:

We are long from 1.6250 and will move our stop higher to 1.6600. If you are not long yet, then buy near 1.6682 and use the same stop at 1.6600.

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Elliott wave analysis of EUR/JPY for April 5 - 2016

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Wave summary:

EUR/JPY is accelerating nicely lower as wave v is starting to unfold in practice.

Short term, we expect minor resistance near 126.43 will protect the upside for decline to below support at 124.64 confirming a return to the 122.06 low on the way towards 117.38 as the ideal downside target for wave v.

We should expect support near 124.64 will be able to provide good support and likely cause a correction higher to 126.95 before lower again.

Trading recommendation:

We sold EUR at 127.35 and will lower our stop to 126.89 and take profit at 125.05.

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Technical analysis of GBP/CHF for April 05, 2016

Technical outlook and chart setups:

The GBP/CHF pair had stalled at 1.3710/20 levels yesterday before dropping lower. The pair is seen to be trading at 1.3650/60 levels at the moment, and a push above 1.3720 levels would be encouraging for bulls. On the flip side, a drop below 1.3625 levels would confirm that the pair is poised to print lower lows. Please also note that 1.3710/20 levels is also fibonacci 0.382 resistance of the drop between 1.3950 and 1.3550 levels as depicted here. It is recommended to remain flat for now and look for further confirmation before committing trades. Immediate interim resistance is seen at 1.3720 levels while support is at 1.3550 levels respectively.

Trading recommendations:

Remain flat for now.

Good luck!

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Technical analysis of NZD/USD for April 05, 2016

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NZD/USD is expected to trade with a bearish bias. From a chartist view, the pair remains on the downside, capped by its declining 20-period and 50-period moving averages. The relatively strong index is mixed with bearish, calling for a new pullback. Besides, the nearest resistance around 0.6885 maintains the strong selling pressure on the prices. To sum up, the risk is now a slide below 0.6775, which would trigger a further decline to 0.6725.

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 0.6775. A break of this target will move the pair further downwards to 0.6725. The pivot point stands at 0.6885. 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 0.6925 and the second target at 0.6965.

Resistance levels: 0.6925, 0.6965, 0.7030

Support levels: 0.6775, 0.6725, 0.6675

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Technical analysis of EUR/JPY for April 05, 2016

Technical outlook and chart setups:

The EUR/JPY pair has reacted well at 128.40/50 levels, dropping lower by 200 pips towards the intermediary trend line support as seen here. The pair is expected to break below the support trend line and continue lower below 122.00 levels going forward. The pair is seen to be testing its counter trend support trend line at 126.00 levels. Please also note that the pair had reversed from 128.40/50 levels earlier, which is also fibonacci 0.618 resistance of the drop between 132.25 and 122.20 levels respectively. It is recommended to remain short with risk above 128.50 levels for now. Immediate resistance is seen at 128.50 levels (interim), while support is at 124.50/60 levels respectively.

Trading recommendations:

Remain short for now, stop at 128.50, a target below 122.00

Good luck!

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Technical analysis of USD/JPY for April 05, 2016

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USD/JPY is expected to trade in a lower range as the pair is capped by a bearish trend line. Overnight U.S. stocks ended lower, dragged by material and industrial shares. The Dow Jones Industrial Average fell 0.3% to 17737, the S&P 500 lost 0.3% to 2066, and the Nasdaq Composite was down 0.5% to 4891.

On the economic data front, U.S. factory orders fell 1.7% on-month in February (as expected, vs +1.2% in January), durable goods orders dropped 3.0% on-month in February (vs -2.8% expected and in January), and New York ISM fell to 50.4 in March from 53.6 in February.

Nymex crude oil dropped another 3.0% to $35.70 a barrel, gold fell 0.6% to $1,215 an ounce, while the benchmark 10-year Treasury yield was down to 1.779% from 1.793% in the previous session.

On the forex front, the U.S. dollar remained steady against the euro, but continued to fall against the yen with USD/JPY declining 0.3% to 111.31. Meanwhile, GBP/USD rebounded 0.3% to 1.4262. On the other hand, along with the slide in oil prices, the greenback strengthened against most commodities-linked currencies, with USD/CAD rising 0.6% to 1.3085, AUD/USD losing 0.9% to 0.7602 and NZD/USD falling 0.8% to 0.6833. The pair has broken below the 111.40 level while being capped by a declining trend line. Currently it is trading around the lower Bollinger band, suggesting an acceleration to the downside. Also, the intraday (30-minute chart) relative strength index has broken down the over-sold 30 level, calling for sustained bearishness. The pair is headed toward the first downside target at 110.55 and the second one at 110.25.

Trading Recommendation:

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 110.55. A break of this target will move the pair further downwards to 110.25. The pivot point stands at 111.40. 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 111.75 and the second target at 112.00.

Resistance levels: 111.75, 112.00, 112.45

Support levels: 110.55, 110.25, 109.85

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Technical analysis of USD/CHF for April 05, 2016

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USD/CHF is expected to trade in a lower range as the key resistance is set at 0.9625. The pair remains under pressure below its resistance at 0.9625 since March 31, and is more likely to test the next support at 0.9555 in the coming trading hours. The relative strength index is mixed with a bearish bias. Furthermore, the process of lower highs and lows remains intact, which should confirm a negative outlook. In this prospect, as long as 0.9625 is not surpassed, the pair is expected to post further downsides to 0.9555 and 0.9525 in extension.

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 0.9555. A break of this target will move the pair further downwards to 0.9525. The pivot point stands at 0.9625. 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 0.9650 and the second target at 0.9675.

Resistance levels: 0.9650, 0.9675, 0.9715

Support levels: 0.9555, 0.9525 , 0.9465

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Technical analysis of Silver for April 05, 2016

Technical outlook and chart setups:

Silver is seen to be trading at $15.10 levels at this moment, looking to reverse lower towards $14.50 levels at least before turning bullish again. The metal is stalling at a past support turned resistance level at $15.10/15 levels as depicted here. Furthermore it is also facing fibonacci 0.382 resistance of the drop between $15.40 and $14.80 levels respectively. Looks to be that a flat consolidation is now complete at $15.10 levels and the metal is poised to drop lower again. Major support is expected at $14.50 levels going forward. It is recommended to remain short now, with risk at $15.50 levels. Immediate resistance is at $15.50 levels, while support is seen at $14.80 levels respectively.

Trading recommendations:

Remain short for now, stop at $15.50, a target is $14.50.

Good luck!

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

Technical analysis of GBP/JPY for April 05, 2016

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GBP/JPY is expected to trade in a lower range as the pair is under pressure. The pair has been capped by its descending 50-period moving average and remains under pressure. The relative strength index stays below its 50% neutrality area and is badly directed. The first target to the downside is set at the horizontal support and overlap at 158.90. A break below this level would open the way to further weakness toward 157.35.

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 157.35. A break of this target will move the pair further downwards to 156.85. The pivot point stands at 158.90. 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 159.55 and the second target at 160.05.

Resistance levels: 159.55, 160.05, 160.60

Support levels: 157.35, 156.85, 156

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

Technical analysis of GBP/JPY for April 05, 2016

GBPJPYM30.png

GBP/JPY is expected to trade in a lower range as pair is under pressure. The pair has been capped by its descending 50-period moving average and remains under pressure. The relative strength index stays below its 50% neutrality area and is badly directed. The first target to the downside is set at the horizontal support and overlap at 158.90. A break below this level would open the way to further weakness toward 157.35.

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 157.35. A break of this target will move the pair further downwards to 156.85. The pivot point stands at 158.90. 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 159.55 and the second target at 160.05.

Resistance levels: 159.55, 160.05, 160.60

Support levels: 157.35, 156.85, 156

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

Technical analysis of Gold for April 05, 2016

Technical outlook and chart setups:

Gold is trading at $1,225.00/26.00 levels at the moment, looking to drop lower towards $1,190.00 levels from here. Please note that the metal is at the Fibonacci 0.618 retracement of the drop from $1,240.00 through $1,208.00 levels respectively. Furthermore, the resistance trend line is also passing through the same levels as depicted here. The most likely direction from the current levels is lower towards $1,190.00. It is hence recommended to remain short for now, with risk at $1,235.00 levels. Immediate resistance is seen at $1,235.00 levels, while support is at $1,207.00 levels respectively. Bears are expected to remain in control till prices stay below $1,235.00 levels.

Trading recommendations:

Remain short for now, stop at $1,235.00 target is $1,190.00

Good luck!

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

Technical analysis of EUR/USD for April 05, 2016

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When the European market opens, the following economic news will be released: Retail Sales, m/m, Final Services PMI, German Final Services PMI, French Final Services PMI, Italian Services PMI, Spanish Services PMI, German Factory Orders, m/m.The US will also disclose the economic data, including IBD/TIPP Economic Optimism, JOLTS Job Openings, ISM Non-Manufacturing PMI, Final Services PMI, Trade Balance. So amid the reports, EUR/USD will move low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.1441.

Strong Resistance:1.1434.

Original Resistance: 1.1423.

Inner Sell Area: 1.1412.

Target Inner Area: 1.1385.

Inner Buy Area: 1.1358.

Original Support: 1.1347.

Strong Support: 1.1336.

Breakout SELL Level: 1.1329.

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 April 05, 2016

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In Asia, Japan will release data on the 10-year Bond Auction, Average Cash Earnings, y/y. The US will unveil some economic data such as IBD/TIPP Economic Optimism, JOLTS Job Openings, ISM Non-Manufacturing PMI, Final Services PMI, Trade Balance. 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: 111.49.

Resistance. 2: 111.27.

Resistance. 1: 111.06.

Support. 1: 110.79.

Support. 2: 110.57.

Support. 3: 110.35.

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

Daily analysis of USDX for April 04, 2016

According to the H1 chart, the USDX is still showing a sideways structure above the support level of 94.40, where we can see that buyers' active zone is highly active and trying to push higher to the Index. However, as long as it stays below the 200 SMA in this time frame, we can expect a decline towards the 93.95 level. The MACD indicator is in negative territory.

USDXH1.png

H1 chart's resistance levels: 94.85 / 95.12

H1 chart's support levels: 94.40 / 93.95

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 94.40, take profit is at 93.95, and stop loss is at 94.85.

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

NZD/USD intraday technical levels and trading recommendations for April 4, 2016

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On January 28, the depicted support at 0.6400 acted as a prominent key level offering a valid buy entry. A bullish breakout above 0.6550 was executed a few weeks ago.

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

The price zone of 0.6750-0.6840 constituted a significant resistance zone where signs of a bearish rejection were seen during the previous few weeks (triple-top reversal pattern).

On February 9, the NZD/USD pair failed to consolidate below the depicted support level of 0.6550.

Moreover, an obvious bullish recovery was expressed around the depicted temporary support level. Hence, the recent bullish swing towards 0.6750 and 0.6860 was initiated.

On March 30, an obvious bullish breakout above 0.6850 was executed. Hence, the price level of 0.6850 now constitutes a recent support level.

Bullish persistence above 0.6850 is mandatory to ensure further bullish advancement towards 0.7070 and 0.7170 where a prominent consolidation range was previously established in June 2015.

Traders can have a valid BUY entry around the current price levels (0.6850). However, a daily closure below 0.6800 invalidates the previous bullish breakout scenario temporarily.

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

USD/CAD intraday technical levels and trading recommendations for April 4, 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 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 (bearish engulfing weekly candlestick).

The level of 1.4120 (Fibonacci Expansion 100%) stood as a significant key level to be watched for further price reactions.

Although the price zone of 1.3170-1.3250 was expected to offer bullish support for the USD/CAD pair, temporary bearish breakdown of the same price zone is being manifested on the daily chart.

This price zone corresponded to the depicted weekly uptrend line and the upper limit of the previous consolidation range (prominent breakout level).

Previously, the price level of 1.2975 (61.8% Fibonacci level) stood as a prominent support level which provided significant bullish rejection and prevented further bearish decline.

On the other hand, the price level of 1.3300 constituted a significant resistance level as it corresponded to the 50% Fibonacci level and the backside of the broken weekly uptrend where a valid sell entry was suggested on March 24.

Conservative traders should wait for a DAILY closure below 1.2975 (61.8% Fibonacci level) to SELL the USD/CAD pair. Initial T/P levels should be located at 1.2770 and 1.2550.

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

Intraday technical levels and trading recommendations for GBP/USD for April 4, 2016

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On January 21, after the GBP/USD pair moved below 1.4340, evident signs of a bullish recovery were expressed around 1.4075. Hence, previous weekly candlesticks closed above 1.4340 again.

Bullish persistence above 1.4488 was mandatory to maintain enough bullish strength in the market. The first bullish target was seen at 1.4615 where the most recent bearish swing was initiated.

As previous weekly candlesticks maintained their bearish persistence below the depicted demand zone (below 1.4340), the next demand level located at 1.3845 (historical bottom that goes back to March 2009) provided significant bullish rejection on February 26.

As expected, an evident bullish recovery and a bullish engulfing weekly candlestick were expressed around 1.3850 (prominent weekly demand level). That is why, a valid buy entry was suggested near the same level.

Recently, the price zone of 1.4340-1.4488 has been a significant supply zone during the past few weeks.

Bullish persistence above the price level of 1.4488 will allow a quick bullish movement to occur towards 1.4620.

Otherwise, a quick bearish movement towards the price levels of 1.4060 and 1.3960 should be expected.

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A recent lower high was achieved around the level of 1.4530. This applied extensive bearish pressure against the price level of 1.4340.

Hence, an extensive bearish breakout below 1.4340 was expressed on the daily chart. The GBP/USD pair looked oversold few weeks ago.

That is why, signs of bullish recovery and a profitable long entry were expected around 1.3850. A recent bullish swing was expressed towards the price levels around 1.4400.

On March 14, a recent bearish movement was initiated around 1.4350 (61.8% Fibonacci level). The nearest bearish target was located around 1.4050 where the current bullish swing was initiated.

Last week, the price level of 1.4488 was being challenged. It corresponded to the 79.6% Fibonacci level and the backside of the depicted uptrend line. That is where the recent bearish swing was initiated towards 1.4050.

The price zone of 1.4340-1.4490 constitutes a significant supply zone to be watched for evident bearish rejection and a valid SELL entry.

Today, daily persistence below 1.4340 (61.8% Fibonacci level) is needed to ensure further bearish decline. Estimated bearish targets are located at 1.4060 and 1.3960.

Otherwise, if bullish persistence above 1.4490 is achieved, a bullish movement towards 1.4650 should be expected (low probability).

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

Intraday technical levels and trading recommendations for EUR/USD for April 4, 2016

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In January 2015, the EUR/USD pair moved below the major demand levels near 1.2100 and 1.2000 where historical bottoms had been previously set in July 2012 and June 2010. Hence, a long-term bearish target is projected towards 0.9450.

In March 2015, the EUR/USD bears challenged the monthly demand level of 1.0570, which had been previously reached in August 1997.

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

April's monthly candlestick came as a bullish engulfing one. However, the next monthly candlesticks (September, October, and November) reflected a strong bearish rejection in the area around 1.1400.

December's candlestick came as a bullish engulfing one, allowing the previous bullish swing to take place towards 1.1390.

In February, the price zone of 1.1350-1.1400 acted as a significant supply zone during the previous bullish pullback. Hence, another bearish rejection should be expected around the current price zone during the current bullish swing.

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

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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 most recent bullish swing was initiated.

During the last few weeks, a consolidation range between 1.1000 and 1.0800 was established on the daily chart. On February 3, a bullish breakout was executed above this consolidation range.

Consequently, a quick bullish movement started towards the zone of 1.1350-1.1400 where previous daily bottoms and the backside of the broken uptrend were depicted on the daily chart.

On February 12, a strong bearish engulfing daily candlestick was expressed near the mentioned supply zone. Hence, a quick bearish decline towards 1.1000 was executed.

A temporary bearish breakdown below 1.1000 (upper limit of the broken range) was seen on the daily chart. A quick bearish decline was expected towards 1.0820 where the most recent bullish swing was initiated.

Recently, bullish fixation above 1.1000 was mandatory to allow bullish movement to continue. Bullish targets were expected around 1.1320 and 1.1400.

Similar to what happened on February 12, the supply zone of 1.1320-1.1400 stands as a significant resistance zone for the EUR/USD pair to offer bearish rejection and a valid sell entry.

Daily breakdown of the depicted uptrend line (around the price level of 1.1320) is needed to ensure enough bearish momentum in the market.

Trading Recommendation:

A valid sell entry can be offered around the supply zone around 1.1400. T/P levels should be placed at 1.1200 and 1.1070. S/L should be placed above 1.1460.

Conservative traders can wait for a daily closure below 1.1300 to SELL the EUR/USD pair. Initial T/P levels should be located at 1.1150 and 1.1080.

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