Technical analysis of NZD/JPY for June 08, 2016

NZD/JPY has been consolidating between 78.00 and 75.00 although eventually the price broke below the ascending channel sending it below the 200 Moving Average. The pair rejected the S2 support (based on the Fibonacci applied to the channel breakout point) at first but then it was broken and followed by a correctional move up to R1 (75.00) where it found strong resistance.

The R1 was rejected once and currently NZD/JPY is retesting this level once again. This could be a good entry point to go short and therefore consider selling at the current rate 74.00, targeting the 0% Fibonacci - S3 (71.70) area. The stop loss should be just above the R2 (75.70).

Support: 74.20, 73.20, 71.70

Resistance: 74.00, 75.70

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Technical analysis of AUD/JPY for June 08, 2016

AUD/JPY found strong resistance near 87.00 and after forming a double top started to move down rapidly. And while falling the price broke below a slightly ascending channel.

The Fibonacci applied to the channel breakout point shows that price broke below the 38.2% Fibs - S1 (79.20) and rejected the 50% level - R1 (80.55) a number of times. Currently, the pair is trading just below the 200 Moving Average and could be ready to continue the downtrend.

Consider selling AUD/JPY at the current rate (79.90), targeting either S2 (77.50) or S3 (74.70) support levels. The stop loss should be just above the 81.00 psychological resistance.

Support: 79.20, 77.50, 74.70

Resistance: 80.55, 81.90

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NZD/USD Intraday technical levels and trading recommendations for June 8, 2016

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

In February and March, signs of bearish rejection (triple-top reversal pattern) were expressed around the price level of 0.6750 until April when a bullish breakout above 0.6750 and 0.6860 was executed.

Later on May 6, daily candlestick closure below the 0.6850 level enhanced a quick bearish movement towards 0.6750 where bullish rejection was expected to be applied. However, obvious bearish closure below 0.6750 was achieved on May 24.

On May 30, obvious bullish rejection was expressed around the price level of 0.6675 (the lower limit of the depicted channel). That's why, the recent bullish breakout is taking place above 0.6860.

As long as the NZD/USD pair keeps trading above 0.6860, further bullish advancement should be expected towards the price levels of 0.7050 and 0.7150.

On the other hand, the price zone between 0.6760 - 0.6860 constitutes a significant support zone to offer bullish rejection and a valid BUY entry if a bearish pullback occurs soon.

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USD/CAD intraday technical levels and trading recommendations for June 8, 2016

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On December 7, a bullish breakout above 1.3450 (upper limit of the recent consolidation range) enhanced the bullish side of the market. Hence a bullish visit to the resistance at 1.4120 (the Fibonacci Expansion 100%) occurred.

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

The 1.4120 level (the Fibonacci Expansion 100%) stood as a significant resistance level where a significant bearish rejection was applied.

Although the area of 1.3050-1.3250 was expected to offer bullish support for the USD/CAD pair, the same price zone was broken as depicted on the daily chart.

Shortly after, the 1.3300 level stood as a significant resistance as it corresponds to the 50% Fibonacci level and the backside of the broken weekly uptrend where a valid sell entry was suggested on March 24.

Since then, the USD/CAD pair has been trapped within the consolidation range between 1.3300 and 1.3300 until a bearish breakout took place on April 11.

Shortly after the quick bearish decline took place below 1.3000, signs of bullish recovery were expressed around 1.2460.

The recent bullish pullback towards 1.3000 (the 61.8% Fibonacci level) was expected to offer a valid signal to sell the USD/CAD pair. However, a lack of significant bearish rejection was manifested during recent consolidations.

Recently on May 18, temporary bullish fixation above 1.3000 (the 61.8% Fibonacci level) opened the way towards the 1.3180 level where significant bearish pressure was originated.

The current bearish persistence below 1.3000-1.2970 (61.8% Fibonacci level) should be maintained to enhance more bearish momentum in the market. Initial T/P levels should be located at 1.2770, 1.2650 then 1.2450.

On the other hand, the price zone of 1.2400-1.2500 constitutes a significant support zone to be watched for possible BUY entries if enough bearish pressure is applied below 1.2650.

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Intraday technical levels and trading recommendations for GBP/USD for June 8, 2016

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Since January 2016, bullish persistence above 1.4500 was mandatory to maintain enough bullish strength in the market.

However, the previous weekly candlesticks maintained their bearish persistence below the depicted weekly supply zone (below 1.4470) which allowed further bearish decline to occur.

The prominent demand level located at 1.3845 (historical bottom that goes back to March 2009) provided a significant bullish rejection on February 26.

As expected, an evident bullish recovery and a bullish engulfing weekly candlestick were expressed around 1.3845 (prominent weekly demand level) where a significant bullish swing was initiated on March 1.

On the other hand, the price zone of 1.4475-1.4670 has been standing as a significant supply zone during the past few weeks.

On May 3, the depicted long-term downtrend line came to meet the GBP/USD pair around the same price zone.

Hence, significant bearish rejection and strong bearish weekly candlesticks were executed around the upper limit of it (1.4670 level).

As long as the GBP/USD pair keeps trading below 1.4670, the next bearish destinations for the pair will be located at 1.4300, 1.4220, and 1.4050.

Bearish persistence below 1.4480 should be achieved to maintain enough bearish momentum in the market.

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In February 2016, a lower high was achieved around the level of 1.4530. This applied extensive bearish pressure against the price level of 1.4470.

The GBP/USD pair looked oversold when the previous bearish decline extended below 1.4040 (temporary support). That is why, a significant bullish recovery and a profitable long entry were suggested around 1.3845.

On April 7, the market failed to push below the price level of 1.4050. Moreover, a bullish movement was executed again towards the price levels of 1.4750 (slightly above the 61.8% Fibonacci level).

As anticipated, significant bearish rejection was expressed around the price zone of 1.4700-1.4750 (the 61.8% Fibonacci level) resulting in a strong bearish shooting-star daily candlestick.

Daily persistence below 1.4470 was needed to enhance further bearish decline initially towards 1.4350, 1.4220, and 1.4050.

However, On May 16, lack of enough bearish momentum below 1.4330-1.4350 resulted in the current bullish breakthrough above 1.4470.

Please note that the price zone of 1.4670-1.4700 corresponded to the 61.8% Fibonacci level and the depicted downtrend line.

Hence, significant bearish rejection and a valid SELL entry were suggested around these price levels. It's already running in profits now.

Daily persistence below the level of 1.4480 is needed to enhance further bearish decline towards 1.4350 and 1.4220.

However, on June 2, lack of enough bearish pressure was manifested below the level of 1.4380. Hence, another bullish pullback is expressed towards the price level of 1.4470.

Note that any bullish closure above 1.4470 opens the way directly towards the next supply zone (1.4670-1.4700) where the 61.8% Fibonacci level is located. Hence, a valid sell entry can be offered if enough bearish rejection is expressed around this price zone.

Please note that the GBP/USD pair may become trapped between the price levels of 1.4470 and 1.4700 before breakout occurs in either direction.

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Intraday technical levels and trading recommendations for EUR/USD for June 8, 2016

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

In March 2015, the EUR/USD bears challenged the next monthly demand level around 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. However, next monthly candlesticks (September, October, and November) reflected a strong bearish rejection around the area of 1.1400-1.1500.

In February 2016, the depicted price levels around 1.1400-1.1500 acted as a significant supply zone during the current bullish pullback.

That's why, another bearish rejection is expected around the current price levels (Note the previous monthly candlestick of May).

In the long-term prospect, the level of 0.9450 will remain a projected bearish target if the current monthly candlestick comes to close below the depicted monthly demand level of 1.0570.

On the other hand, note that a monthly candlestick closure above 1.1400 invalidates this scenario on the intermediate-term.

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In December 2015, 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. Bullish fixation above 1.1000 was mandatory to allow bullish movement to continue.

Similar to what happened in October 2015, the supply zone of 1.1410-1.1550 constituted a significant resistance zone for the EUR/USD pair.

On May 5, the 1.1600 level corresponded to the backside of the broken uptrend line depicted on the chart where the shooting-star daily candlestick appeared, indicating significant bearish rejection.

Daily persistence below the levels of 1.1400 and 1.1200 was needed to ensure enough bearish momentum towards the 1.1100 and 1000 levels. However, lack of enough bearish pressure was manifested by the end of last week's consolidations.

The recent bullish closure above 1.1200, enhanced further bullish advancement towards 1.1420 where price action should be considered for a better SELL entry. S/L should be placed above 1.1470.

On the other hand, any bearish pullback towards the level of 1.1000 (the depicted uptrend line and a previous consolidation range) should be considered for a possible BUY entry. S/L should be placed below 1.0950.

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EUR/NZD analysis for June 08, 2016

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Recently, EUR/NZD has been moving downwards. As I had expected, the price tested the level of 1.6224 in a high volume. According to the 30M time frame, the price is testing the strong swing low at the level of 1.6224. I found bullish piercing pattern, which is a sign that we may see further upward price. Take profit level is set at the price of 1.6280 and 1.6335. Anyway, if the price breaks the level of 1.6224, we may see see the bearish continuation and a potential testing of 1.6100,

Fibonacci Pivot Points:

Resistance levels:

R1: 1.6420

R2: 1.6465

R3: 1.6550

Support levels:

S1: 1.6250

S2: 1.6200

S3: 1.6115

Trading recommendation for today: Watch for potential buying opportunities since the support level is on the test. Sell only if you see breakout of support.

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Technical analysis of NZD/USD for June 08, 2016

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Overview:

  • The NZD/USD pair will face strong resistance at the level of 0.7053 because the price of 0.7053 represents a double top. So, the strong resistance is already seen at the level of 0.7053 and the pair is likely to try to approach it in order to test it again. However, if the pair fails to pass through the level of 0.7053, the market will indicate a bearish opportunity below the new strong resistance level of 0.7053. Hence, the RSI starts signaling a downward trend at the point of 0.7053. Consequently, the market is likely to show signs of a bearish trend. Thus, it will be good to sell below the level of 0.7050 with the first target at 0.9600 and further to 0.7000 in order to test the daily support. If the NZD/USD pair is able to break out the daily support at 0.7000, the market will decline further to 0.6938. However, the price spot of 0.7050 and 0.7060 remains a significant resistance zone. Then, the trend is still bearish as long as the level of 0.7055 is not breached. On the other hand, the stop loss should always be taken into account, for that it will be reasonable to set your stop loss at the level of 0.7950.
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Gold analysis for June 08 , 2016

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Since our previous analysis, gold has been moving upwards. The price tested the level of $1,254.00 in a high volume. According to the 30M time frame, I found broken trading range (re-accumulation phase). The price went out of the trading range in a high volume, which is a sign that selling looks risky. My advice is to watch fro buying opportunities on the dips. The first take profit level is set at the price of $1,265.00.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,248.80

R2: 1,251.60

R3: 1,256.00

Support levels:

S1: 1,239.50

S2: 1,236.70

S3: 1,232.10

Trading recommendations for today: Be careful when selling and watch for buying opportunities on the dips.

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Technical analysis of USD/CHF for June 08, 2016

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Overview:

  • On the four-hour chart, the USD/CHF pair continues moving in a bearish trend from the resistance levels of 0.9699 and 0.9637. Currently, the price is in the bearish channel. This is confirmed by the RSI indicator signaling that we are still in the bearish trending market. As the price is still below the moving average (100), immediate resistance is seen at 0.9637, which coincides with a ratio (38.2% of Fibonacci). Also, it should be noticed that support has become resistance at the price of 0.9637 in order to change polarity. Consequently, the first resistance is seen at the level of 0.9637 today. So, the market is likely to show signs of a bearish trend around the spot of 0.9637/0.9640. In other words, sell orders are recommended below 0.9637 with the first target at the level of 0.9594. Furthermore, if the trend is able to break out through the first resistance level of 0.9594, we will see the pair dropping towards the second support (0.9504) to test it. It would also be wise to consider where to place stop loss. It should be set above the first resistance of 0.9640.
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Global macro overview for 08/06/2016

Global macro overview for 08/06/2016:

Crude oil inventories data are scheduled for release today at 02:30pm GMT. Market participants are expecting a drop in stockpiles to the level of -3000k barrels. Last week the inventories dropped as well, but to the lowest level of -1366k barrels, so this week anticipated number might reflect the recent economic data. The OPEC members met in Vienna last week but failed to reach any agreement on production targets, just like the last OPEC meeting in Qatar in March. This means the OPEC credibility has decreased significantly over last months and there are some analysts that are calling "the end of OPEC supremacy". In conclusion, the current situation inside of the OPEC membership zone looks like a situation where all the members are functioning according to "every man for himself" rule, so maybe it is time for the market to determine the price of oil rather than any cartel of oil producers.

Let's now take a look at the Crude Oil technical picture in the 4H time frame. Another higher high has been made today above the $50 level as the market still trades above 21,50 and 100 moving average. Nevertheless, the momentum is decreasing now as the MACD indicator is printing lower highs. This might be the time for bears to step in and push the prices lower towards the latest support at the level of 47.72.

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Technical analysis of Silver for June 08, 2016

Technical outlook and chart setups:

Silver has also pushed higher today and is seen to be trading at $16.70 levels at this moment. Please note that the metal is facing resistance at the Fibonacci 0.382 retracement levels of the drop between $18.00 through $15.80 levels respectively. It is still possible that the metal will pushe higher towards $17.00/20 levels, which is the Fibonacci 0.618 retracement level, before turning lower. It is hence recommended to prepare to initiate short positions from the current levels or from $17.00/20 levels, with risk above $18.00 levels. Immediate support is seen at $16.25 levels, while resistance is at $17.20 levels respectively.

Trading recommendations:

Remain flat for now. Look to go short after bearish confirmation.

Good luck!

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Global macro overview for 08/06/2016

Global macro overview for 08/06/2016:

Before the national referendum in Britain on June 23rd this year, the macroeconomic outlook and analysis will be still important but not that much as the ongoing poll results. The GBP/USD pair will get very volatile and trading conditions will get very choppy ahead of the referendum day. Nevertheless, it looks like the market is behaving according to the risk on/risk off pattern, where risk on is a situation when Brexit supporters are the majority in the polls and risk off is a situation when more people supports the plans for Britain to remain in the eurozone.

So, let's take a look at the recent poll results conducted by two companies yesterday - ORB/Telegraph and YouGov Times:

ORB/Telegraph Brexit Poll: +48% for staying in the E.U, +47% for leaving (prior +51% for staying in the E.U, +46% for leaving)

YouGov Times Brexit poll: +43% for staying in the E.U, +42% to leave (prior poll on June 5th: was +41% for staying in the E.U, +45% to leave).

Let's now take a look at the GBP/USD technical picture in the 4H time frame. The three consecutive spikes up have ended below the last swing high and this might be the first clue the bears are starting to show their strength in this market. Nevertheless, to confirm this assumption, the bear camp would have to break out below the recent lower low at the level of 1.4349.

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Technical analysis of Gold for June 08, 2016

Technical outlook and chart setups:

Gold has pushed higher and is seen to be trading at $1,253.00 level at this moment. The rally is not expected to sustain for too long though and a bearish reversal seems to be imminent from here or around $1,260.00/65.00 levels. The metal is expected to face strong resistance around $1,260.00/65.00 levels with fibonacci 0.618 retracement and trend line resistance passing around the same levels. The counter trend rally that begun from $1,200.00 level earlier, also seems to be coming to an end. A bearish reversal should be expected soon and push prices lower towards $1,150 levels. Hence it is now recommended to consider taking short positions, with risk above $1,303.00 level. Immediate resistance is seen at $1,265.00 levels, while support is at $1,235.00 level respectively.

Trading recommendations:

Remain short now, stop above $1,303.00, a target is $1,150.00

Good luck!

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Technical analysis of EUR/JPY for June 8, 2016

General overview for 08/06/2016:

The top for the possible wave i was made at the level of 122.68 and then the marked did a three wave decline towards the level of 121.34. The low of this decline was labeled as wave ii, so now it is possible to develop another up wave, that will break out above the 122.68 high. The invalidation line for this impulsive scenario is at the level of 120.80.

Support/Resistance:

120.56 - WS3

121.33 - Intraday Support

121.78 - Weekly Pivot

122.68 - Intraday Resistance

122.74 - WR1

Trading recommendations:

Swing traders should close all their long-term swing sell orders as the market might be ready to establish a long-term bottom and reverse upwards.

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Technical analysis of USD/CAD for June 8, 2016

General overview for 08/06/2016:

The green impulsive count has been invalidated due to wave one and wave two overlaps. An alternative count has been made to incorporate the recent wave developments. In this count, in 4H time frame, the main swing low at the level of 1.2460 is still the point of reference for all the further wave developments. It can be the bottom of the wave 4, but it might be just a part of this wave in a shape of the wave A of 4. Moreover, the recent three wave rally to the upside has ended between the 23%Fibo and 38%Fibo, which is very unusual. This is why there might be still one more wave to the upside missing ( wave Y on the chart), which will eventually break out above the wave W high at the level of 1.3187. On the lower time frames like H1, the growing intraday bullish divergence between the price and the momentum oscillator is supporting the bullish rally view.

Support/Resistance:

1.2678 - 1.2700 - Projected Target For Wave X

1.2754 - Intraday Resistance

1.2825 - WS1

1.2984 - Weekly Pivot

1.3054 - WR1

1.3188 - Wave (i) High

1.3210 - WR2

Trading recommendations:

Day traders should keep an eye on the level of 1.2700 and place all SL orders for buy orders just below this level. The market is still in the corrective cycle, but buying the dips is the way to trade it now.

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Technical analysis of EUR/JPY for June 08, 2016

Technical outlook and chart setups:

The EUR/JPY pair has been drifting within a tapering/diagonal triangle as depicted on the 4H chart view. The pair seems to have formed a meaningful bottom at 120.50 levels earlier and pushed higher. It is seen to be trading at 121.82 levels for now, looking to continue rallying further. Please note that the pair has got potential to rally through 124.00, 126.00 and also 128.00 levels going forward. Bulls are expected to remain in control for now, till prices stay above 120.50 levels broadly. A break above the consolidation structure, would accelerate its rally. It is hence recommended to remain long with risk below 120.50 levels. Immediate support is seen at 120.50 levels, while resistance is seen at 122.67 levels respectively.

Trading recommendations:

Remain long for now, stop below 120.50, ф target remains open.

Good luck!

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Technical analysis of USDX for June 8, 2016

The Dollar index remains in a bearish trend and is now challenging important short-term support levels like 93.50. If this pull back off 96 is not the main trend, the Dollar index will soon reverse upwards. If continued weakness remains, this will not be a good sign.

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The Dollar index is trading below the Kumo and both the tenkan- and kijun-sen (red and yellow line indicators). Trend remains bearish as long as price is below the two indicators. Stochastic and RSI are giving bullish divergence signals in the 4 hour chart. This is a warning of caution for Dollar bears. Nothing more.

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The weekly candle is breaking down below the weekly tenkan-sen and the Kumo (cloud). This is a bearish sign for the longer-term trend but we have to be patient and wait for the week to end before reaching any conclusions. If the 92 reversal level is an important low, price should soon start a bullish reversal and give a lower high around 93.50. A move lower will put the bullish scenario in danger.The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of GBP/CHF for June 08, 2016

Technical outlook and chart setups:

The GBP/CHF pair has finally slipped lower and is seen to be trading at 1.4040 levels at this moment. Please note that the drop from 1.4600/25 levels has unfolded into 5 waves as depicted on the 4H chart view. The most probable move should be 3 waves corrective rally towards 1.4350/60 levels at least. Also note that the past support turned resistance trend line is also seen to be passing around 1.4350 levels and the pair should expect a bearish reaction there. It is hence recommended to remain flat for now and await for a counter trend rally towards 1.4350/60 levels to initiate short positions again. Immediate support is seen at 13950 levels, while resistance is at 1.4300 levels respectively. Expect short-term rally now, before turning lower again.

Trading recommendations:

Remain flat for now. Look to short around 1.4360 levels.

Good luck!

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Technical analysis of Gold for June 8, 2016

Gold price consolidated for a couple of days after the Friday's spike up to $1,249. Price formed a bullish flag that was falsely broken yesterday and today we see a bullish breakout. Price remains below important long-term resistance of $1,260.

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Black line - long-term resistance

Red lines - bullish flag

Gold price is trading above the Kumo (cloud) in the 4 hour chart confirming bullish trend is intact. Price made a pull back towards $1,235 yesterday but in a corrective formation. Price is rising to new short-term highs in an impulsive structure and this strengthens the bullish scenario that an important low is in at $1,200.

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The daily chart shows price below the Kumo (cloud) implying that bulls need to show more strength in order for the daily chart to turn bullish. We could still see a rejection at the $1,255-60 resistance and a new low near $1,180-60 before the next big upward move. What is certain regarding the bullish scenario, is that Gold remains in a bullish reversal pattern as long as price is above $1,045. This is most probably an important long-term low.The material has been provided by InstaForex Company - www.instaforex.com

Elliott wave analysis of EUR/NZD for June 8 - 2016

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Wave summary:

We have seen the expected decline closer to the ideal downside target at 1.6169, from where a new impulsive rally is expected. In the short term, a break above minor resistance at 1.6351 and, more importantly, a break above resistance at 1.6470 will confirm that a low is in place for a rally higher to 1.6931 and 1.7220.

Trading recommendation:

We are long in EUR from 1.6225 and will move our stop higher to 1.6125. If you are not long in EUR yet, then buy near 1.6169 and use the same stop at 1.6125.

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Elliott wave analysis of EUR/JPY for June 8 - 2016

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Wave summary:

Our preferred count remains that an ending diagonal completed with the 120.80 low. The rally of the 120.80 low to 122.70 is counted as the first minor impulsive rally (wave [i]) and the decline to 121.30 as wave [ii]), and we are now looking for a break above minor resistance at 121.98 and, more importantly, above resistance at 122.70 as a confirmation that wave [iii] higher towards 124.36 is developing. A rally above the ending diagonal resistance line near 123.50 will confirm a return to the origin of the ending diagonal at 128.22.

Only an unexpected break below 120.80 will indicate that the ending diagonal is not yet complete, but the downside potential is very limited.

Trading recommendation:

We are long in EUR from 121.70 with stop placed at 120.75. If you are not long in EUR yet, then buy a break above 121.98 and use the same stop at 120.75.

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Technical analysis of USD/JPY for June 08, 2016

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USD/JPY is expected to trade with a bearish bias. On Tuesday, US stock indices were range-bound and mixed at the close. The Dow Jones Industrial Average edged up 0.1% to 17938, the S&P 500 was also up 0.1% to 2112, while the Nasdaq Composite was down 0.1% to 4961. Energy shares continued to be the leaders as oil prices settled above $50 a barrel for the first time since July. Telecoms and transportation shares also performed well, while pharmaceutical, biotech and financial shares were under pressure.

Nymex crude oil gained 1.3% to $50.36 a barrel, the highest closing level since July 21. Gold pared losses to settle at $1243, down $2 compared to the previous session, while the benchmark 10-year treasury yield eased to 1.713% from 1.723% Monday.

In forex trading, the US dollar weakened broadly against other major currencies. The Australian dollar jumped after the Reserve Bank of Australia, as expected, kept its key interest rate unchanged at 1.75% and gave no indication of further easing. AUD/USD surged 1.2% to 0.7457, breaking above its 200-day moving average.

The Canadian dollar strengthened further against the US dollar as oil prices hit 2016 highs. USD/CAD dropped another 0.6% to a one-month low of 1.2734.

The British pound bounced in Asian trading hours yesterday as two polls on Britain's EU membership referendum showed that the "Remain" camp was taking the lead. GBP/USD once reached 1.4643 and settled 0.7% higher at 1.4542.

Meanwhile, EUR/USD traded in a tight range and closed broadly flat at 1.1356. At the same time, USD/JPY declined 0.2% to 107.33, USD/CHF fell 0.6% to 0.9646 and NZD/USD was up 0.8% to 0.6973. The pair failed to break above the key resistance at 107.95 yesterday and turned out to be under pressure. Currently it is capped by the descending 20-period (30-minute chart) moving average, which stands below the 50-period one. Strong downward momentum is indicated by the relative strength index, which is badly directed below the neutrality level of 50. The first downside target at 106.40 is within reach, and below that the next support would be found at 106.00.

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 106.40. A break of this target will move the pair further downwards to 106.00. The pivot point stands at 107.45. 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 107.95 and the second one at 108.50.

Resistance levels: 107.95, 108.50, 109.10

Support levels: 106.40, 106.00, 105.70

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Technical analysis of USD/CHF for June 08, 2016

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USD/CHF is under pressure. The pair remains capped by its declining 20-period and 50-period moving averages since June 6 and is challenging the nearest support at 0.9715. Besides, the relative strength index remains weak below its neutrality area at 50 and lacks upward momentum. The first target to the downside is therefore set at 0.9590. A break below this level would trigger a new pullback towards 0.9550.

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 0.9590. A break of this target will move the pair further downwards to 0.9550. The pivot point stands at 0.9715. 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 0.9750 and the second one at 0.9780.

Resistance levels: 0.9750, 0.9780, 0.9810

Support levels: 0.9590, 0.9550, 0.95

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Technical analysis of NZD/USD for June 08, 2016

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NZD/USD is expected to trade in a higher range as the bias remains bullish. The pair posted a strong rebound yesterday and is likely to challenge its nearest resistance at 0.6940. Meanwhile, both the 20-period and 50-period moving averages are heading upward and call for further upsides. In this case, as long as 0.6940 is not broken, expect a new bounce to 0.7020 at first, and then to 0.7055.

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. Therefore, long positions are recommended with the first target at 0.7020 and the second one at 0.7055. In the alternative scenario, short positions are recommended with the first target at 0.6890 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 0.6835. The pivot point is at 0.6940.

Resistance levels: 0.7020, 0.7055

Support levels: 0.6890, 0.6835, 0.6795

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

Technical analysis of GBP/JPY for June 08, 2016

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GBP/JPY is expected to trade with a bullish bias. The pair has broken above a declining trend line since June 6, while the 20-period moving average has crossed above the 50-period one. The relative strength index shows downward momentum. As long as 154.90 holds as the key support, target 157.25 and 158.75 as the next supports.

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. Therefore, long positions are recommended with the first target at 157.25 and the second one at 158.75. In the alternative scenario, short positions are recommended with the first target at 154.10 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 152.90. The pivot point is at 154.90.

Resistance levels: 157.25, 158.75, 159.50

Support levels: 154.10, 152.90, 151.35

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

Daily analysis of major pairs for June 8, 2016

EUR/USD: The EUR/USD has consolidated so far this week; whereas a closer look at the market reveals that bulls are still willing to push the market further upwards. Since there is a Bullish Confirmation Pattern in the market, the resistance lines at 1.1400, 1.1450 and 1.1500 would be tested as the price goes further upwards.

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USD/CHF: The USD/CHF has dropped by 115 pips this week, underlining the bearish signal that started last Friday. The EMA 11 is below the EMA 56, while the RSI period 14 is below the level 50. The price is currently breaking through the market level at 0.9650. In case the price is able to go below that level, the next target would be the support level at 0.9600.

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GBP/USD: The Cable has continued making a bullish attempt, and that has put the recent bearish bias in jeopardy. The price is now above the accumulation territory at 1.4500, targeting the distribution territories at 1.4600 and 0.4650. These distribution territories have been tested and could be retested again, leading to a confirmed bullish bias.

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USD/JPY: This currency trading instrument is still consolidating in the context of a downtrend, but when momentum returns to the market, it would be in favor of bulls. This is because the outlook on JPY pairs is bullish for this week, though that does not mean the demand level at 107.00 and 106.50 could not be tested.

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EUR/JPY: This currency cross pair went upwards on Monday, and further upward movement was halted at the supply zone of 122.50. Since there is a Bearish Confirmation Pattern in the market, the presence of bears is still felt. While bulls might attempt to push the price higher, the possibility of further bearish journey exists.

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Technical analysis of EUR/USD for June 08, 2016

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When the European market opens, no economic news will be released for today. But the US will release some economic data such as the 10-y Bond Auction, Crude Oil Inventories, and JOLTS Job Openings. So amid the reports, EUR/USD will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVELS:

Breakout BUY Level: 1.1412.

Strong Resistance: 1.1405.

Original Resistance: 1.1394.

Inner Sell Area: 1.1383.

Target Inner Area: 1.1356.

Inner Buy Area: 1.1329.

Original Support: 1.1318.

Strong Support: 1.1307.

Breakout SELL Level: 1.1300.

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 June 08, 2016

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In Asia, Japan will release the Economy Watchers Sentiment, Final GDP Price Index y/y, Bank Lending y/y, Final GDP q/q, and Current Account. The US will release some economic data such as the 10-y Bond Auction, Crude Oil Inventories, and JOLTS Job Openings. So there is a probability the USD/JPY will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVELS:

Resistance. 3: 107.44.

Resistance. 2: 107.23.

Resistance. 1: 107.02.

Support. 1: 106.76.

Support. 2: 106.55.

Support. 3: 106.34.

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

AUD/NZD trading recommendation for 8th June 2016

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AUD/NZD almost hit our stop loss yesterday and reversed perfectly to our entry area. Due to the changing dynamics of the elliott wave, we turn bullish from here buying now and adding onto our position if the price drops lower. The RSI is also on a really beautiful ascending support where we can see it supporting the price for a bounce. Stop loss is at our key wave 1 high where the price should not drop below based on the elliott wave structure.

Trading recommendation:

Buy now and add onto your position if the price drops to 1.0650.

Take profit at 1.0750

Stop loss at 1.0610

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

EUR/AUD trading recommendations for 8th June 2016

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EUR/AUD is on major fractal support (2x fibonacci projection level + 27% support on RSI) which leads us to play a bounce from here to the 38% retracement target of 1.5330. We can also see how the price has bounced off this RSI support level many times in the past beautifully.

Trading recommendations:

Buy now

Take profit at 1.5330

Stop loss at 1.5175

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

Daily analysis of USDX for June 08, 2016

In H1 chart, USDX is still forming a lower low pattern above the support level of 93.89, but there are signs that a breakout could happen to extend the decline toward the 93.50 level. However, to avoid the bearish scenario for coming days, it should break above the resistance zone of 94.30, where a rally to the 200 SMA can happen.

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H1 chart's resistance levels: 94.30 / 94.62

H1 chart's support levels: 93.89 / 93.50

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USD Index breaks with a bearish candlestick; the support level is at 93.89, take profit is at 93.50, and stop loss is at 94.28.

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

Daily analysis of GBP/USD for June 08, 2016

Volatility is on the air, at least in the GBP pairs, as we saw a huge rebound towards the resistance level of 1.4659 during Tuesday's session. Currently, Cable could be looking to restart the bearish bias to attempt a break below the 200 SMA, but the sideways structure remains solid and eventually we should see some irregular moves before Brexit referendum

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H1 chart's resistance levels: 1.4649 / 1.4730

H1 chart's support levels: 1.4530 / 1.4464

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 1.4530, take profit is at 1.4464 and stop loss is at 1.4598.

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

Daily analysis of gold for June 07, 2016

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Overview

Gold price managed to close above 1,243.17 level yesterday. This fact represents a positive factor that supports the continuation of the bullish trend scenario on the intraday and short term basis. Additionally, this scenario gets continuous support from the EMA50 and the positive overlapping signal that is coming from stochastic now. Therefore, these factors encourage us to keep our bullish trend expectations. The next target is located at 1,303.58. However, breaking 1,228.20 and then 1,205.80 levels will invalidate the suggested positive scenario and put the price under the bearish correctional pressure. The expected trading range for today is between 1,230.00 support and 1,270.00 resistance.

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

Daily analysis of silver for June 07, 2016

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Overview

Silver price has been trading with slight negativity since morning, having moved below 16.37 level, and stochastic is reaching the thresholds of the oversold levels now. Meanwhile, the EMA50 forms an intraday support base at 16.25 that protects the positive scenario suggested in our last reports. Therefore, the bullish bias will remain preferred on the intraday and short term basis, and the targets begin at 17.00 and extend to 18.00. Holding above 15.87 level is important for keeping the chances of achieving the suggested targets.

The expected trading range for today is between 16.15 support and 16.80 resistance.

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