Technical analysis of USD/JPY for August 10, 2016

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USD/JPY is under pressure. The technical picture of USD/JPY is bearish. The pair broke below its 20-period moving average and accelerated on the downside. The downside momentum is further reinforced by its declining 50-period moving average, which also acts as a resistance role and maintains the downside bias. The RSI is bearish and has broken its 30-level. On Tuesday U.S. stock indices ended marginally higher through a session showing light trading volume. The Dow Jones Industrial Average added 3 points to 18533, the S&P 500 inched up less than 1 point to 2181, and the Nasdaq Composite rose 12 points (0.2%) to 5225, a record-high closing level. Additionally, 102 represents a key resistance level, which should limit the upside potential. As long as 102 holds on the upside, look for further drop toward 100.95 and 100.65 in extension.

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 100.395. A break below this target will move the pair further downwards to 100.65. The pivot point stands at 102.00. If 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 102.30 and the second one at 102.65.

Resistance levels: 102.85, 103.90, 104.60

Support levels: 101.30, 100.95, 100.65

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Technical analysis of USD/CHF for August 10, 2016

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USD/CHF is expected to trade in a lower range as the bias remains bearish. The pair is trading below its 20-period and 50-period moving averages. The relative strength index is below its neutrality area at 50 and lacks upward momentum. Nevertheless, strong resistance base at 0.9845 has formed and should limit the upward attempts. Even though a continuation of the consolidation cannot be ruled out, its extent should be limited. As long as 0.9845 is not broken on the upside, a downward movement is expected with the horizontal resistance at 0.9845 (previous high). A break below the level 0.9720 would open the way to a further downside toward the next level at 0.9690.

Resistance levels: 0.9875, 0.9905, 0.9985

Support levels: 0.9720, 0.9690, 0.9670

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Technical analysis of NZD/USD for August 10, 2016

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NZD/USD is expected to trade upward and move further upside. The pair stands firmly above its horizontal support at 0.7180 as a support base has formed at this level, which should limit the downside attempts. The rising 50-moving average acts as a support role and maintains the upside bias. The relative strength index is above its neutrality area at 50 and lacks downward momentum. As long as 0.7180 is support, look for further upside toward 0.7295 and even 0.7320 in extension.

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 0.7320295 and the second one, at 0.7320. In the alternative scenario, short positions are recommended with the first target at 0.7145, 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 0.7105. The pivot point is at 0.7180.

Resistance levels: 0.7295, 0.7320, 0.7400

Support levels: 0.7145, 0.7105, 0.7065

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Technical analysis of GBP/JPY for August 10, 2016

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GBP/JPY is under pressure. The pair is trading below 133.20, and remains under pressure. Meanwhile the 20-period moving average has crossed below the 50-period one and the relative strength index is negatively oriented. As long as 133.20 is not broken above, the risk of a drop toward 131.20 remains high.

The pair is trading below its pivot point. It is likely to tr ade in a lower range as long as it remains below the pivot point. Short positions are recommended with the first target at 131.10. A break below this target will move the pair further downwards to 131.00. The pivot point stands at 133.20. If 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 133.95 and the second one at 134.60.

Resistance levels: 133.95 , 134.60, 135.60

Support levels: 131.10, 130.00, 129.20

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USD/CAD intraday technical levels and trading recommendations for August 10, 2016

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On May 16, a bullish pullback towards 1.3000 (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.

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

Bearish persistence below 1.3000-1.2970 (61.8% Fibonacci level) was needed to enhance bearish momentum in the market.

However, recent signs of bullish recovery were manifested around the price level of 1.2650 on June 9.

Daily fixation above 1.2980 (61.8% Fibonacci level) allows a quick bullish movement towards 1.3300 (50% Fibonacci Level) where price action should be watched for significant bearish rejection and a valid SELL entry.

On the other hand, conservative traders should be waiting for a daily fixation below 1.3000 to have a valid SELL entry. Initial T/P levels should be located at 1.2820 and 1.2700.

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Intraday technical levels and trading recommendations for GBP/USD for August 10, 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 and a bullish engulfing weekly candlestick on February 26.

Bullish fixation above 1.4670 allowed further bullish advancement initially towards 1.4950 (weekly supply) where significant bearish rejection was expressed.

The price zone between 1.3845 and 1.3550 (historical bottoms in January 2009) was considered a significant demand zone to be watched for a bullish recovery.

However, by the end of June, a significant bearish breakdown below 1.3550 was expressed as depicted on the charts.

Note that the price zone of 1.3845-1.4040 now constitutes the recent supply zone to be watched for new SELL entries if the current bullish pullback extends above 1.3550.

On the other hand, bearish persistence below the demand level at 1.3550 enhances the bearish scenario towards 1.2700 (nearest bearish projection target) where price action should be watched for a possible short-term BUY entry.

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Intraday technical levels and trading recommendations for EUR/USD for August 10, 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.

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

That is why, recent bearish rejection was expected around the current price levels (note the monthly candlesticks of May and June).

In the long term, 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 bearish outlook on an intermediate-term basis (low probability).

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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.

Later on May 18, daily persistence below the levels of 1.1400 and 1.1200 was needed to ensure enough bearish momentum towards the 1.1100 and 1.1000 levels. However, a lack of bearish pressure was manifested on June 1.

Hence, the recent bullish closure above 1.1200 enhanced further bullish advancement towards 1.1400 where evident signs of bearish rejection and a valid SELL entry were previously suggested. That is why, an obvious bearish breakdown of 1.1200 took place on June 16.

However, evident bullish rejection around 1.1130 (depicted uptrend line) brought the EUR/USD pair above 1.1200 again.

As anticipated, the recent bullish pullback towards the zone of 1.1400 offered a valid SELL entry. All T/P levels were successfully reached.

The long-term outlook for the EUR/USD pair remains bearish as the monthly chart shows. Bearish fixation below 1.1000 is needed to enhance this bearish scenario.

On July 8, recent bullish recovery was manifested around the price zone of 1.1000-1.0950 (previous consolidation range), but on July 15, significant bearish pressure was applied around 1.1150.

This week, bearish fixation below 1.1000 will be needed to allow a bearish decline to 1.0820 (key level 2) where price actions should be watched for a possible short-term BUY entry.

On the other hand, the EUR/USD pair kept trading above the price zone of 1.1000-1.0950 (previous consolidation range). Hence, further bullish advance towards 1.1170 and 1.1220 should be expected again.

Price actions should be watched around the price zone of 1.1220-1.1250 for significant bearish rejection and a valid SELL entry. S/L should be placed above 1.1350. T/P levels will be located at 1.1115, 1.1060, and 1.1020.

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Global macro overview for 10/08/2016

Global macro overview for 10/08/2016:

The Japanese Core Machinery orders have surprised the market participants when they jumped 8.3%, well above the estimate of 3.4% yesterday. This marked the indicator's strongest gain in 5 months. Nevertheless, the deflation remains a serious concern for policymakers as the Producer Price Index has declined 3.9% in July. This means the JPY 28 trillion stimulus package released by Japanese government last week might not be enough to boost the economy and the inflation. In conclusion, despite the overall good economic indicators, the BoJ major monetary tools – lowering interest rates or expanding its asset-purchase program might be used once again very soon.

Let's now take a look at the USD/JPY technical picture at the daily time frame. After hitting the 55-day moving average and the important technical resistance at the level of 106.85 the market reversed and continious to trade around the next important support at the level of 99.95 and 99.01.

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Global macro overview for 10/08/2016

Global macro overview for 10/08/2016:

The Reserve Bank of Australia Governor Glenn Stevens has admitted the RBA faces a difficult job trying to balance various different risks. There are two risks: one is related to the housing market bubble and the other to the inflation target. Moreover, he added that the RBA's 2-3% inflation target was no longer valid, by giving deflationary pressures locally and in the global economy. Nevertheless, some economists insisted the target needs to be lowered, as there are growing risks associated with lowering interest rates too far to seek a high inflation outcome. In conclusion, just before the retirement, Mr. Stevens has clearly outlined the possibility of another rate cut if the inflation target is not met. The next RBA meeting is scheduled for September and it will be closely watched by the market participants.

Let's now take a look at the AUD/USD technical picture at the daily time frame. We can clearly see that the bulls have managed to break out above the technical resistance at the level of 0.7672 and they are trying to break out even higher above the level of 0.7763. The golden trend line had been broken as well, which clearly indicates that the next target for the bulls is the recent swing top at the level of 0.7835.

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Technical analysis of EUR/JPY for August 10, 2016

General overview for 10/08/2016:

After the bullish camp did not manage to break out above the intraday resistance at the level of 113.92, the price has moved back to the weekly pivot at the level of 113.26 and continues to trade in rather narrow trading range. The bottom for wave b might be in place at the level of 112.31, but to confirm this scenario the price must impulsively break out above the 113.92 level and head higher. And violation of the intraday support at the level of 112.31 will invalidate this scenario.

Support/Resistance:

112.31 - Intraday Support

113.26 - Weekly Pivot

113.92 - Intraday Resistance

114.22 - WR1

115.76 - WR2

116.72 - WR3

Trading recommendations:

Day traders should consider opening buy orders from current price levels and place the SL just below the level of 112.30. TP is open for now.

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Technical analysis of USD/CAD for August 10, 2016

General overview for 10/08/2016:

The wave c green is being developed as anticipated at the beginning of the week and the projected target for this wave is below the intraday support at the level of 1.3000. Currently, the market is in the third sub-wave of the wave c, so there are at lease two more waves to be made before this cycle is completed.

Support/Resistance:

1.3282 - WR1

1.3251 - Wave Y Top

1.3190 - Intraday Resistance

1.3146 - Intraday Resistnace

1.3135 - Weekly Pivot

1.3080 - WS1

1.3000 - Technical Support

1.2935 - WS1

Trading recommendations:

Day traders should consider opening buy orders only if the level of 1.3251 is clearly violated. Otherwise, the bias outlook remains.

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EUR/NZD analysis for August 10, 2016

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Since our previous analysis, gold has been trading upwards. As I expected, the price tested the level of $1,355.06 in an high volume. According to the H1 time frame, I found strong upward pressure and upward trend. There is a successful test of supply in a high volume. Watch for buying opportunities. The first take profit level is set at the price of $1,364.00.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,339.80

R2: 1,342.40

R3: 1,346.50

Support levels:

S1: 1,331.50

S2: 1,328.90

S3: 1,324.70

Trading recommendations for today: Selling looks very risky. Watch for buying opportunities.

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EUR/NZD analysis for August 10, 2016

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Recently, EUR/NZD has been moving downwards. According to the H1 time frame, I found a trading range between the price of 1.5640 (resistance) and 1.5440 (support). The support level is on the test. I found pin bars and weak supply today at the support level, which is a sign that selling looks very risky. Watch for buying opportunities. If the price breaks the level of 1.5480, it will confirm bullish view.

Fibonacci Pivot Points:

Resistance levels:

R1: 1.5560

R2: 1.5590

R3: 1.5630

Support levels:

S1: 1.5470

S2: 1.5445

S3: 1.5400

Trading recommendations for today: Watch for buying opportunities.

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Technical analysis of USD/CHF for August 10, 2016

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Overview:

  • The USD/CHF pair couldn't continue its bearish market at the resistance of 0.9827. Hence, the pair dropped from the level of 0.6678 to the bottom around 0.9827. Today, the first support level is seen at 0.9752, the price is moving in a bearish channel now. Furthermore, the price has been set below the major resistance at the level of 0.9827, which coincides with the 50% Fibonacci retracement level. This resistance has been rejected several times confirming the veracity of a downtrend. Additionally, the RSI starts signaling a downward trend. As a result, if the USD/CHF pair is able to break out the first support at 0.9752, the market will decline further to 0.9705 in order to test the second support. Consequently, the market is likely to show signs of a bearish trend. So, it will be good to sell below the level of 0.9790 with the first target at 0.9752 and further to 0.9705. However, stop loss is to be placed above the level of 0.9850. Overall, we still prefer the bullish scenario, which suggests that the pair will stay below the zone of 0.9930 today.
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Technical analysis of NZD/USD for August 10, 2016

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Overview:

  • The NZD/USD pair continues moving in a bullish trend from the support levels of 0.7076 and 0.7185. Currently, the price is in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. As the price is still above the moving average (100), immediate support is seen at 0.7185, which coincides with a golden ratio (78.6% of Fibonacci). Consequently, the first support is set at the level of 0.7185. So, the market is likely to show signs of a bullish trend around the spot of 0.7185. In other words, buy orders are recommended above the golden ratio (0.7185) with the first target at the level of 0.7247. Furthermore, if the trend is able to break through the first resistance level of 0.7247. We should see the pair climbing towards the double top (0.7324) to test it. It would also be wise to consider where to place a stop loss; this should be set below the second support of 0.7076.

Intraday technical levels:

  • R3: 0.7400
  • R2: 0.7324
  • R1: 0.7247
  • PP: 0.7185
  • S1: 0.7076
  • S2: 0.7000
  • S3: 0.6923
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Elliott wave analysis of EUR/NZD for August 10, 2016

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Wave summary:

The EUR/NZD pair has once again failed to rally and remains locked inside the corrective channel from 1.5839. A break below 1.5395 will call for more downside pressure towards 1.5364 and maybe even lower to 1.5296. Only a break above minor resistance at 1.5576 will ease the downside pressure, but a break above resistance at 1.5646 is needed to indicate that the corrective decline is complete eventually and a new rally to 1.5839 and above towards at least 1.6161 is developing.

Trading recommendation

We are long EUR from 1.5627 with stop placed at 1.5390. If you are not long EUR yet, a good decision is to buy a break above 1.5646 and place your stop at 1.5390.

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Elliott wave analysis of EUR/JPY for August 10, 2016

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Wave summary:

We remain cautiously bullish as long as important support at 110.79 stays intact and will look for a break above minor resistance at 113.36, which will ease the downside pressure, while a break above resistance at 114.81 is still needed to confirm that the corrective low in wave ii is in place at 112.28 and a new impulsive rally towards 118.47 and above is developing.

A break above 114.81 will target 115.15 with 116.63 and the next minor upside target.

Trading recommendation:

We are long EUR from 113.27 with stop placed at 112.27. If you are not long EUR yet, then buy a break above 113.36 and use the same stop at 112.27.

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Technical analysis of EUR/USD for Aug 10, 2016

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When the European market opens, some Economic Data will be released such as German 10-y Bond Auction, French Industrial Production m/m.The US will release the economic data too such as Federal Budget Balance, 10-y Bond Auction, Crude Oil Inventories, JOLTS Job Openings, so amid the reports, EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.1168.

Strong Resistance:1.1162.

Original Resistance: 1.1151.

Inner Sell Area: 1.1140.

Target Inner Area: 1.1114.

Inner Buy Area: 1.1088.

Original Support: 1.1077.

Strong Support: 1.1066.

Breakout SELL Level: 1.1060.

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

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Technical analysis of USD/JPY for Aug 10, 2016

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In Asia, Japan will release the Tertiary Industry Activity m/m, PPI y/y, Core Machinery Orders m/m and the US will release some Economic Data such as Federal Budget Balance, 10-y Bond Auction, Crude Oil Inventories, JOLTS Job Openings.So there is a probability the USD/JPY will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 102.12.

Resistance. 2: 101.92.

Resistance. 1: 101.72.

Support. 1: 101.47.

Support. 2: 101.27.

Support. 3: 101.07.

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 major pairs for August 10, 2016

EUR/USD: This pair only moved sideways on Tuesday, and there is nothing significant so far. Only a movement above the resistance line at 1.1300 would lead to a "buy" signal, otherwise, this pair would remain a bearish market.

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USD/CHF: Although there is nothing significant so far on this currency trading instrument. The EMA 11 is above the EMA 56, and the Williams' % Range period 20 is often not far from the overbought territory. The resistance levels at 0.9850 and 0.9900 could still be tested this week, but a 200-pip movement to the downside would invalidate this expectation.

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GBP/USD: The outlook on the GBP/USD remains bearish, both in daily and 4-hour charts. In the 4-hour chart, there is a Bearish Confirmation Pattern, which means price is supposed to continue going further south. There are accumulation territories at 1.2950 and 1.2900, which are potential targets for bears today or tomorrow. Although there are also possibilities of the price going upwards once these accumulation territories are tested.

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USD/JPY: The USD/JPY remains in a bearish mode. Price is expected to continue going further south, as short-term rallies proffer new opportunities to sell short. The demand zones at 101.50 and 101.00 could be tested today or tomorrow.

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EUR/JPY: The EUR/JPY remains in a bearish mode. Price is expected to continue going further south, as short-term rallies proffer new opportunities to sell short. The demand zones at 113.00 and 112.50 could be tested today or tomorrow.

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Daily analysis of USDX for August 10, 2016

USDX is finding dynamic support around the 200 SMA at H1 chart and it could point to the upside in coming days. We're expecting a breakout above the resistance level of 96.32, that should also open the doors to test the 96.75 level. A decline to the 95.93 level is expected and one could expect another advance to find a bottom at the 95.93 level.

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H1 chart's resistance levels: 96.32 / 96.75

H1 chart's support levels: 95.93 / 95.51

Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish candlestick; the resistance level is at 96.32, take profit is at 96.75 and stop loss is at 95.90.

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Daily analysis of GBP/USD for August 10, 2016

GBP/USD has been trading into a bearish bias during Tuesday's session and now it's looking to consolidate below the 1.3000 psychological handle. The overall structure is still pointing to the downside and 200 SMA is bearish. As long as the Cable remains below that, then we can expect a decline towards the 1.2894 level.

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H1 chart's resistance levels: 1.3085 / 1.3148

H1 chart's support levels: 1.3000 / 1.2894

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 1.3000, take profit is at 1.2894 and stop loss is at 1.3106.

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Technical analysis of GBPUSD for August 10, 2016

GBPUSD remains in a strong downtrend as it has broken below 1.3170 and 1.3050 critical support levels I mentioned in my last post. With the pair trading below 1.30 I believe we are close to a big bounce even towards 1.32 for a re-test of the breakdown levels.

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Blue lines - bullish wedge

In the 4 hour chart I see a downward sloping wedge being formed and combined with oversold diverging stochastic indicator the chances of a bounce are high, therefore bears must be very cautious and protect their short positions. Resistance is at 1.3020.

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On a daily basis we see the breakdown of the long-term triangle pattern and the start of a new downward move that is expected to eventually push price towards 1.25. However, I would wait for a bounce to short this pair and not chase it down here.The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of USDCAD for August 10, 2016

There has been a lot of talk about the long-term triangle pattern in the USDCAD and even more talk if there is a breakout or a false breakout. Let's look at the facts. Price has broken above most triangle patterns available at least twice. However, there has been no clear strong breakout on a weekly basis. Price remains close to the triangle breakout area.

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Blue lines - triangle pattern

USDCAD is trading above the Daily Kumo and right below the upper triangle boundary. Price is making higher highs and higher lows since early June but there is no strong breakout only more choppy price action. The recent pull back increases the chances for another test of the lower triangle boundary, but a clear break out above 1.3250 will open the way for a push towards 1.36.

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In the 4 hour chart I see price making a bearish reversal after a rejection at the 61.8% Fibonacci retracement. Price is testing short-term support at 1.3120-1.30.80. A break below this level will open the way for a re-test of the 1.30 low. A break below 1.30 will squeeze a lot of the last week bulls towards 1.29 or even lower in case the bigger formation is just a bearish pennant /flag.The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of USDX for August 10, 2016

The Dollar index is showing signs of a bearish reversal as we see a minor rejection at resistance levels by Fibo levels and cloud resistance. As I mentioned in my last analysis it is important for bulls to break above 96.30-96.50 in order to confirm the bullish reversal after the NFP numbers from last week.

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With oscillators diverging in the 4 hour chart and turning lower, with a possible rejection at the 61.8% Fibonacci retracement of the decline and at the top cloud boundary, Dollar bulls may be in danger of seeing a new move lower below 95. Short-term resistance at 96.30-96.50. Support is at 95.60.

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The weekly chart shows that the start of the week finds bulls trying to break above the lower Kumo boundary while the oscillators are turning lower. Is this a lower high in the making?Maybe yes, as long as price is below 96.50 the chances of a deeper pull back below 95 are high.The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of Gold for August 10, 2016

Gold price has pulled back towards the 61.8% Fibonacci retracement and is showing signs of a bullish reversal. In my last analysis I noted the importance of the support in this area and that would be the last chance for bulls. Otherwise the scenario of a deep pull back towards $1,200 gets the lead.

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After the rejection at $1,370-75 area price pulled back towards the 61.8% Fibonacci retracement support. With oscillators diverging and turning upwards, there is a good chance a new leg up has started in Gold with targets above $1,400. Support is at $1,330 and most crucial at $1,300. Resistance is at $1,350 and next at $1,375.

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Blue lines - bullish channel

Gold price remains inside the medium-term bullish channel. Price is holding above the weekly tenkan-sen (red line indicator) implying the trend has not changed yet. This holds the bullish scenario for a new high towards $1,425-$1,450 alive. A break below $1,300 will confirm the bearish scenario for a deeper pull back towards $1,180.

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