Technical analysis of USD/CHF for September 06, 2016

USDCHFM30.png

USD/CHF is expected to trade with bearish bias as the key resistance stands at 0.9820. The pair remains under pressure below its key resistance at 0.9820 (Sept 2 top), which should limit the upside potential. The relative strength index is around its neutrality area at 50 and is mixed to bearish.

To conclude, as long as 0.9820 is not surpassed, the pair is likely to pull back to test its next support at 0.9685. A break below this level would open the way to further weaknesses toward 0.9645. Alternatively, only a break above 0.9820 would call for further advance with 0.9855 and 0.9885 as targets.

Resistance levels: 0.9855, 0.9885, 0.9935

Support levels: 0.9685, 0.9645, 0.9600

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

Technical analysis of NZD/USD for September 06, 2016

NZDUSDM30.png

NZD/USD is expected to keep its upside movement. The pair stands firmly above its horizontal support at 0.7290 and is likely to post a new rebound. The 50-period moving average is well directed, and maintains the bullish bias. In addition, the relative strength index jumped above its neutrality area at 50, and is bullish now. Hence, as long as 0.7290 holds as a support, look for further advance to 0.7425 and even to 0.7445 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 0.7425 and the second one at 0.7445. In the alternative scenario, short positions are recommended with the first target at 0.7255 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 0.7220. The pivot point is at 0.7290.

Resistance levels: 0.7425, 0.7445, 0.7490

Support levels: 0.7255, 0.7220, 0.7200

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

Technical analysis of GBP/JPY for September 06, 2016

GBPJPYM30.png

GBP/JPY is expected to trade with bullish bias above 136.80. Despite the recent consolidations, the pair still holds above its nearest support at 136.80, which should limit any downward attempts. The relative strength index is mixed below its neutrality area at 50, but lacks strong downward momentum. Though a continuation of the consolidation cannot be ruled out, its extent should be limited. To sum up, as long as 136.80 is not broken, look for further advance to 138.50. A break above this level would open the way to a further upside toward the next resistance at 139.55.

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 138.50 and the second one at 139.55. In the alternative scenario, short positions are recommended with the first target at 135.90 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 135.35. The pivot point is at 136.80.

Resistance levels: 138.50, 139.55, 140.75

Support levels: 135.90, 135.35, 134.25

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

EUR/NZD analysis for September 06, 2016

analytics57cea737be081.png

Recently, EUR/NZD has been moving downwards. The price tested the level of 1.5182 in a high volume. According to the 30M time frame, I found 2 down fractals today. The first downward fractal is at the price of 1.5181 and the second down fractal is at the price of 1.5183. My advice is to place a pending order (sell stop) at the price of 1.5180 with a target at 1.5130 and stop loss at the price of 1.5215. The intraday trend is downward. Anyway, delete pending orders if the price reaches 1.5215.

Fibonacci Pivot Points:

Resistance levels

R1: 1.5300

R2: 1.5325

R3: 1.5360

Support levels:

S1: 1.5225

S2: 1.5200

S3: 1.5165

Trading recommendations for today: Sell if the price reaches the price of 1.5180.

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

Gold analysis for September 06 , 2016

analytics57cea37c5ac9e.png

Since our previous analysis, gold has been trading upwards. The price tested the level of $1,333.02 in a high volume. The price broke a swing high at $1,329.82, which confirmed further upward movements. According to 30M time frame, I found a broken up fractal at the price of $1,329.47.According to the volume analysis, I found low volatility today. Watch for buying opportunities. The intraday trend is upward. An upward target is set at the price of $1,341.50.

Daily Fibonacci pivot points:

Resistance levels:

R1: 1,332.10

R2: 1,333.70

R3: 1,336.40

Support levels:

S1: 1,327.05

S2: 1,325.45

S3: 1,223.00

Trading recommendations for today: Watch for buying opportunities. The intraday trend is upward.

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

Technical analysis of NZD/USD for September 06, 2016

NZDUSDH1.png

Overview:

  • The NZD/USD pair continues to move upwards from the level of 0.7311. Yesterday, the pair rose from the level of 0.7311 (the level of 0.7311 coincides with a ratio of 61.8% Fibonacci retracement) to a top around 0.7342. Today, the first support level is seen at 0.7311 followed by 0.7291, while daily resistance 1 is seen at 0.7380. According to the previous events, the NZD/USD pair is still moving between the levels of 0.7312 and 0.7380; for that we expect a range of 68 pips. On the one-hour chart, immediate resistance is seen at 0.7342, which coincides with a ratio of 78.6% Fibonacci retracement. Currently, the price is moving in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. The price is still above the moving average (100), Therefore, if the trend is able to break out through the first resistance level of 0.7342, we should see the pair climbing towards the daily resistance at 0.7380 to test it. It would also be wise to consider where to place stop loss; this should be set below the second support of 0.7291.
The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis of USD/CHF for September 06, 2016

USDCHFH4.png

Overview:

  • The USD/CHF pair movement was debatable as it took place in a narrow sideways channel for a while. The market showed signs of instability. Amid the previous events, the price is still moving between the levels of 0.9861 and 0.9744. The daily resistance and support are seen at the levels of 0.9861 and 0.9744 respectively. In consequence, it is recommended to be cautious while placing orders in this area. Thus, we should wait until the sideways channel has completed. On the H4 chart, the price spot of 0.9861 remains a significant resistance zone. Therefore, there is a possibility that the USD/CH pair will move to the downside and the fall structure does not look corrective. Resistance is seen at the level of USD/CH today. So, sell below 0.9861 with the first target at 0.9744 to test last week's bottom. In overall, we still prefer the bearish scenario as long as the price is below the level of 0.9861. Furthermore, if the NZD/USD pair is able to break out the bottom at 0.9744, the market will decline further to 0.9635. However, it would also be sage to consider where to place a stop loss; this should be set above the second resistance of 0.9901.
The material has been provided by InstaForex Company - www.instaforex.com

USD/CAD intraday technical levels and trading recommendations for September 6, 2016

analytics57ce8c6d76059.pnganalytics57ce8c772f301.png

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 a 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 1.2830 on August 18.

Conservative traders should consider the recent bullish pullback towards 1.3000-1.3100 (61.8% Fibonacci level) as a valid SELL entry. S/L should be set as a daily candlestick closure above 1.3100.

Daily persistence below 1.2950 (61.8% Fibonacci level) should be defended in order to enhance the bearish side of the market.

On the other hand, note that daily fixation above 1.3000 (61.8% Fibonacci level) opens the way towards the price level of 1.3300 (50% Fibonacci level) where price action should be watched for a better SELL entry with a lower risk/reward ratio.

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

NZD/USD Intraday technical levels and trading recommendations for September 6, 2016

analytics57ce8ba78c039.png

Bullish persistence above 0.6550 (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 (lower limit of the depicted channel). That is why, the recent bullish breakout is taking place above 0.6860.

As long as the NZD/USD pair kept trading above 0.6860, further bullish advance was expected towards the price zone around 0.7400 (upper limit of the depicted channel).

The price zone of 0.7350 - 0.7400 (upper limit of the depicted channel) should offer a valid SELL entry. Initial T/P levels should be located at 0.7100, 0.7000, and 0.6900. S/L should be set as a daily candlestick closure above 0.7400.

Confirmation of the depicted Head and Shoulders reversal pattern requires a DAILY candlestick closure below 0.6970 (neckline). Projection targets extend down to 0.6760 and 0.6690 levels.

On the other hand, the price zone between 0.6760-0.6700 constitutes a support zone to be watched for a possible BUY entry if the current bearish swing extends below 0.7000.

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

Global macro overview for 06/09/2016

Global macro overview for 06/09/2016:

Good news regarding the current oil supply glut was released yesterday. According to Reuters news agency, Saudi Arabia and Russia agreed on Monday to cooperate in global oil markets. The cooperation will include a crude output cut in the future, which should help decrease the global supply as both countries are among leading oil producers. This might be the first step towards a strategic energy partnership and might also encourage other producers to join the cut.

Let's now take a look at the Crude Oil technical picture on the H4 time frame. Immediately after the news was released, the crude oil rallied to the next technical resistance at the level of 46.40 where it was capped. Currently, the price got back to the trading range, but is still trading above 21-period moving average. If the bull camp wants to continue pushing prices higher, they must break out above the mentioned resistance at the level of 46.40 and head towards recent highs at the level of 48.70. Otherwise, the price will test the 61% Fibo at the level of 42.88 again.

analytics57ce8b9d34810.jpg

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

Global macro overview for 06/09/2016

Global macro overview for 06/09/2016:

The Reserve Bank of Australia left the cash rate unchanged at 1.5% overnight, just as expected. RBA Governor Glen Stevens said in the statement that global economy grows at a lower than average pace, but China's growth seems to be stabilizing.These were two main reasons why after easing in August the RBA considered steady policy to be consistent with sustainable growth. Moreover, Stevens remarks regarding domestic economy were mostly positive. He said the Australian economy continues to grow, the inflation remains at low levels, employment keeps increasing, and home prices have risen moderately over past year (no real threat of a bubble yet). In conclusion, the statement from Governor Stevens was very neutral, but it was widely expected after the August rate cut.

Let's now take a look at the AUD/USD technical picture on the daily time frame. Bulls managed to bounce the price from 100 DMA, but the rally does not seem to be impressive so far. The technical resistance at the level of 0.7672 is still not violated and the market is back to the range bound horizontal zone.

analytics57ce873ec85c1.jpg

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

Technical analysis of EUR/JPY for September 6, 2016

General overview for 06/09/2016:

The wave a of the corrective structure in wave (2) has been completed. The wave b looks completed as well, but might evolve into a more complex correction. The projected min. target for this wave is at the level of 115.01 (the previous wave 4 low), but the correction might get more complex and time-consuming. Moreover, the alternative count is still indicating a possible (a) (b) (c) horizontal structure in progress, but so far the impulsive labeling has been fitting better to the market situation.

Support/Resistance:

116.32 - Intraday Resistance

115.58 - Weekly Pivot

115.01 - Intraday Support

114.80 - WS1

113.09 - WS2

Trading recommendations:

The main part of the downward movement has been done already, so day traders should refrain from trading and wait for a better trading setup to occur shortly.

analytics57ce7df07cedf.jpg

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

Technical analysis of USD/CAD for September 6, 2016

General overview for 06/09/2016:

The five waves to the downside in the latest move have been completed. The next wave development should be wave b purple progression to the upside. Please notice, the golden trend line has been slightly violated, but it will still be providing dynamic support/resistance around the level of 1.2900 level. The clearly visible bullish divergence between the price and momentum oscillator supports the view.

Support/Resistance:

1.3191 - WR2

1.3147 - Technical Resistance

1.3069 - WR1

1.3025 - Weekly Pivot

1.2982 - Intraday Resistance

1.2903 - WS1

1.2859 - WS2

Trading recommendations:

The main part of the move down has been already done, so day traders should refrain from trading and wait for a better trading setup to occur shortly.

analytics57ce7d11c7609.jpg

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

Technical analysis of USDX for September 6, 2016

It was a quiet day for the Dollar index yesterday as the market holiday kept participants mostly away. The Dollar index is trapped in a trading range for the short term and traders should be very cautious opening new positions.

analytics57ce672636766.jpg

Black line - short-term resistance trend line

Blue line - medium-term support trend line

The Dollar index has short-term resistance at 95.92 and support at 95.50. The decline from 96.27 has an overlapping structure and this implies that it is corrective of the main bullish trend. Important medium-term trend change level is at 94.50. So bulls will need to defend this level.

analytics57ce679b8d41e.jpg

Green line - trend line support

The Dollar index so far holds above the important green trend line support. The 94.50 level should be used as stop for long positions and 96.30 for short positions. Important weekly resistance by the Ichimoku cloud is at 96.50.

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

Technical analysis of Gold for September 6, 2016

Gold price action was very quiet yesterday mainly because of the holiday in the US and the closed markets. Gold price could have very well started its next leg up towards $1,400 but this scenario will be more valid on a break above $1,350.

analytics57ce65b4002b8.jpg

Black line - resistance trend line

Gold price is inside the 4-hour cloud resistance area. Gold price has short-term resistance at $1,330-40. A break above it will open the way for a re-test of the highs. Support is at $1,315. A break below it will open the way for a push towards $1,280 and lower.

analytics57ce662e05100.jpg

Blue lines -bullish channel

The weekly candles in Gold show me that there are now increased chances of a multi-week bounce towards our previous highs. Last week's candle is a bullish hammer and if we see a strong follow through then the highs will be challenged. Weekly support is at $1,280 and has not been reached. A new low in Gold will not cancel the bullish scenario but with everyone expecting $1,280 it is no surprise that Gold did not eventually reach that level.

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

Elliott wave analysis of EUR/NZD for September 6, 2016

analytics57ce52d35e42f.png

Wave summary:

With a low seen at 1.5181 (just above our stop at 1.5180), we will be looking for a new chance to break above the minor resistance line near 1.5320 to indicate that wave ii finally is complete and wave iii higher can take off towards at least 1.6419.

That said, we must accept that wave ii are allowed to move all the way down to 1.5072 before completing and setting the stage for the rally in wave iii higher. But the low of wave i at 1.5072 is not allowed to be broken even with a single pip as that will force a recount of the entire decline from 1.9030.

Trading recommendation:

We are long EUR from 1.5370 with stop placed at 1.5180. If you are not long EUR yet, then only buy a break above 1.5320 and use the same stop at 1.5180.

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

Elliott wave analysis of EUR/JPY for September 6, 2016

analytics57ce50f5ded70.png

Wave summary:

Red wave [iv] moved slightly lower than the expected 115.44 (the low has been seen at 115.07). Holding nicely above 114.94, it keeps our impulsive count alive for the final rally in red wave [v] towards 116.63 and possibly even 117.60 before completing this impulsive rally. This is calling for a correction back to 115.07 from where the next impulsive rally could begin.

Even though we expect a correction from 117.60, we do not recommend anyone going short as we have entered wave three higher and it can begin accelerating any time now.

Trading recommendation:

We are long EUR from 114.05 and will move our stop higher to 115.45 once minor resistance at 116.16 is broken and take profit will be placed at 117.50. If you are not long EUR already wait for the next correction to 115.07 before entering long.

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

Technical analysis of EUR/USD for Sept 06, 2016

!!!_EURUSD.jpg

When the European market opens, some economic data will be released such as Revised GDP q/q, Retail PMI, and German Factory Orders m/m. A series of reports are expected from the United States such as Labor Market Conditions Index m/m, IBD/TIPP Economic Optimism, and ISM Non-Manufacturing PMI. So amid the reports, EUR/USD will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.1202.

Strong Resistance:1.1196.

Original Resistance: 1.1185.

Inner Sell Area: 1.1174.

Target Inner Area: 1.1148.

Inner Buy Area: 1.1122.

Original Support: 1.1111.

Strong Support: 1.1100.

Breakout SELL Level: 1.1094.

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 Sept 06, 2016

!_USD_JPY.jpg

In Asia, Japan will release the 30-y Bond Auction. The US will release some economic data such as Labor Market Conditions Index m/m, IBD/TIPP Economic Optimism, and ISM Non-Manufacturing PMI. So there is a probability the USD/JPY pair will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVELS:

Resistance. 3: 104.01.

Resistance. 2: 103.81.

Resistance. 1: 103.60.

Support. 1: 103.35.

Support. 2: 103.15.

Support. 3: 102.94.

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 September 6, 2016

EUR/USD: The EUR/USD pair did not undergo much activity yesterday. The bias is bearish and further downward movement is anticipated this week, which would make price reach the support lines at 1.1100 and 1.1050 this week.

1.png

USD/CHF: This pair went flat on August 5, 2016 – while the bias on the market remains bullish. There is a Bullish Confirmation Pattern in the market, and it is expected that when the trend resumes, it would be in favor of bulls. The resistance levels at 0.9850 and 0.9900 could still be tested this week.

2.png

GBP/USD: GBP is already strengthened versus other majors (while the EUR/GBP is going downwards). There may be pullbacks along the way, which would be temporary in most cases. This means that further upwards movement is anticipated on GBP/USD, which might reach the distribution territories at 1.3400 and 1.3450 this week.

3.png

USD/JPY: The USD/JPY pair experienced a minor pullback on Monday. The bias on this pair, as well as other JPY pairs, is bullish. There is a Bullish Confirmation Pattern in the market, and further northward movement is possible. Until there is a noteworthy change in the market, long trades would be logical.

4.png

EUR/JPY: The EUR/JPY pair underwent an 85-pip pullback on Monday, in the context of an uptrend. The pullback could end up being an opportunity to buy at a lower price, for the market could go up upwards from here. As long as price does not go below the demand zone at 113.00, the bullish bias would remain valid.

5.png

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

Daily analysis of USDX for September 06, 2016

The index made a rebound above the 200 SMA on H1 chart and now it's looking to test the 96.14 level in coming days, as the overall bullish structure remains intact. That support provided by the SMA is helping bulls to gain further momentum. Eventually, we may see some rallies toward the 96.51 level.

USDXH1.png

H1 chart's resistance levels: 96.14 / 96.51

H1 chart's support levels: 95.79 / 95.49

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 96.14, take profit is at 96.51 and stop loss is at 95.75.

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

Daily analysis of GBP/USD for September 06, 2016

The pair found resistance at the 1.3360 level and now will look to break higher in order to rally towards the 1.3480 price zone. Currently, bulls are struggling to make new highs, but the corrective phase could extend to the support level of 1.3258, where a breakout should open the doors to test the 1.3170 level, which is slightly below the 200 SMA on H1 chart.

GBPUSDH1.png

H1 chart's resistance levels: 1.3360 / 1.3458

H1 chart's support levels: 1.3358 / 1.3270

Trading recommendations for today: Based on the H1 chart, buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.3360, take profit is at 1.3458 and stop loss is at 1.3241.

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

Daily analysis of EUR/JPY for September 05, 2016

EURJPYH4.png

Overview

The EURJPY pair closed in the black above 115.40 levels that forms the initial support against correctional bullish attempts to confirm the positive overview for the upcoming period. We will wait for a new bullish attempt to reach the target at 116.80, which break will confirm testing the main resistance at 117.80. Stochastic stability within the overbought areas increases the chances of gathering another positive momentum that will confirm bullish domination until reaching anticipated targets. The expected trading range for today is between 115.40 and 116.80.

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

Daily analysis of GBP/JPY for September 05, 2016

GBPJPYH4.png

Overview

The GBPJPY pair rebound negatively after touching 138.80 levels affected by stochastic stability below 80 levels. Holding above 137.00 confirms positive domination for the upcoming trading and boosts expectations for another positive momentum, followed by reaching the previously expected target at 140.00. The price attempt to decline below 137.00 levels will postpone the positive overview and will lead to rebound negatively once again until testing the minor bullish channel support around 135.00. The expected trading range for today is between 137.40 and 140.00.

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

Daily analysis of Gold for September 05, 2016

GOLDH4.png

Overview

The gold price managed to breach the EMA50 and get rid of its intraday negative pressure, thus reinforcing expectations for further gains in the upcoming sessions. The price is likely to test the key resistance 1,354.60, which break represents the key to extend gold price gains to 1,400.00. Therefore, the bullish trend is still expected on the intraday and short-term bases, unless we witness a clear break and hold below 1,297.75 as the break of this level will push the price to extend the correctional bearish wave to 1,249.95 before any new attempt to rise. The expected trading range for today is between the 1,297.75 support and the 1,354.60 resistance.

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

Daily analysis of Silver for September 05, 2016

SILVERH4.png

Overview

The silver price managed to hit our first main target at 19.38 and settle around it, accompanied by clear overbought signals generated by stochastic. This might lead to some temporary sideways fluctuations before resuming the bullish bias again. In general, we will still expect the bullish trend in the upcoming period unless breaking and holding below 18.30 levels. A breach of the 19.38 – 19.52 areas will activate the positive effect of the falling Wedge pattern, which signs appear on the chart. It will help the price head towards our next main target at 21.12. The expected trading range for today is between the 18.90 support and the 19.70 resistance.

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