Gold analysis for November 21, 2016

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Since our previous analysis, gold has been trading upwards. As I expected, the price tested the level of $1,217.36 in an average volume. Using the market profile analysis, I found potential intraday bottoming near the price of $1,212.00 on the 15M time frame. I found a higher value area compared to Friday, which is a sign of strength. Watch for potential buying opportunities. I placed Fibonacci expansion to find potential upward targets. I got Fibonacci expansion 100% at the price of $1,218.90 and Fibonacci expansion 161.8% at the price of $1,226.80.

Fibonacci pivot points:

Resistance levels:

R1: 1,207.35

R2: 1,208.20

R3: 1,209.60

Support levels:

S1: 1,205.40

S2: 1,204.50

S3: 1,203.00

Trading recommendations for today: Watch for buying opportunities.

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Global macro overview for 21/11/2016

Global macro overview for 21/11/2016:

UK Prime Minister Theresa May said in a speech at the Confederation of British Industry's annual conference in London that after Brexit the UK needs to be prepared to adapt and change. She stated that the underlining driving force for the Brexit vote was the people's call for a fairer economy and this is why the big business should work with the government in order to ensure the benefits of capitalism are shared more equally. Moreover, she pledged to cut the UK corporation tax to the levels lower than US and the aim is the UK to have the lowest corporate tax rate among G20 nations. And last, but not least, she promised £2bn of investment in science and research and tax breaks for innovators after Brexit. In conclusion, some bold statements from the UK PM can not be neglected. Ambitious promises, plans and a fresh approach towards a new way of thinking for government-business relationships can make the real difference in a post-Brexit UK.

Let's now take a look at the GBP/USD technical picture in the 4H time frame. The market rallied slightly after May's speech, but so far it stopped at first intraday resistance at the level of 1.2390. Nevertheless, the key support at the level of 1.2333 looks solid and the bounce might extend higher towards the next technical resistance at the level of 1.2511.

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Global macro overview for 21/11/2016

Global macro analysis for 21/11/2016:

New York-traded crude oil has been advancing, having logged an over 5-percent weekly gain last trading week. The reason behind this move is the recent comments from Iran, who indicates that it is very possible to sign an agreement on cutting oil supply by OPEC. Iranian Oil Minister Bijan Namdar Zanganeh assessed that it is "highly likely" to reach a consensus by the countries of the cartel, in particular to reduce oil production, as quoted by laims Iranian agency Shana. The statement indicates that Iraq intends to present new proposals for the oil production. This is the point of view of Iraqi oil minister Jabbar al-Luaibi, and it he was cited by "The Wall Street Journal." In conclusion, the next meeting of OPEC and non-OPEC countries on 30th November in Vienna, Austria might be very interesting for global investors and some agreement might be finally done.

Let's now take a look at the Crude Oil technical picture in the 4H time frame. After the bounce from lower low at the level of 42.30, the market rallied to the level of 46.42. Oil is currently trading just under this resistance. The possible target for bulls might be the 50%Fibo retracement of the recent swing at the level of 47.04. In case of a break outhigher above this level, the next resistance is seen at the level of 48.42 (61%Fibo).

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Technical analysis of USD/CAD for November 21, 2016

General overview for 21/11/2016:

The top for the wave b (green) has been established at the level of 1.3566 and now the market is declining towards the intraday support at the level of 1.3398. This is why the intraday support is the key level for daytraders as any breakout below it will confirm the wave c (green ) is in progress. The projected target zone for the wave c (green) is the demand zone between the levels of 1.3290 - 1.3312.

Support/Resistance:

1.3596 - WR1

1.3566 - Intraday Resistance

1.3497 - Weekly Pivot

1.3419 - WS1

1.3398 - Intraday Support

1.3308 - WS2

Trading recommendations:

The corrective upward wave progression is about to be completed, so this is why the daytraders should consider opening only sell orders with tight SL and TP open for now.

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Technical analysis of EUR/JPY for November 21, 2016

General overview for 21/11/2016:

The old top for the wave (b) (blue) has been violated and this is why the new labeling has been made. Currently, the wave c (green) has reached almost 100% expansion of the wave a (green) and this might be the reason why the top for the wave Y (brown) of the (b) (blue) is in place. The bears must break out below the intraday support and head lower towards the weekly pivot at the level of 116.99 in order to confirm this scenario.

Support/Resistance:

118.47 - WR1

118.41 - Intraday Resistance

117.47 - Intraday Support

116.99 - Weekly Pivot

116.49 - WS1

116.24 - Local Low

Trading recommendations:

The corrective upward wave progression is about to be completed or it has completed already, so this is why the daytraders should consider opening only sell orders with tight SL and TP open for now.

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Technical analysis of GBP/USD for November 13, 2016

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Overview:

  • The market opened below the weekly resistance 2 (1.2610). The GBP/USD pair continued to move downwards from the level of 1.2560 to the bottom around 1.2471. Today, the first resistance level is seen at 1.2560 followed by 1.2610, while daily support 1 is set at 1.2470. The GBP/USD pair broke support which turned to strong resistance at 1.2560. Right now, the pair is trading below this level. It is likely to trade in a lower range as long as it remains below the support (1.2470) which is expected to act as major support today. This would suggest a bearish market because the moving average (100) is still in a negative area and does not show any signs of a trend reversal at the moment. Amid the previous events, the GBP/USD pair is still moving between the levels of 1.2560 and 1.2408. Therefore, the major resistance can be found at 1.2560 providing a clear signal to sell with a target seen at 1.2470. If the trend breaks the minor support at 1.2470, the pair will move downwards continuing the bearish trend development to the level of 1.2408 in order to test the daily support 2. Overall, we still prefer the bearish scenario which suggests that the pair will stay below the zone of 1.2560 and 1.2610 this week. However, if a breakout happens at the resistance level of 1.2610, then this scenario may be invalidated.

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USD/CAD intraday technical levels and trading recommendations for November 21, 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 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, on August 18 signs of bullish recovery were manifested around the price level of 1.2830 which led to the current bullish breakout above 1.3000.

The USD/CAD pair was trapped between the price levels of 1.3000 (61.8% Fibonacci level) and 1.3360 (50% Fibonacci level) until bullish breakout took place three weeks ago.

Note that the USD/CAD pair was challenging the upper limit of the depicted flag pattern around 1.3360-1.3400 which failed to apply enough bearish pressure on the pair.

Bullish persistence above 1.3360 will probably liberate a quick bullish movement towards 1.3650 unless the pair comes to close below 1.3360 before the end of the current week.

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Technical analysis of EUR/USD for November 21, 2016

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Overview:

  • The EUR/USD pair continues to move downwards from the level of 1.0741, which represents the double top on the H1 chart. Last week, the pair dropped from the level of 1.0741 to the bottom around 1.0568 to close at the point of 1.0630. Today, the first resistance level is seen at 1.0652 followed by 1.0741, while daily support is seen at the levels of 1.0564 and 1.0493. According to the previous events, the EUR/USD pair is still moving between the levels of 1.0741 and 1.0500. Hence, we expect a range of 241 pips in coming days. The first resistance stands at 1.0654, for that if the EUR/USD pair fails to break through the resistance level of 1.0654, the market will decline further to 1.0564. This would suggest a bearish market because the RSI indicator is still in a negative area and does not show any trend reversal signs. The pair is expected to drop lower towards at least 1.0500 in order to test the second support (1.0493). On the contrary, if a breakout takes place at the resistance level of 1.0741 (the double top), then this scenario may become invalidated.
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NZD/USD Intraday technical levels and trading recommendations for November 21, 2016

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

During August and September, a consolidation range was established from the price level of 0.7250 up to 0.7350.

Later on October 20, the lower limit of the consolidation range (0.7250) stood as a temporary resistance which initiated a bearish movement towards 0.7100 (the lower limit of the depicted channel).

Bullish recovery was expressed around the price level of 0.7100 on October 28. Hence, a double-bottom pattern was expressed on the chart.

Bullish fixation above 0.7250 and 0.7350 was needed to allow further bullish advance towards the projected target of the reversal pattern around 0.7450.

However, significant signs of a bearish reversal were expressed around the upper limit of the price range (0.7350).

The bearish breakdown of 0.7250 (lower limit of the depicted range) enhanced the bearish side of the market towards the price level of 0.7100 (recent bottom of October 28) which was broken-down as well.

Bearish persistence below 0.7100 allows quick bearish decline towards 0.6960 (BUY ZONE) where bullish rejection and a valid BUY entry should be expected. S/L should be placed below 0.6900.

On the other hand, any bullish pullback towards 0.7100 should be considered for selling the NZD/USD pair.

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Technical analysis of USD/JPY for November 21, 2016

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USD/JPY is expected to trade with bullish bias. The pair remains bullish above its rising 20-period and 50-period moving averages, which play support roles and maintains the upward bias. The relative strength index stands firmly above its neutrality level at 50.

On Friday, US stocks slipped, dragged by losses in consumer durables & apparel and health-care sectors. The Dow Jones Industrial Average declined by 35 points (-0.2%) to 18,867, the S&P 500 eased by 5 points (-0.2%) to 2,181, and the Nasdaq Composite was down by 12 points (-0.2%) to 5,321. The U.S. dollar was buoyed by hawkish comments by St. Louis Federal Reserve President James Bullard who said, "Markets are currently putting a high probability on a December move by the FOMC. I'm leaning towards supporting that."

The ICE US Dollar Index stretched 0.3% higher to 101.21, the first time it closed above 101.00 since April 8, 2003. The index posted a 4.3% gain for the tenth consecutive session, its biggest since March 2015.

In these perspectives, as long as support holds at 110.30, look for further advance to 111.65 and even to 112.0 as possible.

Trading Recommendation: 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 111.65 and the second one at 112.00. In the alternative scenario, short positions are recommended with the first target at 109.80 if the price moves below its pivot point. A break of this target is likely to push the pair further downwards, and one may expect the second target at 109.20. The pivot point lies at 110.30.

Resistance levels: 111.65, 112.00, 112.45

Support levels: 109.80, 109.20, 108.65

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NZD/USD turns bullish above key support

We remain bullish above support at 0.7010 (Fibonacci projection, bullish divergence) looking for a push up to the 0.7112 level at least (Fibonacci retracement, recent swing high resistance).

RSI (34) is also seeing a bounce from support at 36%, and bullish divergence vs price signals that a bullish reversal is approaching.

Buy above 0.7010. Set stop loss at 0.6950 and take profit at 0.7112.

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AUD/JPY drop in progress, remain bearish

We remain bearish below major resistance at 81.91 (Fibonacci retracement, Fibonacci projection, horizontal resistance) for a further drop to 80.43 (Fibonacci retracement, multiple Fibonacci projections, horizontal overlap support, recent swing low support) as the first big level to play to.

RSI (21) is seeing major descending resistance which is keeping the bearish move.

Sell below 81.91. Stop loss at 82.65. Take profit at 80.43.

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AUD/NZD profit target reached, prepare to buy

Price dropped perfectly to our profit target from last week. We turn bullish above major support at 1.0428 (Fibonacci projection, Fibonacci retracement, horizontal swing low support) and expect a push up to at least 1.0521 (Fibonacci retracement, horizontal overlap resistance).

RSI (34) is seeing major support from 36% where the previous major bounce occurred.

Stochastic (21,5,3) is seeing major support from the 0.8% too where we expect a bounce from.

Buy above 1.0428. Stop loss at 1.0362. Take profit at 1.0521.

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XAU/USD profit target reached, time to start buying

Price has dropped perfectly to our profit target from last week. We turn bullish above major support at 1202.86 (Fibonacci projection, Fibonacci retracement, horizontal swing low support) and expect a push up from here towards 1231.91.

RSI (34) is seeing major bullish divergence vs price signalling a major reversal is approaching.

Stochastic (21,5,3) is seeing major support from 5.55% signalling a bounce is impending.

Buy above 1202.86. Stop loss at 1180.91. Take profit at 1231.91.

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Technical analysis of USD/CHF for November 21, 2016

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USD/CHF is expected to advance further. The pair is trading above its rising 20-period and 50-period moving averages, which play support roles and maintain the upside bias. Additionally, 1.0050 is playing a key support role, which should limit the downside bias. The relative strength index stands firmly above its neutrality level at 50 and lacks downward momentum.The U.S. dollar is buoyed by hawkish comments by St. Louis Federal Reserve President James Bullard, who said, "Markets are currently putting a high probability on a December move by the FOMC. I'm leaning towards supporting that."

As long as 1.0050 is not broken, look for a further upside toward 1.0145 and 1.0190 in extension.

Resistance levels: 1.0145, 1.0190, 1.0235

Support levels: 1.0025, 0.9990, 0.9940

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Intraday technical levels and trading recommendations for GBP/USD for November 21, 2016

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

However, by the end of June a significant bearish break below 1.3550 was expressed as seen on the depicted charts (fundamental reasons).

Bearish persistence below the demand level at 1.3550 enhanced the bearish scenario towards the current price levels around 1.2700 (nearest bearish projection target).

Note that the GBP/USD pair was trapped inside the depicted consolidation range above 1.2700 until a bearish breakout took place on October 6.

Daily persistence below 1.2700 confirmed the bearish Flag pattern. That's why, bearish projection target would be located around 1.2020.

Recently, bullish recovery was manifested around 1.2080. That is why, a bullish pullback was being executed towards 1.2700.

The recent bullish pullback towards 1.2700 was suggested to be watched for a valid SELL entry. The bearish engulfing candlestick of the previous week enhances this scenario.

S/L should be lowered to 1.2600 to offset the associated risk. T/P levels should be located at 1.2300 (reached already) and 1.2100.

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Technical analysis of NZD/USD for November 21, 2016

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NZD/USD is under pressure. The pair is trading below its 20-period and 50-period moving averages, while the 20-period moving average just crossed below the 50-period one. The relative strength index has broken down its 30 level. Additionally, 0.7060 is playing a key resistance role, which should limit the upside potential. As long as this key level holds on the upside, look for a further drop toward 0.6975. A break below this level would call for a further decline toward 0.6935.

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 0.6975. A break below this target will move the pair further downwards to 0.6935. The pivot point stands at 0.7060. 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 0.7110 and the second one at 0.7140.

Resistance levels: 0.7110, 0.7140, 0.7180

Support levels: 0.6975, 0.6935, 0.6875

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Intraday technical levels and trading recommendations for EUR/USD for November 21, 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 depicted supply levels (note the monthly candlesticks of May, August, and October 2016).

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

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The long-term outlook for the EUR/USD pair remains bearish as the monthly chart illustrates. Bearish persistence below 1.0825 is needed to enhance this bearish scenario.

In September 2016, temporary bullish breakout above 1.1250 was expressed again, but evident bearish pressure was applied on the EUR/USD pair on September 16.

Bearish closure below 1.1250 (supply level 1) maintained enough bearish pressure and enhanced the bearish momentum towards the price level of 1.1000 (key level 1).

On November 9, obvious bearish breakdown of the 1.1000 price level occurred (Shooting Star daily candlestick). Moreover, further bearish decline below 1.0825 (Fibonacci Expansion 100%) was expressed.

The current bearish persistence below 1.0825 allowed further bearish decline to occur towards 1.0570 (demand level) where price action should be watched for short-term bullish recovery and a possible BUY entry.

On the other hand, bearish closure below the depicted demand level around 1.0570 allows further bearish decline. Initial bearish target would be located around 1.0220.

On the other hand, the price level of 1.0825 (Fibo Expansion 100%) constitutes a recent supply level to be watched for a SELL entry if any bullish pullback occurs.

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Technical analysis of GBP/JPY for November 21, 2016

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GBP/JPY is under pressure. The pair broke above its 20-period moving average but is still capped by its declining 50-period one. Additionally, 137.60 is playing a key resistance role, which should limit the upside potential. The relative strength index is below its neutrality level at 50 and lacks upward momentum. As long as 137.60 is resistance, expect a return to 136.10. A break below this level would call for a further drop toward 135.45.

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 136.10. A break below this target will move the pair further downwards to 135.45. The pivot point stands at 137.60. 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 138.50 and the second one at 139.

Resistance levels: 138.50, 139.00, 139.85

Support levels: 136.10, 135.45, 134.60

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Daily analysis of major pairs for November 21, 2016

EUR/USD: This pair trended south by 270 pips last week. Since November 9, 2016, it has come down by 700 pips. Further downwards movement is possible this week, provided that the USD does not showcase any signs of strength.

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USD/CHF: The USD/CHF pair managed to climb above the great psychological level at 1.0000 last week, and is now testing the resistance level at 1.0100. Price may be able to target the resistance level at 1.0200 this week, but any signs of weakness in the USD may send the pair plunging below the psychological level at 1.0000.

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GBP/USD: This pair moved downwards throughout last week, losing another 230 pips. The bias has become bearish in the short and long terms. And the accumulation territories at 1.2250, 1.2200 and 1.2150 might be reached this week. This market is currently not ideal for long trades. Rather, rallies should be seen as opportunities to go short.

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USD/JPY: The USD/JPY pair went upwards by over 400 pips last week. Since November 9, price has gone upwards from the low of that day. There is a huge Bullish Confirmation Pattern in the market, and further northwards journey is anticipated. Just as it was forecasted and true of last week, the outlook on JPY pairs remains bullish for this week. The trending movement on USD/JPY is the strongest in recent months.

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EUR/JPY: This cross also managed to go upwards last week, largely owing to the weakness in the Yen. The supply zone at 117.50 has been tested and it would be breached to the upside this week, as bulls target the supply zones at 118.00 and 118.50. Because of the weakness in the Yen, even weak currencies like GBP and EUR were able to rally versus it. In case a currency was strong in its own right, just like the case of the USD, we would witness a very strong bullish movement, as we have already done.

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Technical analysis of USDX for November 21, 2016

The Dollar index made a higher high on Friday at 101.47. As I said in my previous analysis, Dollar bulls need to be very cautious at current levels and raise their protective stops as a pullback will soon start. Price remains inside the bullish channel.

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Black lines - bullish channel

Red lines - trading range

Despite having broken above the long-term trading range and making a new multi year high, the Dollar index is vulnerable and in danger of a deep pullback. The 96-96.50 remains the most important long-term support area. Short-term support is at 100.80 and next at 99.

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Green line - important long-term support

Red lines - expanding triangle pattern

The Dollar index is right at the top of the expanding triangle boundary. This is a resistance area. A rejection here will push price back down towards 98.25-97.25 support levels. Critical support levels for the longer-term trend are at the weekly cloud at 96.30 where we also find the green trend line support. As long as price is above the green trend line support bulls will be favored in the longer term. Dollar bears on the other hand want to see price reverse immediately and eventually break below 96.

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Technical analysis of gold for November 21, 2016

Gold price is showing short-term signs of an upward reversal. Price is inside my target area for an important low to be created, so the next leg up I expect in Gold could start anytime now.

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At current levels I'm only buying Gold. Gold has short-term resistance at $1,233 and next at $1,250-70. Gold price needs to start making higher highs and higher lows now in order to get a trend reversal confirmation. Oscillators are oversold in the short-termso at least a short-term bounce towards resistance should be expected.

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Green line - long-term resistance

Red line - divergence trend line

On the weekly chart there are multiple divergence signals in the RSI. Combined with the fact that price has broken above the Ichimoku cloud and is back testing it now, I expect prices to bounce off the Kumo (cloud) and break above the long-term trend line resistance and push price above $1,400.

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Elliott wave analysis of EUR/NZD for November 21, 2016

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EUR/NZD - Daily

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EUR/NZD - 4 Hourly

Wave summary:

We continue to look for a break above minor resistance at 1.5200 to provide upside acceleration towards 1.5516 and above. Our preferred count shows that an ending diagonal completed with the test of 1.4812 and a return to the origin of the ending diagonal at 1.5839 is developing.

Short-term, the risk remains a break below minor support at 1.5000 that will delay the expected upside pressure.

Trading recommendation:

We are long EUR from 1.4950 with stop placed at 1.5000. If you are not long EUR yet, then buy a break above 1.5200 and use the same stop at 1.5000.

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Elliott wave analysis of EUR/JPY for November 21, 2016

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EUR/JPY - Daily

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EUR/JPY - 8 Hourly

Wave summary:

We have finally seen the expected break above 117.49 confirming more upside towards 118.59 at the next target. Later, more upside towards 122.00 is expected. Short-term, we should ideally see the former resistance at 117.49 should ideally protect the downside for the continuation higher to 118.59. A break below 117.49 and more importantly below 117.28 will indicate that a deeper correction is unfolding towards 166.22.

Trading recommendation:

We are long EUR from 115.04 and will move our stop higher to 117.20. If you are not long EUR yet, then buy near 117.49 and place your stop at 117.20 too.

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Technical analysis of EUR/USD for Nov 21 2016

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When the European market opens, there is no Economic Data will be released for today. The US will not release Economic Data, too, so, amid this condition, EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.0650.

Strong Resistance:1.0643.

Original Resistance: 1.0633.

Inner Sell Area: 1.0623.

Target Inner Area: 1.0598.

Inner Buy Area: 1.0573.

Original Support: 1.0563.

Strong Support: 1.0553.

Breakout SELL Level: 1.0546.

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 Nov 21, 2016

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In Asia, Japan will release the All Industries Activity m/m, andTrade Balance, but the US will not release any Economic Data. So, there is a probability the USD/JPY will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 111.45.

Resistance. 2: 111.23.

Resistance. 1: 111.01.

Support. 1: 110.75

Support. 2: 110.53.

Support. 3: 110.31.

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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Daily analysis of USDX for November 21, 2016

A nonstop rally of the US Dollar Index continues to set the tone for the markets, as we're seeing a consolidation above the 101.00 psychological level. Eventually, the index may reach the 102.00 area during this week, as investors continue pricing a possible Fed's rate hike in December meeting.

If USDX manages to break the 101.74 level, the next resistance would be the 102.61 level.

USDXH1.png

H1 chart's resistance levels: 101.74 / 102.61

H1 chart's support levels: 100.53 / 99.39

Trading recommendations for today: Based on the H1 chart, place buy (long) orders only if the USD Index breaks with a bullish resistance level is at 101.74, take profit is at 102.61 and stop loss is at 100.87.

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Daily analysis of GBP/USD for November 21, 2016

The pair is looking for further weakness during this week, as we already seen a bearish consolidation below the 200 SMA on H1 chart. Currently, GBP/USD is finding demand around the 1.2308 level across the board and that should produce some corrective moves before to resume the downside. If we see a breakout below that area, then we can expect a decline towards the 1.2254 level, while a breakout higher at the 1.2427 area, then it can rally to the 1.2516 level.

1479669413_GBPUSDH1.png

H1 chart's resistance levels: 1.2427 / 1.2516

H1 chart's support levels: 1.2306 / 1.2254

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 1.2427, take profit is at 1.2516 and stop loss is at 1.2340.

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