Daily analysis of major pairs for October 11, 2017

EUR/USD: A bullish signal has been generated on the EUR/USD pair. Price has gained more than 80 pips this week, and it is now above the support line at 1.1800, going towards the resistance line at 1.1850 (the initial target). There are other targets at the resistance lines of 1.1900 and 1.1950, which would soon be breached. The EMA 11 has crossed the EMA 56 to the upside, and the Williams' Percentage Range period 20 is in the overbought region.


USD/CHF: Owing to the strength in EUR/USD, USD/CHF has been coming down gradually. The current southward movement has not been strong enough to override the recent bullish bias on the market. However, the more EUR/USD goes up, the more USD/CHF comes down. It would form a bearish bias, once the support level at 0.9700 is breached to the downside.


GBP/USD: The GBP/USD pair has gone upwards by more than 130 pips this week, now threatening the recent bearish outlook on the market. The RSI period 14 has crossed the level 50 to the upside, and once the distribution territory at 1.3300 is overcome, a Bullish Confirmation Pattern will appear in the market.


USD/JPY: There is an ongoing equilibrium phase in the market. A movement above the supply level at 114.00 would affirm the long-term bullish bias, while a movement below the demand level at 111.00 would result in bearish bias. Price gradually moving south, and so, a movement to the south is the most likely course of action.


EUR/JPY: This cross has gone sideways so far this week. The market has become neutral in the short term, and the neutrality may continue until price goes above the supply zone at 134.00; or below the demand zone at 131.00. One of this condition must be fulfilled this week or next week, for price to go out of the equilibrium phase.


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