USD/CHF reached our profit target perfectly, time to start selling

The price has reached our buying area, bounced perfectly and reached our profit target from Friday. Now we turn bearish below 1.0090 resistance (Fibonacci retracement, horizontal pullback resistance) where we expect a reaction from a drop to 1.0033 support (Fibonacci retracement, horizontal support).

Stochastic (21) is seeing strong resistance at the 94% level.

Sell below 1.0090. Stop loss is at 1.0118. Take profit is at 1.0033.

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EUR/JPY: remain bullish for a push up

The price is approaching support at 118.22 (Fibonacci extension) where we expect to see a bounce to at least 120.23 resistance (Fibonacci retracement, horizontal overlap resistance).

Stochastic (21,5,3) is seeing strong support above the 5.4% level.

Buy above 118.22. Stop loss is at 117.45. Take profit is at 120.23.

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Elliott wave analysis of EUR/NZD for February 27, 2017

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Wave summary:

There really is much news to add here. We are still looking for a break above important short-term resistance, seen at 1.4866 that will confirm that a low is in place, with the test of 1.4495 and a new long-term impulsive rally is developing for a rally towards 1.5282 and higher towards 1.5836 as the next upside targets.

Short-term support is seen at 1.4554, which ideally will protect the downside for the expected break above 1.4866.

R3: 1.4866

R2: 1.4805

R1: 1.4751

Pivot: 1.4705

S1: 1.4609

S2: 1.4554

S3: 1.4495

Trading recommendation:

Buy a break above resistance seen at 1.4866 and place stop at 1.4490.

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Elliott wave analysis of EUR/JPY for February 27, 2017

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Wave summary:

The corrective decline in wave (iv) have pushed even lower than expected. The low has been seen at 118.19 and it will take a break above resistance seen at 119.51 to indicate that the correction is complete, while a break above resistance at 119.86 will confirm that wave (v) has taken over for the final rally in wave (v) of 3 to above 124.09.

R3: 120.32

R2: 119.80

R1: 119.51

Pivot: 118.95

S1: 118.60

S2: 118.19

S3: 117.60

Trading recommendation:

Buy a break above 119.51 and place stop at 118.15.

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Gold analysis for February 27, 2017

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Recently, gold has been trading sideways at the price of $1,254.70. According to the 4H time frame, I found inside bars formation, which is a sign of indecision. The price is trading in range between the price of $1,260.00 (resistance) and the price of $1,252.30 (support). Watch for breakout of support or resistance to confirm further direction. Downward targets are set at the price of $1,248.00, $1,246.20, and $1,237.00. The upward target is set at the price of $1,268.00.

Resistance levels:

R1: $1,258.00

R2: $1,258.80

R3: $1,259.90

Support levels:

S1: $1,255.70

S2: $1,255.00

S3: $1,253.90

Trading recommendations for today: watch for breakout of support or resistance to confirm further direction.

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USD/JPY fundamental analysis for February 27, 2017

USD/JPY broke below the important support area 112.50 on Friday. Currently USD is seen to gain some strength over JPY. It would be interesting to see the impact the Core Durable Goods Order will have on the market today. The figure is forecasted to be unchanged at 0.5% and Pending Home Sales report which is expected to decrease from 1.6% to 1.1%. It is expected that this pair would be very volatile during the release of the USD events today. As of some speculation it is also found that there is no certainty in interest rate increase which might result in the weakness of USD in the future. On the other hand, tomorrow morning JPY has Prelim Industrial Production report which is expected to have a downfall from 0.7% to 0.4%, Retail Sales to increase from 0.7% to 0.1%, and Housing Starts is also expected to be decreased from 3.9% to 3.4%. This pair is expected to be very volatile and provide hints for upcoming moves after the economic events takes place.

Now let us look at the technical view, after breaking below the support 112.50, it has turned into resistance now. Recent resistance area lies at 112.50-113.30. It is expected that the price will retrace back towards 112.50 resistance level and from there if we see any bullish rejection or bearish pressure we will be looking forward to sell with a target towards recent support at 111.60 and later at 110.50-60. We will not change our bearish bias to bullish unless 113.30 is taken out with a daily close on the upside.

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USD/CAD intraday technical levels and trading recommendations for February 27, 2017

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The USD/CAD pair challenged the upper limit of the depicted channel around 1.3360-1.3400 which succeeded to apply enough bearish pressure on the pair.

Shortly after, a bearish engulfing weekly candlestick was expressed by the end of the week indicating strong resistance around 1.3550.

Bearish persistence below the price level of 1.3300 (50% Fibonacci Level) was achieved.

This allowed a further decline toward 1.3200 and 1.3080 (the lower limit of the depicted channel) where bullish rejection was expressed as anticipated.

A bullish breakout above 1.3360 (50% Fibonacci level) was expected to allow a further advance toward 1.3700-1.3750 (the upper limit of the depicted channel). However, significant bearish rejection was expressed around 1.3580 (recent established top).

The price level of 1.3300 (50% Fibonacci Level) failed to provide enough support for the recent bearish pullback.

That is why the recent bearish pullback toward 1.2970 (61.8% Fibonacci level) offered a valid BUY entry as expected in the previous articles.

This week, a bullish breakout above 1.3300 (50% Fibonacci Level) is needed to enhance bullish advance towards 1.3440 and 1.3550. Otherwise, the USD/CAD pair remains trapped within the current consolidation range (1.2970-1.3300).

On the other hand, DAILY closure below 1.2970 (61.8% Fibonacci level) will confirm a double-top pattern with projected bearish targets at 1.2860, 1.2730 and 1.2600

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Trading plans for EUR/USD and USD/JPY for February 27, 2017

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Technical outlook:

The hourly chart for EUR/USD has been depicted here for short-term wave possibilities. It looks like 1.0680 level has now become a meaningful top and the prices should ideally remain lower. The drop from 1.0680 level has also unfolded into 5 waves as an impulse (1), as shown here. Furthermore, the rally through 1.0600/15 levels has unfolded into 3 waves, corrective in nature (2), as shown here. If this wave count holds true, wave (3) has probably resumed lower from 1.0618 level and it should push the prices lower at least towards 1.0300 level. Please note that waves 1 and ii are also almost ready within 5 waves to unfold lower. Immediate resistance is seen through 1.0618 level, while support is at 1.0530/40 levels respectively. It is good to remain short and also add further on intraday rallies from here on.

Trading plan:

Please remain short now (sold from 1.0600/10), also look to add further with stop at 1.0850 and targets at 1.0300 and 1.0000.

USD/JPY chart setups:

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Technical outlook:

A USD/JPY 4H chart is presented here for a medium-term outlook. The pair had earlier rallied, subdividing into 5 waves from 111.60 through 114.95 level as depicted here. The corrective drop has indeed exceeded our expectations to terminate higher nonetheless it has unfolded into 3 wave, corrective in nature A-B-C also labeled as (2) above. Also please note that the pair is also testing the back side of the resistance turned support trendline. A bullish turn is highly probable from current levels and a push through 113.00 level would also break above the counter trend resistance line depicted here. The pair is also bouncing from Fibonacci 0.786 support of the entire rally between 111.60 and 114.95 levels respectively. The bullish reversal here should push the prices through 117.00 level at least.

Trading plan:

Remain long (bought from 112.80 levels), stop at 111.60 and target 117.00 levels.

Fundamental outlook:

USD is already looking to stage its final leg rally towards fresh highs across most of the currency pairs fundamentally; hence being on the long side is favored. USD Durable Goods Orders data are scheduled to come out strong at 1.9% at 08:30 AM EST, which is complementing the above views.

Good luck!

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NZD/USD intraday technical levels and trading recommendations for February 27, 2017

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On December 16, the price level of 0.6990 failed to apply enough bullish pressure.

Instead of that, bearish movement continued toward the lower limit of the depicted BUY zone (0.6860) which provided significant bullish rejection on December 23.

The NZD/USD pair was trapped within the depicted price range (0.6860-0.6990) until a bullish breakout occurred.

A bullish breakout above 0.7000 allowed the pair to head toward the price level of 0.7100 (Key level) which failed to provide sufficient bearish pressure on the pair.

Bullish persistence above 0.7100 allowed further bullish advance toward 0.7250-0.7350 (Sell-Zone) where bearish price action should be expected.

Bearish persistence below 0.7250 is needed to allow further bearish decline toward 0.7100 (note the previous bearish DAILY candlesticks expressed within the SELL-Zone).

On the other hand, any bearish pullback toward 0.7100 should be watched for possible bullish price action. Otherwise, bearish persistence below 0.7100 will probably allow further bearish fall toward 0.6960.

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Intraday technical levels and trading recommendations for GBP/USD for February 27, 2017

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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 toward the price levels around 1.2700 (Bearish projection target).

The GBP/USD pair has been 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 is why a bearish projection target was expected near 1.2020.

On October 25, bullish recovery was initiated around the price level of 1.2080. That is why a bullish pullback was executed toward 1.2700-1.2750.

Risky traders considered this bullish pullback toward the price zone of 1.2700-1.2750 to be a valid SELL entry. All T/P levels were successfully reached.

On January 16, a bullish engulfing candlestick was expressed around the demand level of 1.2000. That is why another bullish breakout above 1.2430 was initiated.

The next bullish target is located around 1.2750 where bearish rejection should be expected.

On the other hand, the next bearish destination would be located around 1.1200 when bearish momentum is resumed.

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Intraday technical levels and trading recommendations for EUR/USD for February 27, 2017

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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 toward 0.9450.

In March 2015, the EUR/USD bears challenged the monthly demand level around 1.0570 which had been previously reached in August 1997.

Later in April 2015, a strong bullish recovery was observed around the mentioned demand level.

However, next monthly candlesticks (September, October, and November) reflected a strong bearish rejection around the area of 1.1400-1.1500.

In the longer term, the level of 0.9450 remains a projected target if the current monthly candlestick achieves bearish closure below the depicted monthly demand level of 1.0570.

Otherwise, the EUR/USD pair remains trapped within the depicted consolidation range (1.0570-1.1400).

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The long-term outlook for the EUR/USD pair remains bearish as the monthly chart illustrates. Bearish persistence below 1.0575 is needed to pursue this bearish scenario.

On November 14, bearish persistence below 1.0825 (Key-Level 2) allowed further decline toward 1.0570 (demand level) where evident bullish rejection was expressed on November 24.

Shortly after, the Fibonacci Level 50% (1.0825) constituted a recent supply level which offered a valid SELL entry on December 8.

Bearish persistence below the depicted demand level (1.0570) was expected to allow further decline toward 1.0220. However, significant bullish recovery was expressed around the price level of 1.0340 on January 3.

Bullish persistence above 1.0600 allowed further advance toward 1.0825-1.0850 (Fibonacci Level 50%) where bearish rejection and a valid SELL entry were anticipated.

At the moment, the price level of 1.0570-1.0500 stands as a prominent demand zone to be watched for a valid bullish entry (note the bullish Head & Shoulders Pattern with the initial target at 1.0800).

Otherwise, further decline can be executed towards 1.0400 if the current break below 1.0570 is maintained.

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EUR/USD Fundamental Analysis February 27, 2017

EUR/USD is currently residing just over the support area of 1.0525-50 after some bearish pressure on Friday. Today EUR had some positive results on Economical events like Spanish Flash CPI which came out as 3.0% which was expected to be 3.3%, M3 Money Supply which was equal to the forecast 4.9% but Private Loans is seen to increase by 0.1% at 2.2% which was forecasted to be 2.1%. Today USD also have some important high impact economic event Core Durable Goods Orders which is forecasted to remain same as previous at 0.5% and Pending Home Sales is forecasted to decrease from 1.6% to 1.1%. If USD fails to provide some good economy data today EUR is said to gain more strength in the coming days.

Now let us look at the technical view, price has bounced off from the support area between 1.0525-50 and despite the bearish pressure on Friday, bias is still bullish. If the price remains above the support area it is expected that the price will hit the nearest resistance at 1.0640-50 area and if that resistance is also taken out due to heavy bullish pressure 1.08 will be the ultimate resistance to target upside. On the other hand, if the price breaks below the support area 1.0525 then we might see much more downwards movement.

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EUR/USD analysis for February 27, 2017

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Recently, the EUR/USD pair has been trading sideways at the price of 1.5582. According to the 30M time frame, I found upthrust bar (bearish signal) and overbought level according to the bolinger bands. My advice is to watch for potential selling opportunities. The first target is set at the price of 1.0552 (swing low).

Resistance levels:

R1: 1.0586

R2: 1.0591

R3: 1.0600

Support levels:

S1: 1.0565

S2: 1.0560

S3: 1.0550

Trading recommendations for today: watch for potential selling opportunities.

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Global macro overview for 27/02/2017

Global macro overview for 27/02/2017:

The Consumer Confidence and Sentiment data from the Eurozone were released today and mostly were better than expected. Services Sentiment increased from 12.8 to 13.8 points, Industrial Confidence increased from 0.8 to 1.3 points, Business Climate increased from 0.76 to 0.82 points, Economic Sentiment and Consumer Confidence stayed unchanged at the levels of 108 and -6.2 points respectively. Moreover, the Consumer Inflation Expectations were unchanged as well at the level of 14.5 points. In conclusion, the Eurozone sentiment and business climate remains stable and the inflation data holds up. This looks like a good base for a further economic stability and possible expansion.

Let's now take a look at the EUR/JPY technical picture at the H4 time frame. The market had tested the important technical support at the level of 118.23 and now is trying to bounce towards the next technical resistance at the level of 119.85. The oversold market conditions might help the bullish cause, together with growing bullish divergence between the price and the momentum oscillator.

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Daily analysis of major pairs for February 27, 2017

EUR/USD: The EUR/USD pair is in a short-term downtrend, though the price made some weak bullish attempts on Thursday and Friday. The outlook on the market is bearish, and so, the recent bullish attempt happened in the context of a downtrend, which is a good opportunity to go short at better prices.

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USD/CHF: The USD/CHF pair, which is in a short-term uptrend, pulled back on Friday. The pullback could end up being a good opportunity to buy long at a better price. The market could still reach the support levels at 1.0100 and 1.0150 within the next several trading days.

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GBP/USD: The bias on the Cable is essentially flat. The market has consolidated for about three weeks, oscillating between the accumulation territory at 1.2300 and the distribution territory at 1.2600. The price must go above that distribution territory or below the accumulation territory before the current neutral bias can be considered as over. There is going to be an end to the neutrality before the end of March.

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USD/JPY: This pair moved sideways last week and then trended downwards on Thursday and Friday which has generated a "sell" signal in the market. The outlook is neutral in the medium term and bearish in the short term. The price is supposed to trend further downwards, but that does not rule out a possibility of a strong bullish breakout (which may also occur on other JPY pairs).

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EUR/JPY: The EUR/JPY pair dived by over 180 pips last week, closing below the supply zone at 118.50 on Friday. There is a clean Bullish Confirmation Pattern in the 4-hour chart, and further dive is possible this week, which may take price towards the demand zones at 118.00, 117.50, and 116.50.

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Technical analysis of GBP/USD for February 27, 2017

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Overview:

  • The GBP/USD pair is moving in a bullish trend from the support levels of 1.2380 and 1.2287.
  • Currently, the price is in a bullish channel around the spot of 1.2380 and 1.2473. 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 1.2380 and 1.2473, while the weekly strong support is found at 1.2287.
  • Consequently, the first support is set at the level of 1.2380. The market is likely to show signs of a bullish trend around the spot of 1.2380 - 1.2450.
  • In other words, buy orders are recommended above the 1.2450 level with the first target at the level of 1.2605. Furthermore, if the trend is able to break through the first resistance level of 1.2605, we will see the pair climbing towards the double top (1.2774) to test it in the coming days.
  • The market is indicating a bullish opportunity above the support levels of 1.2380 - 1.2450, for that the bullish outlook remains the same as long as the 100 EMA is headed to the upside. It would also be wise to consider where to place a stop loss; this should be set below the second support of 1.2287.
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Technical analysis of EUR/USD for February 27, 2017

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Overview:

  • The EUR/USD pair is trading around the area of 1.0585 today. In the H1 time frame, the level of 1.0585 represents a weekly pivot point. Hence, the pair has already formed minor support at 1.0563 and the strong support is seen at the level of 1.0537 because it represents the daily support 2. From this point, major resistance is seen at 1.0607. If the pair closes above the price of 1.0607, the EUR/USD pair may resume it movement to 1.0638 to test the weekly resistance 2. We expect the EUR/USD pair to move between the levels of 1.0564 and 1.0638 today. Equally important, the RSI is still calling for a strong bullish market as well as the current price is also above the ratio of 38.2% Fibonacci Expansion. As a result, buy above the weekly pivot point of 1.0585 with targets at 1.0607, 1.0638 and 1.0656 in order to test the weekly support 2. On the other hand, stop loss should always be taken into account, accordingly, it will be beneficial to set the stop loss below the last bearish wave at the level of 1.0537.
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Trading plan for 27/02/2017

Trading plan for 27/02/2017:

The Monday, 27th of February, looks like a slow start of the week with not many events in the economic calendar. Nevertheless, there are few news releases that will catch the investors' attention: Durable goods Orders from the US at 01:30 pm GMT, Pending Home Sales from the US at 03:00 pm GMT, Dallas Federal Reserve Manufacturing Activity Survey at 03:30 pm GMT and Robert Kaplan, Dallas FED President speech at the University of Oklahoma at 04:00 pm GMT.

EUR/USD analysis for 27/02.2017:

The Durable Goods Orders data are expected to increase 1.6%, after the drop of -0.4% in December 2016. The headline has been on a gentle uptrend for the past 12 months, so these stable expectations do not change the overall steady picture for the US industry. In addition to the headline news, there also will be orders data excluding transport (expected 0.5%, prior 0.5%) and core capital goods.

Let's take a look at the EUR/USD technical picture at the H4 time frame before the data is released. The bulls tried to rally higher after the golden trend line violation, but it turned out it was a fake breakout and the price has reversed. Currently, the market is still trading below the golden trendline, just in the middle of the range. The next intraday support is seen at the level of 1.0550 and the next resistance is seen at the level of 1.0617. In a case of a better than expected data the US Dollar should strengthen, so the price might break out below the support and head lower.

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US Dollar Index analysis for 27/02/2017:

According to the January report, the demand for the houses has hit a 10-year high. That is why the market will look for today's update on pending home sales – a leading indicator for the market – for a new clue on the outlook for the rest of this quarter and beyond. The healthy uptrend is expected to continue as the market participants expect that the index will rise 1.1% in this year's first month, building on December's healthy 1.6% increase.

The US Dollar Index might benefit the most if the uptrend in home sales will continue, so let's take a look at its technical picture. The key level to the upside is the level of 101.77, but first the level of 101.29 must be clearly violated. The bulls tried to rally over the golden trendline, but they failed and now are waiting for a trigger to start the rally again. The bias is to the upside as the last sell-off did not make any new lower low, so the most important support level is at 100.66.

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Gold analysis for 27/02/2017:

Since the late 2015, the Dallas Fed Manufacturing Business Index is in the uptrend, with the recent figures reported at the level of 22 points (the best result in five years). This uptrend in the factory activity is expected to grow higher and today's data should be another set of good news for the US manufacturing sector of the economy.

Let's take a look at the yellow metal technical picture before the news is released. At the daily time frame chart, we can see the bulls fighting with the 61%Fibo at the level of 1,255 and recently they have managed to close the daily candle above this level. Nevertheless, the overall market conditions look overbought and the growing bearish divergence suggests a corrective move to come soon. The bias is to the downside in the near term. The next support is seen at the level of 1,241 and the next resistance at the level of 1,260.

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USD/JPY analysis for 27/02/2017:

The Dallas FED President Robert Kaplan speech will be closely monitored by the market participants for any clues of a rate hike in FED meeting in March 2017. As we know from the last FED press conference, the policymakers want 2-3 interest rate hikes in 2017 and the FED Chairperson Jannet Yellen prefers them to occur rather sooner than later. Will we get any further clues regarding the exact date? We will find out soon.

The USD/JPY pair will be highly affected by any remarks in Kaplan today's speech, so let's take a look at its technical picture. At the intraday H1 time frame, the market looks oversold and the bull camp is trying to gain strength and test the next intraday resistance at the level of 112.54. For now the market is trading inside of the intraday range, but any remarks of interest rate hike in March will spark a rally towards the golden trendline resistance around the level of 113.00.

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Technical analysis of USD/JPY for February 27, 2017

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USD/JPY is under pressure, as Key resistance is at 112.90. The technical picture of the pair is bearish, as the prices are capped by a bearish trend line (since Feb 22). The downward momentum is further reinforced by the declining 50-period moving average. In addition, the upside potential should be limited by a key resistance level at 112.90.

As long as this level is not surpassed, look for a further downside to 111.90 and even 111.60 in extension.

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 112.55. A break below this target will move the pair further downwards to 112.30. The pivot point stands at 113.25. 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 113.60 and the second one at 113.95.

Resistance levels: 113.60, 113.95, and 114.35

Support levels: 112.55, 112.30, and 112.00

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Technical analysis of USD/CHF for February 27, 2017

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USD/CHF is expected to trade with the bearish outlook. The pair posted a technical rebound, and broke above its 20-period and 50-period moving averages. Nevertheless, it is still trading below its key resistance at 1.0100. On the economic data front, new home sales increased to 555k in January (estimated 571k) from 535k in the previous month. In other news, the University of Michigan sentiment index improved to 96.3 in a final estimation in February (forecasted 96) compared to 95.7 in the previous estimate and 98.5 in January.

As long as 1.0100 is not surpassed, a further drop to 1.0040 is expected. A break below this level would trigger a new drop to 1.0015.

Resistance levels: 1.0115, 1.0140, and 1.0160

Support levels: 1.0040, 1.0015, and 0.9975

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Technical analysis of NZD/USD for February 27, 2017

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NZD/USD is under pressure. The technical picture of the pair is bearish, as the prices broke below their 20-period and 50-period moving averages, which play resistance roles and maintain the downside bias. The relative strength index is bearish below its neutrality level at 50 and calls for a further drop. Therefore, below 0.7220, look for a further drop to 0.7185 and even to 0.7170 in extension.

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 0.7185. A break below this target will move the pair further downwards to 0.7170. The pivot point stands at 0.7220. 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 0.7250 and the second one at 0.7280.

Resistance levels: 0.7250, 0.7280, and 0.7310

Support levels: 0.7185, 0.7170, and 0.7130

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Technical analysis of GBP/JPY for February 27, 2017

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GBP/JPY is under pressure. The pair accelerated on the downside and broke below the lower boundary of the Bollinger Bands, which should indicate a continuation of the negative trend. Besides, the downward momentum is further reinforced by the declining 20-period and 50-period moving averages. The relative strength index broke below its "oversold" level at 30, but has not yet displayed any reversal signal.

Therefore, a break below 140.00 would call for a further decline to 138.90 and even to 138.65 in extension.

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 138.90. A break below this target will move the pair further downwards to 138.65. The pivot point stands at 140.00. 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 140.50 and the second one at 141.30.

Resistance levels: 140.50, 141.30, and 142.00

Support levels: 138.90,138.65, and 138.00

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Global macro overview for 27/02/2017

Global macro overview for 27/02/2017:

Interesting news has hit the financial media over the weekend regarding Scotland. The Scottish government is seriously considering new independence referendum next year. Nicola Sturgeon, Scottish First Minister and Theresa May, British Prime Minister, are heading for a showdown over who has the right to call another independence referendum and when it should be held. The first minister looks set to call a vote by the Scottish parliament - following next month's SNP conference and triggering of article 50 - to strengthen her mandate to stage a second referendum. In conclusion, another country is trying to cancel their membership in the Eurozone, so it will be another challenge for the Eurozone to keep it together. Please notice, that the Greek case and membership is still not fully completed and it had been questioned recently again.

Let's see how these rumors influenced the GBP/USD technical picture at 4h time frame. The price had broken below the golden trendline support, tested it from the upside, reversed and now is trying to move lower towards the next support at the level of 1.2381. Any violation of this support will lead to an immediate test of the most important support at the level of 1.2347.

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Technical analysis of USDX for February 27, 2017

The Dollar index is in a short-term consolidation phase. There is a lot of indecision among traders and this is very clearly shown in the weekly chart, where the prices trade sideways creating doji candle patterns. Traders need to be very patient and wait for the important levels to produce the signals.

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Blue line - support

The Dollar index is moving sideways in the last few sessions between 101.80 and 100.40. Short-term support is at 100.60. If that level is broken then we have many chances that the 99.25 level neckline support will be tested. If resistance at 101.80 is broken upward we should expect a swift move towards 103 to be seen and eventually new highs over the coming months.

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Black line - long-term support trendline

The Dollar index is currently trading below the weekly tenkan-sen (red line indicator). The price got rejected twice at the tenkan-sen and this is a bearish sign. The oscillators are downward sloping and this implies that we could see more selling pressures over the next few weeks. However, if the bulls manage to break above the tenkan-sen and the 101.80 level, the bulls will be more optimistic and we should see 103 price level fast. On a break below 100.40 on a weekly basis we should expect the Dollar index to push towards 99.25 where the previous important weekly low is found.

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Technical analysis of gold for February 27, 2017

Gold remains in an uptrend heading towards $1,280-$1,320 which is our target and long-term resistance. We could see shallow pullbacks towards $1,245 in the short term but I do not expect anything bigger for now. Pullbacks are buying opportunities on the way to $1,280.

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Blue lines - bullish channel

Red lines - expected price path

The price is making higher highs and higher lows. The price is trading above the Ichimoku cloud. Trend is bullish. There is no divergence sign from the oscillators yet. The bulls remain in control. Short-term support is at $1,245. Resistance is at $1,280.

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Last week's candle broke above the weekly kijun-sen (yellow line indicator). This is a bullish sign. I expect the price to move towards the upper cloud boundary. The extension 100% target of the first leg up from $1,122 to $1,220 implies a move targeting $1,280. The next extension target is at $1,335. Weekly support is now at $1,237.

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Technical analysis of EUR/USD for Feb 27, 2017

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When the European market opens, some Economic Data will be released, such as Italian 10-y Bond Auction, Private Loans y/y, M3 Money Supply y/y and Spanish Flash CPI y/y. The US will release the economic data, too, such as Pending Home Sales m/m, Durable Goods Orders m/m and Core Durable Goods Orders m/m, so, amid the reports, EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.0615.

Strong Resistance:1.0608.

Original Resistance: 1.0598.

Inner Sell Area: 1.0588.

Target Inner Area: 1.0563.

Inner Buy Area: 1.0538.

Original Support: 1.0528.

Strong Support: 1.0518.

Breakout SELL Level: 1.0511.

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 Feb 27, 2017

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In Asia, today Japan will not release any Economic Data, but the US will release some Economic Data, such as Pending Home Sales m/m, Durable Goods Orders m/m and Core Durable Goods Orders m/m. So, there is a probability the USD/JPY will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 112.65.

Resistance. 2: 112.43.

Resistance. 1: 112.21.

Support. 1: 111.94.

Support. 2: 111.512.

Support. 3: 111.50.

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 USDX for February 27, 2017

USDX managed to end Friday's session within a small but positive tone and above the 200 SMA at H1 chart. If the index does a breakout above the key resistance zone of 101.43, further rallies to test the 102.39 level are expected to happen during this week. However, as the price action remains a little bit choppy, we could expect a narrow range to develop between the 101.43 and 100.44 levels.

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H1 chart's resistance levels: 101.43 / 102.38

H1 chart's support levels: 100.44 / 99.84

Trading recommendations for today: Based on the H1 chart, place sell (short) orders only if the USD Index breaks with a bearish candlestick; the support level is at 100.44, take profit is at 99.84 and stop loss is at 101.06.

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

Daily analysis of GBP/USD for February 27, 2017

GBP/USD plummeted during Friday's session, as it remains capped by the 1.2500 handle across the board, with a recent interest in USD's buying for the short-term. If the pair manages to break below 1.2414, then it can test the 1.2360 zone, which could also strengthen the idea of further declines in an effort to look at the 1.2250 level. MACD indicator is in the negative territory, favoring the bearish side.

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H1 chart's resistance levels: 1.2546 / 1.2633

H1 chart's support levels: 1.2414 / 1.2360

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 1.2546, take profit is at 1.2633 and stop loss is at 1.2462.

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