Global macro overview for 08/11/2017

Market participants expect the RBNZ to maintain its key interest rate at 1.75% together with the neutral outlook for the monetary policy. NZD has undergone a strong influence on political risk, which seems a little exaggerated. With such a neutral position, optimistic RBNZ may be a pretext for short positions on NZD and short-term currency support.

Recently data from New Zealand has been positive since the last meeting. First of all, CPI inflation in the third quarter rose to 1.9% from 1.7% while the unemployment dropped to 4.6% with wage growth up to 1.2%. In addition, the NZD rate has clearly weakened under the influence of political uncertainty after the parliamentary elections, which will be welcomed by the RBNZ. Risk is the deterioration of business and consumer confidence indicators due to prolonged coalition negotiations. Overall, however, the state of the economy allows the RBNZ to be optimistic about the tone in the announcement, although the bank will be careful not to give a hawkish signal to the appreciation of the currency.

Let's now take a look at the NZD/USD technical picture at the H4 time frame. The market is locked in a narrow range between the levels of 0.6882 - 0.6970. In a case of an unexpected rate hike, the price might easily break through the golden trend line around the level of 0.6970 and head higher towards the next technical resistance at the level of 0.7015 and 0.7057. Otherwise, the price should remain in the horizontal zone.

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Global macro overview for 08/11/2017

The demand for workers remained strong in the US in September, with 6.1M (versus 5,9M a month ago) job openings registered at the end of the month. The number of openings relative to the size of the employment base was unchanged in September at a cycle high of 4.0%.After moving sideways for much of 2016, job openings were up 7.0% in the third quarter from a year earlier as hiring in commodity-oriented industries bounced back. Total separations edged down over the month, driven by fewer layoffs. The quit rate rebounded to 2.2%, but has not been able to break through this level. Demographic factors may be weighing on the quit rate, as older workers tend to change jobs less frequently. Nevertheless, the Fed would welcome more voluntary job switches as a sign of labor market strength and source of stronger wage growth.

The US JOLTs Job Openings is a survey done by the United States Bureau of Labor Statistics to help measure job vacancies. It collects data from employers including retailers, manufacturers and different offices each month. Respondents answer quantitative and qualitative questions about their businesses' employment, job openings, recruitment, hires, and separations. Except the NFP Payrolls and ADP Employment data, this is the third most important data source of the US job market.

Let's now take a look at the USD/CHF technical picture at the daily time frame. After breaking above the 78%Fibo at the level of 0.9954, the price has made a lower low at the level of 1.0038 and now is consolidating the gains. The next technical resistance is seen at the level of 1.0100.

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Bitcoin analysis for November 08, 2017

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The Bitcoin (BTC) has been trading upwards. The price tested the level of $7,517. Sweden's financial regulator has issued a statement outlining a number of risks pertaining to ICOs. The document describes "ICO" as a "term used as the designation for launching a new token or other form of digital access based on... crypto". Technical picture looks neutral to bearish.

Trading recommendations:

According to the 1H time frame, I found the resistance cluster at the price of $7,467 is on the test. In my opinion, the Bitcoin looks extend today and my advice is to watch for potential selling opportunties. I found the Shooting Star formation near the strong resistance, which is a sign of weakness. Downward targets are set at $7,229 and $7,070.

Support/Resistance

$7.517 – Intraday resistance

$7.229 – First downward target

$7.070 – Second downward target

With InstaForex you can earn on cryptocurrency's movements right now. Just open a deal in your MetaTrader4.

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NZD/USD Intraday technical levels and trading recommendations for November 8, 2017

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Daily Outlook

A recent bullish breakout above the downtrend line took place on May 22. Since then, the market has been bullish as depicted on the chart.

This resulted in a quick bullish advance towards next price zones around 0.7150-0.7230 (Key-Zone) and 0.7310-0.7380 which was temporarily breached to the upside.

Recent bearish pullback was executed towards the price zone of 0.7310-0.7380 (newly-established demand-zone) which failed to offer enough bullish support for the NZD/USD pair.

Re-consolidation below the price level of 0.7300 enhanced the bearish side of the market. This brought the NZD/USD pair again towards 0.7230-0.7150 (Key-Zone) which failed to pause the ongoing bearish momentum.

An atypical Head and Shoulders pattern was expressed on the depicted chart indicating high probability of bearish reversal as long as bearish persistence below the neckline 0.7150 is maintained.

As expected, the price level of 0.7050 failed to offer enough bullish support for the NZD/USD pair. That's why, further bearish decline should be expected towards 0.6800 (Reversal pattern bearish target).

On the other hand, if the recent low (0.6817) remains defended by the bulls, a bullish pullback and a short-term BUY entry can be expected during this week's consolidations.

The next DEMAND level to meet the pair is located around 0.6710 that maybe visited if enough bearish pressure is applied below 0.6800.

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Intraday technical levels and trading recommendations for EUR/USD for November 8, 2017

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Monthly Outlook

In January 2015, the EUR/USD pair moved below the major demand levels near 1.2050-1.2100 (multiple previous bottoms set in July 2012 and June 2010). Hence, a long-term bearish target was projected toward 0.9450.

In March 2015, EUR/USD bears challenged the monthly demand level around 1.0500, which had been previously reached in August 1997.

In the longer term, the level of 0.9450 remains a projected target if any monthly candlestick achieves bearish closure below the depicted monthly demand level of 1.0500.

However, the EUR/USD pair has been trapped within the depicted consolidation range (1.0500-1.1450) until the current bullish breakout was executed above 1.1450.

The current bullish breakout above 1.1450 allowed a quick bullish advance towards 1.2100 where recent evidence of bearish rejection was expressed (Note the previous Monthly candlestick of September).

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Daily Outlook

In January 2017, the previous downtrend was reversed when the Inverted Head and Shoulders pattern was established around 1.0500. Since then, evident bullish momentum has been expressed on the chart.

As anticipated, the ongoing bullish momentum allowed the EUR/USD pair to pursue further bullish advance towards 1.1415-1.1520 (Previous Daily Supply-Zone).

The daily supply zone failed to pause the ongoing bullish momentum. Instead, evident bullish breakout was expressed towards the price level of 1.2100 where the depicted Head and Shoulders reversal pattern was expressed.

If the recent bearish breakout persists below 1.1700 (Neckline of the reversal pattern), a quick bearish decline should be expected towards the price zone of 1.1415-1.1520 (Initial targets for the depicted H&S pattern).

Bearish target for the depicted Head and Shoulders pattern extends towards 1.1350. However, to pursue towards the mentioned target level, significant bearish pressure is needed to be applied against the mentioned zone (1.1415-1.1520).

Trade Recommendations

Price action should be watched around the price zone of 1.1415-1.1520 for evident bullish recovery and a possible short-term BUY entry.

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EUR/USD analysis for November 08, 2017

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Recently, the EUR/USD has been trading sideways at the price of 1.1590. According to the 15M time - frame, I found that price failed to test pivot resistance 1 at the level of 1.1617, which is sign that buying looks risky. I also found a hidden bearish divergence on the stochastic oscillator, which is another sign of weakness. My advice is to watch for potential selling opportunities. The downward targets are set at the price of 1.550 (pivot support 1) and at the price of 1.1524 (pivot support 2).

Resistance levels:

R1: 1.1617

R2: 1.1647

R3: 1.1687

Support levels:

S1: 1.1550

S2: 1.1524

S3: 1.1495

Trading recommendations for today: watch for potential selling opportunities.

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Analysis of Gold for November 08, 2017

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Recently, Gold has been trading upwards. The price tested the level of $1,282.40. Anyway, according to the 15M time – frame, I found successful rejection from pivot resistance 1 at the price of $1,280.70, which is sign that buying looks risky. I also found a hidden bearish divergence on the stochastic oscillator, which is another sign of weakness. My advice is to watch for potential selling opportunities. The downward targets are set at the price of $1,270.90 (pivot support 1) and at the price of $1,266.48 (pivot support 2).

Resistance levels:

R1: $1,280.70

R2: $1,286.24

R3: $1.290.64

Support levels:

S1: $1,270.90

S2: $1,266.48

S3: $1,260.85

Trading recommendations for today: watch for potential selling opportunities.

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Technical analysis of USD/CHF for November 08, 2017

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Overview:

  • Pivot: 0.9998.
  • The USD/CHF pair didn't make significant movement yesterday. There are no changes in my technical outlook. The bias remains bullish in nearest term testing 1.01000 or higher. The USD/CHF pair broke the resistance at the price of 0.9998 which acts as support since last week.The pair has already formed major support at 0.9942. The strong support is seen at the level of 0.9898. And the minor support is seen at 0.9998. On the H1 chart, the RSI and the moving average (100) are still pointing to the upside. Therefore, the market indicates a bullish opportunity at the level of 0.9942. Buy above the minor support of 0.9942 with targets at the levels of 1.0050 and 1.0100. Moreover, if the pair closes below the minor support (0.9942), the price will fall into the bearish market in order to go further towards the strong support at 0.9898. Briefly, the minor support is seen at the level of 0.9942. It will be profitable to buy above the spot of 0.9940 with the targets of 0.9998, 1.0050 and 1.0100. On the other hand, the stop loss should be placed at the 0.9900 level on the H1 chart. We are still looking for a strong bullish market in coming two days.
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Technical analysis of NZD/USD for November 08, 2017

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Overview:

  • The kiwi has already tested the area of 0.6889 - 0.6933. The NZD/USD pair will probably continue to move upwards from the level of 0.6889. However, the first resistance level is seen at 0.6933 followed by 0.6963 and 0.6981, while the daily support 1 is seen at 0.6889 (38.2% Fibonacci retracement). According to the previous events, the NZD/USD pair is still moving between the levels of 0.6889 and 0.6963. Furthermore, if the trend is able to break out the second resistance level at 0.6963, we could see the pair climbing towards the thirs resistance (0.6981) to test it. Therefore, buy above the level of 0.6889 with the first target at 0.6933 in order to test the daily resistance 1 and further to 0.6963. Also, it should be noted that the level of 0.6981 is a good place to take profit because it will form a new double top. On the other hand, in case a reversal takes place and the NZD/USD pair breaks through the support level of 0.6889, a further decline to 0.6840 can occur which would indicate a bearish market.
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Fundamental Analysis of AUD/USD for November 8, 2017

AUD/USD has been very volatile and corrective recently showing no directional bias after the break below the 0.7750 area. Yesterday, RBA announced its policy decision, so the regulator maintained the cash rate unchanged at a record low of 1.50% as expected. The decision did not quite help USD to gain momentum against AUD till now and push the price lower. Today, the economic calendar lacks economic reports or events in Australia but on Friday RBA Monetary Policy Statement report is going to be published which is expected to be hawkish in nature. On the USD side, recently Fed Chair Yellen was quite neutral about the interest rates and future monetary policy that helped the US currency to gain some momentum but USD could not sustain it well enough. Today, USD Crude Oil Inventories report is going to be published which is expected to show a slight increase in deficit at -2.5M from the previous figure of -2.4M. As for the current scenario, USD is expected to gain momentum over AUD in the coming days as the US Fed is widely expected to raise interest rates in December, thus the market sentiment is currently slowly shifting in favor of USD.

Now let us look at the technical chart. The price is currently residing inside a medium-term corrective structure which is showing a bearish squeeze along the way. The dynamic level of 20 EMA is also showing a downward slope as the price remains below the resistance area of 0.7750-0.7850 area. As the price remains below the resistance area, despite the correction and volatility the pair is expected to move down towards 0.7500 support area in the coming days.

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Bitcoin analysis for 08/11/2017

According to the New Zealand Financial Markets Authority, cryptocurrency and ICO projects are safe. The decision was discussed in detail in the new ICO and virtual currencies guidelines issued by this agency. In its statement published at the end of October 2017, the Financial Markets Authority maintained that each ICO digital currency and token would be treated as securities. Financial regulations also explain the sale of which tokens will be covered by the law. It says: "All tokens and cryptocurrencies are securities in accordance with the Financial Market Prescriptions Act of 2013 - even those that are not financial products. A security is any agreement or consent obtained that has or may have an effect on the person making the investment or managing the financial risk." According to the advice given, the New Zealand office has determined that ICO tokens can be considered as one of four categories of financial products. The Agency further explained that the tokens would be classified based on their characteristics. In addition, the agency's guidelines contained details of the treatment of companies related to the new technology. It said that all major virtual currency services, such as portfolios, brokers and exchanges, should be properly registered in government agencies. The regulations also contain the statement that the New Zealand Financial Markets Authority may exempt companies from existing laws to promote innovation and flexibility.

Let's now take a look at the Bitcoin technical picture at the H4 time frame. The market has bounced from the technical support at the level of $6,986, but so far no new high was made. The target for wave (v) remains at the level of $8,353 zone. Nevertheless, it is worth to notice, that the corrective cycle in wave (iv) might be still in progress and might develop into more complex and time-consuming pattern.

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Trading plan for 08/11/2017

Excitement goes on sale in the first hours on Wednesday. USD initially lost, although in the last few minutes it regains vigor. The flat closure of Wall Street has given tone to the trade in Asia. Crude oil falls slightly after weaker data on China's imports. In general, markets remain in tight zones. EUR/USD trades under 1.16, USD/JPY over 113.70.

On Wednesday, 8th of November, the event calendar is light in an important news release. Only during the US session, Canada will post Housing Starts and Building Permits data, the US will reveal Crude Oil Inventories data and late in the session, the Reserve Bank of New Zealand will make a decision regarding the interest rate.

EUR/USD analysis for 08/11/2017:

The forex trading remains negligible with periods of intermittent momentary confusion in trader's position adjustment. Poverty in data flow after strong central bank accents in the past weeks condemns most trades in consolidation. There is no direction not only in the foreign exchange market, but also in the stock market or gold.

Let's now take a look at the EUR/USD technical picture at the H4 time frame. The market managed to make a new marginal lower low at the level of 1.1554, but the price quickly recovered and now is testing the resistance at the level of 1.1610. The bullish divergence between the price and momentum oscillator is helping to lift the market higher, but the indicator did not break out above its fifty level yet. The market conditions remain oversold, so the upward correction might continue higher and the next technical resistance is seen at the level of 1.1662.

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Market Snapshot: USD/CAD reverses lower

The price of USD/CAD tried to rally past the level of 1.2802, but it was neglected and reversed lower. The next target for bear is 50% Fibo retracement at the level of 1.2675 which is just above the technical support at the level of 1.2662. The market conditions look oversold, but the upwards momentum is diminishing.

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Market Snapshot: Golds quietly breaks out above trend line

The price of Gold has broken out above the golden trend line resistance at the level of $1,274 and it is eyeing the next technical resistance at the level of $1,289. Nevertheless, the key level to the upside is still the gray resistance zone between the levels of $1,298 - $1,305.

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Elliott wave analysis of EUR/NZD for November 8, 2017

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Wave summary:

EUR/NZD is currently correcting the rally from 1.6298 and as long as minor resistance at 1.6790 and more importantly as long as resistance at 1.6890 is able to cap the upside, we continue to look for a little more downside pressure towards 1.6545 before completing this corrective decline and turning prices higher in the next impulsive rally towards 1.7770 and above.

R3: 1.6953

R2: 1.6890

R1: 1.6790

Pivot: 1.6750

S1: 1.6686

S2: 1.6636

S3: 1.6545

Trading recommendation:

We are short EUR from 1.6790 with our stop placed at 1.6890 and take profit placed at 1.6565.

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Elliott wave analysis of EUR/JPY for November 8, 2017

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Wave summary:

We need a break below important support at 131.60 to confirm that wave (D) completed with the test of 134.49 and wave (E) lower to 123.43 is developing. As long as the support at 131.60 is able to protect the downside, we need to allow for a sideways consolidation, that ideally will stay below minor resistance at 132.73 and more importantly below resistance at 133.12 for the next swing lower.

R3: 133.12

R2: 132.73

R1: 132.41

Pivot: 131.60

S1: 131.00

S2: 130.56

S3: 130.05

Trading recommendation:

We sold EUR at 132.59 and will move our stop lower to break-even at 132.59.

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Trading plan 08.11.2017

Trading plan 08.11.2017

GBP: Getting ready to play out of the consolidation.

The general picture: the strong data released last week could not start the trend movement - the main pairs are being hammered in the bands for two days - euro, pound, yen are stuck, and the franc has stopped. The situation is complicated by the fact that the euro seems prepared to decline (the head-shoulders figure for the day running - with a target of up to 1.1200), and in contrast, the pound looks ready for growth.

The movement in different directions has not yet been achieved.

As a result, the pound: at a clear horizontal range, we are attempting a breakthrough.

We sell below 1.3025.

We buy above 1.3325.

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Technical analysis of USD/CHF for November 08, 2017

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USD/CHF is under pressure and expected to trade in a lower range. The pair is under pressure below the key resistance at 1.0015, which should limit the upside potential. The relative strength index is below its neutrality level at 50, calling for a drop.

The U.S. dollar strengthened against other major currencies as investors are still expecting the Federal Reserve to raise interest rates.

As long as 1.0015 holds on the upside, look for a return to 0.9970 (lows of November 6 and 7). A break below this level would trigger a new drop to 0.9945.

Chart Explanation: The black line shows the pivot point. The present price above the pivot point indicates a bullish position, and the price below the pivot points indicates a short position. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.

Strategy: SELL, Stop Loss: 1.0015, Take Profit: 0.9970

Resistance levels: 1.0040, 1.0070, and 1.0100

Support levels: 0.9970, 0.9945, and 0.9900

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Breaking forecast 11/08/2017

EURUSD: We are waiting for an exit from the range and strong movement.

There is a lull in the market: there is no important news (and there is nothing expected until the middle of next week), there is no strong bias towards buying or selling.

As a result, European currencies are trading in narrow ranges.

We are waiting for the breakthrough of the boundaries of the range and strong movement.

Sell for the breakthrough 1.1550 down.

Buy for the breakthrough 1.1690 up.

Selling look more attractive - the downward trend of the euro on the short-term has not yet been canceled.

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Trading Plan for EUR/USD and US Dollar Index for November 08, 2017

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Technical outlook:

EUR/USD 4H chart has been presented here with the most probable wave count, to get the medium term outlook for the pair. Looking at the developments here, the pair seems to be either forming a leading diagonal pattern from the top at 1.2092 levels or a double zigzag (not labelled here as an alternative). In either case, we expected a new low below 1.1573 levels before turning higher again. At least EUR/USD produced a new low yesterday before pulling back higher again. Please note that a probability still remains for yet another low towards 1.1510 levels at least before the turn. But at the same time, looking into divergences across the MACD and RSI, it is recommended to change the trading strategy to going long on dips.

Trading plan:

Please remain long partial now at 1.1585 levels and remaining a 1.1500/20 levels, risk remains below the 1.1400 level, targeting at least 1.1900 levels.

US Dollar Index chart setups:

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Technical outlook:

The US Dollar Index 4H chart setup has been displayed here to have a medium term outlook and trade setup. The index looks to be completing either a 5-wave impulse rally through 95.30/50 levels as labelled here, or it is terminating into wave 4 of a larger degree (discussed with respect to the daily chart yesterday). In either cases, we expect a bearish reversal from around the 95.30/50 levels as depicted here (red fibonacci ratio). We are changing our medium term trading strategy to turn short on rallies till the 92.50/93.00 levels at least. Please note that if prices break below 94.40 levels from here itself, it is a strong indication of a meaningful top to be in place around the 95.00/10 levels. Watch out for strong resistance around the 95.30/50 levels, if prices manage to reach there.

Trading plan:

Remain short from here at 94.85/90 and add further at 95.30/50, risk remains a 96.00 plus targeting 92.50 at least.

Fundamental outlook:

There are no major events lined up for the day.

Good luck!

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Technical analysis of GBP/JPY for November 08, 2017

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GBP/JPY is under pressure and expected to trade in a lower range. The pair is still below its horizontal resistance at 150.30, which should maintain the strong selling pressure on the prices. A falling trend line also acts as a resistance role, and should continue to push the prices lower. The relative strength index is mixed to bearish, and lacks upward momentum.

Hence, as long as 150.30 is not surpassed, look for a new pullback to 149.30 and 149.00 in extension.

Alternatively, if the price moves in the direction opposite to the forecast, a long position is recommended above 150.30 with the target at 150.60.

Strategy: SELL, Stop Loss: 150.30, Take Profit: 149.30

Chart Explanation: the black line shows the pivot point. The price above the pivot point indicates long positions; and when it is below the pivot points, it indicates short positions. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.

Resistance levels: 150.65, 151.00 and 151.55

Support levels: 149.30, 149.00, and 148.35

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Technical analysis of NZD/USD for November 08, 2017

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NZD/USD is expected to trade with a bearish outlook as the key resistance is at 0.6925. Despite the recent rebound from 0.6890 (the low of November 7), the pair is capped by a declining 50-period moving average. The upward potential is likely to be limited by the resistance at 0.6950.

To sum up, as long as this key level is not surpassed, look for another downside with targets at 0.6870 and 0.6850 in extension.

The black line shows the pivot point. Currently, the price is above the pivot point, which indicates long positions. If it remains below the pivot point, it will indicate short positions. The red lines are showing the support levels and the green line is indicating the resistance levels. These levels can be used to enter and exit trades.

Resistance levels: 0.6940, 0.6955, and 0.6990

Support levels: 0.6870, 0.6850, and 0.6805

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Daily analysis of major pairs for November 8, 2017

EUR/USD: The EUR/USD is moving downwards gradually, while the overall bias on the market is bearish. Price is now below the resistance line at 1.1600, going towards the support line at 1.1550. There is a Bearish Confirmation Pattern in the 4-hour char and further downwards movement is a possibility.

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USD/CHF: The USD/CHF has not moved upwards significantly this week, but it was able to maintain its bullishness. The targets for the week are located at the resistance levels of 1.0050, 1.0100 and 1.0150. The resistance level at 1.0150 would require a very strong buying pressure to be breached to the upside.

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GBP/USD: The Cable is a kind of maniacal market right now, with large upswings and downswings. The short-term bias on the market is neither clearly bearish nor clearly bullish. A directional bias is expected to form soon after the price goes perpetually in one direction. Until then, one would do well to stay out of the market.

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USD/JPY: Things are quite choppy on the USD/JPY, but the bullish bias is still extant. Since the outlook on USD is bullish this week, it is more likely that when volatility returns to the market, it is going to favor the bulls. Thus, initial targets are located at the supply levels of 114.00, 114.50 and 115.00.

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EUR/JPY: This cross is vividly bearish. The EMA 11 is below the EMA 56 and the RSI period 14 is below the level 50. There is a clean Bearish Confirmation Pattern in the 4-hour chart, which portends further bearish movement. As long as the price is below the EMS 56, the outlook on the market would be bearish.

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Technical analysis of EUR/USD for Nov 08, 2017

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When the European market opens, some Economic Data will be released, such as French Trade Balance. The US will release the Economic Data, too, such as 10-y Bond Auction and Crude Oil Inventories, so, amid the reports, EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.1648.

Strong Resistance:1.1641.

Original Resistance: 1.1630.

Inner Sell Area: 1.1619.

Target Inner Area: 1.1592.

Inner Buy Area: 1.1565.

Original Support: 1.1554.

Strong Support: 1.1543.

Breakout SELL Level: 1.1536.

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 08, 2017

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In Asia, Japan will release the Leading Indicators data, and the US will release some Economic Data, such as 10-y Bond Auction and Crude Oil Inventories. So, there is a probability the USD/JPY will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 114.33.

Resistance. 2: 114.11.

Resistance. 1: 113.88.

Support. 1: 113.61.

Support. 2: 113.39.

Support. 3: 113.16.

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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GBP/USD bouncing above major support, remain bullish for a push up

The price has started to form a nice bullish configuration. We look to buy above major support at 1.3120 (Fibonacci retracement, horizontal overlap support) for a push up to at least 1.3236 resistance (Fibonacci retracement, Fibonacci extension, horizontal pullback resistance).

Stochastic (34,3,1) is bouncing above 3% support and has good upside potential.

Buy above 1.3120. Stop loss is at 1.3085. Take profit is at 1.3236.

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AUD/USD right on major support, remain bullish for a bounce

The price has now formed an even stronger bullish reversal signal with our bullish divergence. We remain bullish looking to buy on dips above 0.7628 major support (Fibonacci extension, horizontal swing low support, Long-term Fibonacci retracement, bullish divergence) for a push up to at least 0.7730 resistance (Fibonacci retracement, horizontal overlap resistance).

Stochastic (34,3,1) is seeing strong support above 2.2% and also sees bullish divergence vs price signaling that a bounce is impending.

Buy above 0.7628. Stop loss is at 0.7556. Take profit is at 0.7730.

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Ichimoku indicator analysis of USDX for November 8, 2017

The Dollar index continues to trade sideways. The trend remains bullish as long as the price is above 94.20. The target of this uptrend remains at 95.50 while we could see an extension higher towards 96.50.

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The price is above the 4-hour cloud. The trend is bullish. Support is at 94.78 and next at 94.50-94.35. Resistance is at 95.15. As long as the price is above 94.20 bulls have nothing to fear.Breaking below it will open the way for a test of the important support at 93.50.

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The price remains below the kijun-sen on a weekly basis. Bulls need a weekly close above it and not to close below 94.40. A close below that level will be considered as a rejection and reversal signal. I remain longer-term bearish as the price is below the weekly cloud and making lower lows and lower highs.The material has been provided by InstaForex Company - www.instaforex.com

Ichimoku indicator analysis of gold for November 8, 2017

The Gold price is in a neutral short-term trend as the price is inside the 4-hour Kumo (cloud). I continue to be a long-term Gold bull but as long as we trade below $1,284 there many chances of visiting the $1,240 area.

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Red line -RSI bullish divergence

Black lines - trading range

The Gold price is trapped inside the trading range of $1,283 and $1,263. The trend is neutral as the price is inside the cloud. Bulls need to break above $1,284 in order for the momentum to turn bullish again. Otherwise, another rejection at $1,283 will increase the chances for a new low towards $1,250.

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On a daily basis, price remains below the important kijun-sen (yellow line indicator). Breaking above the kijun-sen ($1,283) will open the way for a move at least towards the lower cloud boundary at $1,300. Daily support is at $1,273 and resistance at $1,283.The material has been provided by InstaForex Company - www.instaforex.com

Daily analysis of USDX for November 08, 2017

USDX remains in a range across the board, well supported by the 200 SMA at H1 chart. The resistance zone of 95.14 is helping to add further pressure and if it gives up, then another leg higher is expected to take place towards the 95.85 level. To the downside, the support level of 94.60 remains as the line in the sand for bears' price action.

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H1 chart's resistance levels: 95.14 / 95.85

H1 chart's support levels: 94.60 / 93.97

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 95.14, take profit is at 95.85 and stop loss is at 94.47.

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Daily analysis of GBP/USD for November 08, 2017

GBP/USD is consolidating the price action around the 200 SMA once again, still under heavy pressure by the sellers. During Tuesday's session, it has formed two fractals that are acting as strong resistance levels and if it manages to break those levels, the pair could scope to test the resistance level of 1.3309. MACD indicator remains in favor of the bears.

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H1 chart's resistance levels: 1.3201 / 1.3309

H1 chart's support levels: 1.3037 / 1.2880

Trading recommendations for today: Based on the H1 chart, sell (short) orders only if the GBP/USD pair breaks a bearish candlestick; the support level is at 1.3037, take profit is at 1.2880 and stop loss is at 1.3193.

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Brent accused of corruption

The growth of geopolitical tensions in the Middle East has become a catalyst for the rise of oil prices to its highest in 2.5 years. From the level of June lows, Brent added about 40% against the backdrop of information about mass sweeps in Saudi Arabia and the ballistic missile from Yemen that reached Riyadh. For a long time, investors have missed all kinds of conflicts, paying attention only to the efforts of OPEC and shale mining in the United States. As soon as it became clear that the market is ready to reach the balance, they needed a new driver of growth. This became the events in the Middle East.

Currently, a few doubt that in late November, the cartel will extend the validity of the Vienna agreement to reduce production, at least until the end of 2018. At the same time, a reduction in the number of drilling rigs in the United States suggests that American companies have begun to pay more attention to issues such as profitability. By the end of week of November 3, Baker Hughes reported a drop of 8. The total number of drilling rigs is 729. The plan is to let the production in the States rise to its highest in more than 2 years (9.55 million b / s). However, the correlation of the two indicators may not help in damping the pulse. If a few weeks ago the accredited US companies tried to pay off their debts by increasing production, now they have an alternative.

The dynamics of the number of drilling rigs and oil production in the US

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Source: Bloomberg.

Thus, opponents seem to have come to a reasonable compromise. The emergence of a geopolitical factor tipped the scales towards the "bulls" for Brent and WTI. It has repeatedly pointed out that the fact that the burning Middle East, against the background of a surplus and balance, is completely different. This could be seen in the second half of the autumn. Conflicts between Kurdistan and Turkey, Saudi Arabia and the Iranian rebels behind Iran, the growing risks of resuscitation of Western sanctions against Tehran because of Donald Trump's dissatisfaction with the history of the nuclear program in that country and, finally, the arrest of 11 princes and dozens of officials and businessmen in the Ayr - Riyadh has become a catalyst for the rapid rally of oil futures. In the end, what seemed impossible a couple of weeks ago, seems quite real now. The market is seriously discussing the possibility of Brent rising to around $70 per barrel.

BofA Merrill Lynch call the figure $75 in the near future. Commerzbank, on the contrary, is confident that the fundamental data does not justify the current price of black gold. Despite the corruption scandal in Saudi Arabia, the oil policy of Riyadh remains unchanged. The geopolitical conflict between them and Tehran may develop into a serious discussion over the prolongation of the Vienna agreement.

Technically, the targets for 161.8% and 261.8% for the patterns of AB = CD, indicating that the upside potential of Brent is far from exhausted.

Brent, daily chart

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BITCOIN Analysis for November 7, 2017

Bitcoin has been quite corrective and bearish recently which has led the price to fall back towards $7,000 support area. The trend has been non-volatile and most of the fundamental news has been in favor of Bitcoin which has supported the price to gain further. The pullback towards $7,000 support area has been a widely expected move as the last bullish moves were impulsive. A short-term correction is a must before the price bounces up higher towards $8,000 price level. Market sentiment is still quite bullish in light of recent positive reports, so the cryptocurrency is set to sustain further gains. The price is currently residing above the Kumo Cloud and expected to be contained above the Cloud to keep the bullish bias intact. As the price remains above $6,500-$7,000 support area, the bullish bias is likely to continue further.

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