Bitcoin analysis for July 25, 2018

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Trading recommendations:

According to the H1 time - frame, I found that price broke the upward trendline in the backgorund, which is a sign that sellers are in control. I aslo found a hidden bearish divergence on the LBR 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 $7.630 and at the price of $7.321.

Support/Resistance

$8.196 – Intraday resistance

$8.116– Intraday support

$10.130 – Objective target 1

$9.980 – Objective target 2

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

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Analysis of Gold for July 25, 2018

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Recently, Gold has been trading upwards. The price tested the level of $1,233.70. Anyway, according to the H1 time – frame, I found a potential end of the upward movement since the price tested the top band of the Keltner channel, which is a sign that buying looks very risky. I also found a bearish engulfing candle pattern, which is another sign that buying looks risky. My advice is to watch for potential selling opportunities. The downward target is set at the price of $1,226.50.

Resistance levels:

R1: $1,230.55

R2: $1,235.75

R3: $1,241.95

Support levels:

S1: $1,219.15

S2: $1,212.97

S3: $1,207.75

Trading recommendations for today: watch for potential selling opportunities.

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EUR./USD analysis for July 25, 2018

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Recently, the EUR/USD pair has been trading upwards. The price tested the level of 1.1711. Anyway, according to the H1 time – frame, I found a potential end of the upward movement since the price tested the top band of the Keltner channel, which is a sign that buying looks very risky. My advice is to watch for potential selling opportunities. The downward targets are set at the price of 1.1655 and at the price of 1.1605.

Resistance levels:

R1: 1.1715

R2: 1.1746

R3: 1.1776

Support levels:

S1: 1.1656

S2: 1.1625

S3: 1.1596

Trading recommendations for today: watch for potential selling opportunities.

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BITCOIN Analysis for July 25, 2018

Bitcoin has been quite impulsive with the recent bullish gains which led the price to reside above $8,000 with a daily close. Having an impulsive daily close above $8,000 today, Bitcoin has been struggling to push the price higher with a target towards $10,000. Though the bullish gains were very impulsive, in the market context certain retracement can be seen before the continuation of trend moves as the dynamic level of 20 EMA, which is also the mean average, is quite far from the current price point. So, the price is expected to sink lower towards $7,500-8,000 area before it resumes the bullish trend with a target towards $10,000. As the price remains above $6,500 with a daily close, the bullish bias is expected to continue further.

SUPPORT: 7500-8000

RESISTANCE: 10,000

BIAS: BULLISH

MOMENTUM: VOLATILE

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NZD/USD Intraday technical levels and trading recommendations for July 25, 2018

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The NZD/USD pair had been trapped between the price levels of 0.7170 and 0.7350 until bearish breakdown of 0.7200 occurred on April 23.

Breakdown of 0.7220-0.7170 (neckline zone) was needed to confirm the depicted reversal pattern. Bearish target levels around 0.7050 and 0.7000 have been achieved already.

The price level of 0.7050 was considered a key-level for the NZD/USD bears That's why, bearish persistence below 0.7050 allowed further bearish decline to occur towards the price levels around 0.6800.

As anticipated, the recent bullish pullback towards the price level of 0.7050 (Broken Demand-Level) offered a good opportunity for a valid SELL entry.

Quick bearish decline took place towards 0.6800 where a false bearish breakdown occurred. This allowed temporary bearish movement to occur towards 0.6680. However, the pair failed to maintain enough bearish momentum.

On July 7, evident bullish rejection pushed the NZD/USD pair above 0.6820 again. This was followed by a recent bullish reversal pattern (123 pattern) which enhances the bullish side of the market.

Recent signs of bullish weakness were manifested on the chart. The bulls were failing to maintain enough bullish momentum above 0.6820 which may endanger the bullish reversal scenario.

That's why, Bullish fixation above 0.6820 is mandatory to allow further bullish advancement. Otherwise, further bearish decline should be expected towards 0.6680.

Trade Recommendations:

The price zone 0.6750-0.6800 still constitutes a demand zone to be considered for a valid BUY entry.

Bullish fixation above 0.6820 is needed to provide enough bullish momentum towards 0.6900 then probably 0.6980.

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Intraday technical levels and trading recommendations for EUR/USD for July 25, 2018

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Daily Outlook

In April 2018, the EUR/USD pair outlook turned to become bearish when the pair pursued trading below the broken uptrend as well as the lower limit of the depicted consolidation range.

Shortly after, the price zone (1.1850-1.1750) offered temporary bullish rejection towards 1.1990. The EUR/USD bulls failed to pursue towards higher bullish targets. Instead, a descending high was established around 1.1990.

This was followed by bearish breakout below the price zone of 1.1850-1.1750. This price zone has been standing as a significant Supply zone since June 2018.

On the other hand, the price zone of 1.1520-1.1420 was considered a prominent demand zone where a valid bullish BUY entry was offered during the previous weeks' consolidations.

On July 10, signs of bearish rejection were manifested around 1.1750. That's why, a bearish movement was expected to occur towards 1.1650.

Lack of enough bearish momentum allowed another bullish pullback to occur again towards 1.1750 (the lower limit of the depicted supply zone) where the price action should be watched cautiously.

That's why, the EUR/USD pair remains trapped below the price level of 1.1750 until bullish breakout occurs.

Please note that any bullish breakout above 1.1750 will probably liberate a quick bullish movement towards 1.1850 (the upper limit of the depicted supply zone).

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Trump Meeting EU's Jean-Claude Juncker: The main event of the environment

Trump Meeting EU's Jean-Claude Juncker: The main event of the environment

Today in the US, direct negotiations on duties and trade will take place Trump-Juncker (the head of the European Commission is an analogue of the EU Prime Minister). Theme of the meeting is reciprocal duties of the US and EU.

Recently, the US imposed duties on steel and aluminum on all countries, including the EU and Canada (and Japan and China). The EU has acted tough against such a measure, many times unsuccessfully tried to persuade Trump not to introduce new duties (this was done by both Merkel and Macron at personal meetings with Trump, to no avail). The EU responded with duties against goods from the United States.

In the "answer to the answer" Trump demanded to introduce duties on cars from the EU in the amount of 20-25%. Trump's argument, now the duties on car import in the EU are 10%, and in the USA 2.5%. At the same time, Trump ignores the high import duties for light trucks in the United States.

For the EU, the issue of duty on cars is very significant. It is much more important than steel and aluminum.

If they do not agree, this is a real trade war.

Just yesterday, Trump wrote "Duty is great", all countries go to the US to talk about duties, finally the US can get fair trading conditions (according to Trump).

However, on Wednesday, Trump's twitter reports that Trump proposes to completely zero out duties in US-EU trade. No duties, quotas, and subsidies!

This slogan looks attractive, but it is extremely difficult to implement, especially in terms of subsidies.

In general, the Trump-Juncker meeting is the most important. In a good version, negotiations will begin and everything will end with some agreement. In a bad way, the new US to EU tariffs will come into effect in August and the EU will not delay the answer. The EU is already preparing a list of goods from the US for new duties.

Note that in the US today begins a discussion of a new list of duties on goods from China. A new round of the US-China trade war. It's about fees for 16 billion dollars of goods from China. A duty of 25%, this addition to the already existing list of 34 billion dollars. Earlier, Trump demanded to impose goods from China with duties on goods in the amount of 200 billion and up to 500 billion dollars in the case of China's response. This list will begin to be discussed in the US in the 20th of August.

We are waiting for the outcome of the meeting, Trump - Juncker.

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The markets are witnessing an escalation of the trade conflict between China and the United States

After Friday, D. Trump threatened China that it is necessary to expect the expansion of trade duties on imported goods to $ 300 billion. In response, the authorities "under heaven" once again lowered the yuan's rate against the US currency and reported that they are considering a variant of new stimulus measures for the national economy.

In fact, observing what is happening in the trade relations between the states and the PRC, one can speak about the escalation of the conflict, which manifests itself in ever new measures of the economic opponents' impact on each other. Assessing this state of affairs, we believe that the current nervous situation in the markets will continue. And it can last indefinitely, while the competing parties do not take real steps and find points of reconciliation. But, considering the view of President D. Trump on the US's place in the world both from a political point of view and from an economic point of view, one does not yet have to hope for it. Most likely, he will first try to implement all the methods of pressure and only then will go to the world and will seek common ground when it becomes clear that the trade war is economically damaging, that the negative of this confrontation is greater than the positive.

Today there is a lull in the foreign exchange market. Bidders, on the one hand, are waiting for the development of events in the confrontation between Washington and Beijing, and on the other, they await the outcome of the ECB meeting. The market is interested in how the European regulator will react to the latest developments. In our opinion, it is likely that the bank will not only signal the commitment of its position, declared at the previous meeting in June, but also express new fears about the escalation of tension between the US and China. If this happens, it means that it will be possible to expect the current CBR rate to remain for a considerable period of time, which could have a negative impact on the dynamics of the single currency.

On Tuesday, the Russian ruble was under strong pressure amid news that the US Senate is considering the possibility of tightening sanctions against the Russian Federation, including state debt. But today the ruble gets support, despite the continuation of the growth in OFZ yield, due to the increase in the cost of crude oil.

In summary, we note that the world economy enters a new, more acute phase of the struggle between the United States and China, which can damage its growth. In this case, we expect growth in demand for the dollar as a safe haven currency.

Forecast of the day:

The currency pair EUR / USD is trading above 1.1670 in anticipation of the outcome of the negotiations between the US and EU on customs duties to be held today. If they do not lead to positive arrangements, the pair can break through the level of 1.1670 and fall to 1.1585.

The GBP / USD currency pair is trading above the 1.3135 mark, the intersection of which from top to bottom will lead to its fall to 1.3075. This will happen if the euro / dollar pair turns down.

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Analysis of EUR / USD Divergences on July 25. It will be difficult for the dollar to continue its growth.

4h

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The currency pair EUR / USD on the 4-hour chart reversed in favor of the US dollar and falling to the correction level of 50.0% - 1.1680. The retreat of the pair from the Fibo level of 50.0% will allow traders to expect a turn in favor of the EU currency and some growth in the direction of the corrective level of 61.8% - 1.1721. On July 25, there are no signs of divergence in any indicator. Fixing the quotes below the Fibo level of 50.0% will work in favor of continuing the fall towards the next correction level of 38.2% - 1.1639.

The Fibo grid is built on the extremes of June 14, 2018 and June 21, 2018.

Daily

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On the 24-hour chart, the bullish divergence of the CCI indicator still allows us to count on the pair's growth towards the correctional level of 76.4% - 1.1789. The pair's retracement from the Fibo level of 76.4% will allow traders to expect a reversal in favor of the US currency and a slight drop towards the correction level of 100.0% - 1.1553. The consolidation of the pair's rate above the Fibo level of 76.4% will increase the likelihood of further growth in the direction of the next correction level of 61.8% - 1.1938.

The Fibo grid is built on extremes from November 7, 2017 and February 16, 2018.

Recommendations for traders:

Purchases of the EUR / USD pair on July 25 will be open with a target of 1,1721 and a Stop Loss level under the correction level of 50.0% if the Fibo 1.1680 retreats.

To sell the EUR / USD pair will be possible with the targets of 1,1639 and 1,1590, if the closing is done below the Fibo level of 50.0%, with a Stop Loss order above the correction level of 1.1680.

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EUR / USD h1. Variants of the development of the movement as of July 25, 2018 Analysis APLs & ZUP

Minuette (h1)

Euro vs US Dollar

Previous review of July 18, 2013 12:22 PM UTC + 3.

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EUR / USD is currently developing the movement in channel 1/2 of the Median Line (1.1680 <-> 1.1705 <-> 1.1735) of the operating-scale minuette, respectively, as further, during the period July 25_31, 2018, the price movement of the instrument will result - will be determined by the direction of the perforated channel.

I draw your attention to the fact that EUR / USD is "mirror" correlated with #USDX, and accordingly - when making trading decisions for this pair, it is necessary to take into account the development of the dollar index movement, which was considered earlier in the review of 18:22 on July 24, 2013 UTC + 3 .

The marking of the price movement of the instrument within channel 1/2 of the Median Line Minuette is shown in the chart.

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The outlook for the development of the upward movement (buy)

The breakdown of the resistance level at 1.1.1735 (the upper border of the channel 1/2 of the Median Line Minuette) will make it important to continue the development of the EUR / USD movement to the boundaries of the equilibrium zones of operating-scale forks -> Micro (1.1745 <-> 1.1780 <-> 1.1810) and Minuette (1.1745 <-> 1.1790 <-> 1.1830).

The details are shown in the graph.

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The outlook for the development of the downward movement (sell)

The breakdown of the support level 1.1680 (the lower boundary of the channel 1/2 of the Median Line forks of the operating scale Minuette) -> the variant of the development of the downward movement of EUR / USD to the targets -> local minimum 1.1655 <-> SSL Minuette start line (1.1625).

See the schedule for details.

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The review is made without taking into account the news background and is not a guide to action (placing orders "sell" or "buy").

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GBP / USD. 25th of July. Results of the day. Pound takes the opportunity to grow in price

4-hour timeframe

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Amplitude of the last 5 days (high-low): 200p - 110p - 125p - 145p - 76p.

The average amplitude for the last 5 days is 131n (131p).

The pound sterling paired with the US dollar almost completely repeated the movement of the pair EUR / USD on July 25. After a slight correction, the price turned up, and at the moment, we can say that the uptrend has resumed. The reasons for the low demand on the second trading day of the week for the US dollar are the same as in the case of the euro. Traders began to seriously fear for the consequences of the trade war, which Trump is actively unleashing. Market participants understand that China will not exactly retreat and will introduce retaliatory sanctions for American goods. The EU can take a softer stance, but if the negotiations between the head of the European Commission Jean Claude Juncker and Donald Trump fail and Trump will impose duties on all products of the EU auto industry, then the EU will have to answer something. As for the UK, there has been no new data on negotiations with the EU over the past 24 hours. However, the pound sterling at any time may again begin to be pressured in connection with this issue. Thus, the position of the pound looks good only in the short term. Nevertheless, while the United Kingdom has not received a new portion of the negative, the English currency can continue to strengthen, taking advantage of the given chance. We also draw your attention to the development of the conflict between Iran and the States. This point should also not be overlooked, as it could potentially lead to a military conflict between countries. This, in turn, can create additional pressure on the American currency. Now, everything will depend on whether Iran blocks Iran's oil supply through the Strait of Hormuz or not. The government of Iran has chosen a tough position and can fully realize its threats. But Trump clearly will not be ill-advised on this issue, even if the other participants in the nuclear deal did not support him in the issue of imposing a ban on the export of Iranian oil. Thus, a military conflict between the parties is quite probable.

Trading recommendations:

The currency pair GBP / USD resumed its upward movement, so now it is recommended to stay in longs with small lots with the first target of 1.3180, as a signal was received from MACD for purchase. Tomorrow, bulls can develop their success and try to reach the first resistance level of 1.3296.

Sell-positions are recommended to open after fixing the price below the critical line. In this case, the upward trend will change to a downward trend, and the bears will be able to go on the attack with the first target of 1.3000.

In addition to the technical picture, one should also take into account the fundamental data and the time of their release.

Explanations to the illustration:

Ichimoku Indicator:

Tenkan-sen is a red line.

Kijun-sen is a blue line.

Senkou Span A is a light brown dotted line.

Senkou Span B - a light purple dotted line.

Chinkou Span is a green line.

Bollinger Bands Indicator:

3 yellow lines.

MACD indicator:

Red line and histogram with white bars in the indicator window.

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EUR / USD. 25th of July. Results of the day. Trump hits the world

4-hour timeframe

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Amplitude of the last 5 days (high-low): 96p - 63p - 100p - 112p - 66p.

The average amplitude for the last 5 days is 87n (84p).

The movement on the currency pair on July 25 can be described as multidirectional. Although from a technical point of view, everything is perfect. The price worked out the critical Kijun-sen line and jumped from it, resuming the upward movement and working out the signal to buy from Ichimoku. European indices of business activity exerted little pressure on the euro. IDA in the service sector declined in July to 54.4, composite to 54.3. And only the index of business activity in the production sector rose to 55.1. However, these news were not the main ones during the day. As always, interesting information came from the White House. This time, US President Donald Trump threatened to increase trade duties for the European Union to $ 300 billion. Trump plans to increase duties on the import of cars from Europe to 20%. And he is going to introduce these trade restrictions, if the EU does not completely remove all duties on the import of American goods. Tomorrow, European Commission President Jean-Claude Juncker will pay an official visit to the US, within which he will try to negotiate with Trump. If negotiations fail, then, most likely, the trade conflict will expand from the China-US zone to the US-China-EU zone. Traders reacted to this news by selling US dollar. This is a good sign, since seeing the growth of the dollar at a time when Trump imposes sanctions against everyone is a little strange and illogical. At the same time, we remind that the US leader often adheres to the principle "My word. I want to give, I want to take it back." Threats to impose sanctions on all imports from China, as well as on a huge amount from Europe look already implausible. No, we do not believe that Trump is bluffing, but still for a few months to impose duties on all imports from the EU and China and expect that no response will be made, at least naive. Thus, we believe that Trump adheres to his strategy, which consists of threats that, in the course of time, will be weakened in exchange for concessions from China and the EU. Anyway, the dollar in the coming weeks may be under significant pressure.

Trading recommendations:

For the currency pair EUR / USD, the downward correction is completed. Thus, we expect today-tomorrow to move upwards with the target of 1.1766. It is recommended to consider long positions, as the price eloquently rebounded from the critical Kijun-sen line.

Orders for sale are recommended to be considered not earlier than overcoming the critical Kijun-sen line with the targets of 1.1626 and 1.1614. In this case, the bears can again take the initiative in their hands and resume the downward trend.

In addition to the technical picture, one should also take into account the fundamental data and the time of their release.

Explanations to the illustration:

Ichimoku Indicator:

Tenkan-sen is a red line.

Kijun-sen is a blue line.

Senkou Span A is a light brown dotted line.

Senkou Span B - a light purple dotted line.

Chinkou Span is a green line.

Bollinger Bands Indicator:

3 yellow lines.

MACD indicator:

Red line and histogram with white bars in the indicator window.

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AUD / USD: All attention is paid to Australian inflation

The Australian dollar paired with the US currency continues to trade in the price niche of 0.7330-0.7450, reacting impulsively to the current changes in the fundamental background.

In general, AUD / USD is within the southern trend, but the bearish dynamics can be traced only on the monthly chart. On the chart W1, we see a slightly different picture. Over the past six weeks, the pair is practically standing still. After the southern impulse, the price rolls back to the previous values in anticipation of a new news driver. Such an algorithm allows you to open long or short reverse positions, depending on the direction of the next pulse. The long-term vector of the motion of AUD / USD has not yet been determined due to "stagnation" in the issue of the trade war between the US and China.

Last week, the Australian dollar reacted positively to data on the Australian labor market. At first glance, the release really made a positive impression. The unemployment rate returned to a record low mark of 5.4%, and the number of employees increased by almost 60 thousand, updating the growth record since November last year. But, as you know, "the devil is hidden in small things". The structure of the basic indicators indicates that the level of unused supply of labor remains unacceptable.

Thus, the number of unemployed Australians who want to find a full-time job has increased by more than five thousand, and the total number of such applicants has reached half a million people. Also, the level of unemployment with incomplete employment remains at high enough marks. This trend primarily slows the growth of average wages. This indicator has long been troubling the Central Bank of Australia. Weak wages in turn inhibit inflation, which is already at a fairly low level.

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That is why the initial reaction of AUD / USD to the release of data on the Australian labor market was replaced by a southern impulse. Over the day, the pair overcame more than one hundred points, reaching a price peak of 0.7445, the price in a few hours reached a minimum of 0.7323. Traders came to the conclusion that without the growth of salaries and, accordingly, inflation, the RBA will not return to the issue of tightening monetary policy. Therefore, the positive numbers of the published release could not change the general fundamental background of the pair.

Tomorrow, traders will again be able to "participate" in a similar AUD / USD rally, as data on inflation will be published in Australia. According to general forecasts, the consumer price index should show positive dynamics, both in quarterly terms and in annual terms. If this forecast is justified, the Australian dollar will receive considerable support, as inflation for a long time showed a certain stagnation.

Last year, the CPI in the quarterly range ranged from 0.2% to 0.6%. The first quarter of 2018 showed a decline in the indicator to 0.4%. In annual terms, the indicator reached the same level of 1.9%. In the second quarter of this year, experts expect an increase of + 0.5% q / q and + 2.2% y / y. In this case, the pair AUD / USD again approaches the upper limit of the price range, that is, to the middle of the 74th figure. And it is in this price area that it is advisable to consider short positions on a pair, since even justified inflation growth will not be able to unfold the southern trend. The reason is the notorious trade war between China and the United States, which adversely affects the commodity market and indirectly on the Australian economy.

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The US-China trade conflict continues to gain momentum, despite a public lull. Take a look at the dynamics of the pair USD / CNY. The yuan continues its rapid decline, reaching 6.823 (the last time the pair was at this level in June last year and then, within the downtrend). China continues to devalue the national currency, although it does not recognize the intentionality of its actions. The States are also "not asleep". Today, the US Commerce Department begins a public discussion on the introduction of new tariffs on the import of Chinese goods worth $ 16 billion.

Let me remind you that on June 15, Donald Trump confirmed the US decision to establish a 25% tariff for 50 billion dollars of Chinese exports. Duties on 34 billion came into effect on July 6, and decided to wait with the "remaining" 16 billion. According to the White House, the Trade Representation will discuss the feasibility of their introduction. Experts believe that Washington thus allowed Beijing to meet and "agree on a compromise", but China, as we see, ignored this signal. Therefore, the fate of new tariffs for 16 billion is predetermined. The outcome of the discussion in the Trade Representation is not difficult to predict. Further escalation of the trade conflict has and will put pressure on the commodity market. In particular, iron ore and copper continue to show a downward trend.

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Thus, the Australian remains under the yoke of a negative fundamental background. Therefore, any "internal" economic successes provide only temporary support to the AUD / USD pair. The growth of Australian inflation should also be viewed through the prism of an external fundamental background, opening short positions at impulse price jumps.

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Analysis of EUR / USD Divergences on July 24. The US dollar began to grow again

4h

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The EUR / USD pair on the 4-hour chart reversed in favor of the US currency and secured a correction level of 61.8% to 1.1721, falling to the Fibo level of 50.0% to 1.1680. Quit on July 24 from the correction level of 50.0% will allow traders to count on a turn in favor of the euro and return to the level of Fibo 61.8% - 1.1721. Fixing the pair under the correction level of 50.0% will increase the chances of further decline towards the corrective level of 38.2% - 1.1639. Brewing divergences today is not observed in any indicator.

The Fibo grid is built on the extremes of June 14, 2018 and June 21, 2018.

Daily

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On the 24-hour chart, the bullish divergence of the CCI indicator allowed the pair to turn in favor of the euro and begin to rise in the direction of the correction level of 76.4% to 1.1789. Quit of quotations from the correctional level of 76.4% will allow to expect a turn in favor of the US dollar and a slight drop towards the Fibo level of 100.0% - 1.1553. Strengthening the rate above the correction level of 76.4% will increase the likelihood of continued growth of the pair in the direction of the next level Fibo 61.8% - 1.1938.

The Fibo grid is built on extremes from November 7, 2017 and February 16, 2018.

Recommendations for traders:

Purchases of EUR / USD on July 24 can be opened with a target of 1,1721 and a Stop Loss level under the correction level of 50.0% if there is a retreat from the Fibo level of 1.1680.

To sell the EUR / USD pair will be possible with the targets of 1,1639 and 1,1590, if the closing is done below the Fibo level of 50.0%, with a Stop Loss order above the correction level of 1.1680.

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

Technical analysis of AUD/USD for July 25, 2018

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Overview:

The major resistance is seen at the level of 0.7474 (38.2% of Fibonacci). The AUD/USD pair fell from the level of 0.7474 towards 0.7348. But, the price rebounded from the bottom of 0.7348 to trade around the spot of 0.7474 again. The resistance is seen at the levels of 0.7474, 0.7513 and 0.7554. Moreover, the price area of 0.7474/0.7513 remains a significant resistance zone. Therefore, there is a possibility that the AUD/USD pair will move downside and the structure of a fall does not look corrective. The trend is still below the 100 EMA for that the bearish outlook remains the same as long as the 100 EMA is headed to the downside. Thus, amid the previous events, the price is still moving between the levels of 0.7474 and 0.7257. If the AUD/USD pair fails to break through the resistance level of 0.7474, the market will decline further to 0.7302 as the first target. This would suggest the bearish market because the RSI indicator is still in a negative spot and does not show any trend-reversal signs. The pair is expected to drop lower towards at least 0.7257 so as to test the daily support 3. On the other hand, if a breakout takes place at the resistance level of 0.7550, then this scenario may become invalidated.

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Technical analysis of GBP/USD for July 25, 2018

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Overview:

The GBP/USD pair bullish trend from the support levels of 1.3056 and 1.3115 on the one-hour chart. The price is currently in a bullish channel. 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 1.3115, which coincides with daily pivot point. Consequently, the first support is set at the level of 1.3115. So, the market is likely to show signs of a bullish trend around the spot of 1.3115. In other words, buy orders are recommended above the pivot (1.3115) with the first target at the level of 1.3209. Furthermore, if the trend is able to breakout through the first resistance level of 1.3209. We should see the pair climbing towards the double top (1.3362) to test it in the long term. It would also be wise to consider where to place a stop loss; this should be set below the second support of 1.3056.

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EUR/JPY testing major support, watch for a bounce

EUR/JPY is seeing strong support at 129.66 (Fibonacci retracement, Fibonacci extension, ascending support) and a strong bounce could occur at this level to push prices all the way up to our profit target level at 131.95 (Fibonacci extension, horizontal swing high resistance). Stochastic (34,5,3) is seeing strong support above 4.7% where a corresponding bounce could occur and push prices up.

EUR/JPY is seeing strong support and has a high potential for a bounce.

Buy above 129.66. Set stop loss at 128.53 and take profit at 131.95.

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CAD/JPY is on major support, prepare for a bounce

CAD/JPY is seeing a strong support above 84.38 (Fibonacci retracement, horizontal overlap support, bullish divergence) and a strong bounce could occur at this level to push prices all the way up to our profit target level at 85.20 (Fibonacci retracement, horizontal overlap resistance).RSI (55) sees strong bullish divergence vs price signalling that a bounce is impending.

CAD/JPY is seeing a really good opportunity for a bounce.

Buy above 84.38. Set stop loss at 83.81 and take profit at 85.20.

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#theforexarmy #forexsigns #forexsignals #forexfamily #forexgroup #forexhelp #forexcourse #forextrade #forexdaily #forexmoney #forexentourage #forextrading #forex #forexhelptrading #forexscalping #babypips #forexfactory #forexlife #forextrader #financialfreedom #daytrader #scalper #swingtrader #fx #currency #pips #technicalanalysis #forexmarket

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

Technical analysis of USD/CAD For July 25, 2018

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If we look at USD/CAD on the daily chart, we know exactly this pair is still moving in a bullish bias. The Loonie is still moving orderly in an upward sloping channel. Starting from tomorrow, this pair is going to make a minor correction. Now, it tends to be moving in a choppy manner because the Mercury Retrograde Motion phenomenon (Jul 26 - Aug 8, 2018) and 10 trading days more the pair will have a chance to start rising again. As long as the price does not break out and closes below 1.2728, the bias of USD/CAD remains bullish.

(Disclaimer)

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

Technical analysis of Crude Oil for July 25, 2018

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On the daily chart, we can see that crude oil now is still moving in a bullish bias but there will be a correction during the Mercury Retrograde Motion which will start tomorrow on July 26-27, 2018 until August 8-9, 2018. The oil price tends to trade sideways under choppy market conditions. It seems the price is going down to enter the 61.90-66.64 area. The price is expected to make the bottom approximately on the 10th trading day since the Mercury Retrograde Motion finishes approximately on August 8-10, 2018. Afterwards, the price will resume the upward trend again because the overall bias of crude oil is still bullish unless the price breaks out and closes below the 58.07 level.

(Disclaimer)

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

Fundamental Analysis of EUR/AUD for July 25, 2018

EUR/AUD has been corrective and volatile for a few weeks now which lead to a tight range between 1.57 to 1.59 area in the process. Due to indecision and recent Trade War issue, EUR could not sustain the bullish momentum it had earlier over AUD in the process.

Today AUD has been quite unchanged with the economic reports which lead AUD to lose certain grounds against EUR in the process. Today AUD CPI report was published with an unchanged value of 0.4% which was expected to increase to 0.5% and Trimmed Mean CPI report was also published unchanged at 0.5% which met the expectation as well.

On the EUR side, today German Ifo Business Climate report is going to be published which is expected to slightly decrease to 101.6 from the previous figure of 101.8, M3 Money Supply is expected to be unchanged at 4.0%, Private Loans are expected to increase to 3.0% from the previous value of 2.9% and Belgian NBB Business Climate is expected to decrease to 0.4 from the previous figure of 0.6.

As of the current scenario, EUR is quite optimistic about the upcoming economic reports whereas AUD is still quite indecisive. If the EUR economic reports perform better this week, EUR is expected to continue pushing the price higher in the coming days.

Now let us look at the technical view. The price has been quite volatile and corrective between the range bound of 1.57 to 1.59 area for a few weeks now. Though the price is still quite indecisive, having dynamic levels like 20 EMA, Tenkan and Kijun line supporting the upcoming move along with Kumo Cloud working as dynamic support may lead to upward move with a target towards 1.59 again and later towards 1.62 area in the future. As the price remains above 1.57 with a daily close, the bullish bias is expected to continue further.

SUPPORT: 1.57

RESISTANCE: 1.59

BIAS: BULLISH

MOMENTUM: VOLATILE AND CORRECTIVE

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BITCOIN Analysis for July 24, 2018

Bitcoin has been quite impulsive with the recent bullish gains after breaking above $6,500 area with a daily close. Having certain correction and lack of a deeper pullback along the way was a great sign for the bulls to continue their attack in the coming days. Currently, the price is residing inside the resistance area of $8,000-8,500 from where certain bearish momentum can be observed which might lead to a pullback towards the dynamic level of 20 EMA before the bullish trend continues to proceed higher towards $10,000 in the future. As the price remains above $6,500 area with a daily close, the bullish bias is expected to continue further.

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Technical analysis of EUR/USD for July 25, 2018

Price of the EUR/USD pair remains inside the triangle consolidation pattern. Price has visited the 1.1730-1.1760 resistance area several times and got rejected. On the other hand, the price continues to make higher lows.

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Black lines - triangle pattern

Red line - RSI support

Red vertical lines - triangle targets

Blue line - long-term resistance

EUR/USD has resistance at 1.1730-1.1760. A weekly close above this area will open the way for a triangle breakout with the target of 1.2050-1.2110. The long-term trend line resistance is also very close to that area. If the triangle breaks below 1.16 and closes the week below it, we should expect the prices to continue lower towards 1.1250 in August.

Traders should be patient and wait for a confirmed and clear breakout of the triangle pattern.

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

Technical analysis of Gold for July 25, 2018

Gold price started the day yesterday by falling below $1,220 only to gradually get back above it and test the short-term resistance of $1,230. The price remains inside the downward sloping wedge pattern.

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Black lines - wedge pattern

Red line - RSI bullish divergence

Gold price has short-term resistance at $1,230 and next at $1,235. Breaking above these two levels will be a bullish sign as the price will have broken out and above the wedge pattern. Next important short-term resistance will be at $1,245. Trend remains bearish for Gold. Support is at $1,223 and the next one is at $1,218. Breaking below this area will open the way for another new lower low towards $1,200 or even below it.

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

Fundamental Analysis of GBP/USD for July 25, 2018

GBP/USD has been quite bullish with the recent momentum in the long-term bearish trend which is expected to continue further lower in the coming days. As of the recent Trade War tensions, GBP has been struggling to gain momentum over USD having mixed economic report results in the process.

Recently, GBP has been quite positive with the economic report which did help the currency to gain certain momentum, but it is expected to be quite temporary with the sustainability. Today, GBP High Street Lending report is going to be published which is expected to have a slight decrease to 39.1k from the previous figure of 39.2k and CBI Realized Sales is also expected to decrease to 16 from the previous figure of 32.

On the other hand, ahead of the Core Durable Goods Orders and Advance GDP report this week, today, New Home Sales report is going to be published which is expected to decrease to 669k from the previous figure of 689k and Crude Oil Inventories report is also expected to decrease to -2.6M from the previous figure of 5.8M.

As of the current scenario, both GBP and USD are forecasted to struggle with the economic reports to be published today and upcoming reports this week. Though no specific decision can be taken in this corrective and indecisive phase, but USD is expected to have an upper hand over GBP having high impact economic reports yet to be published this week, whereas any positive outcome is expected to help USD gain further momentum in the process.

Now let us look at the technical view. The price is currently residing just above the support area of 1.3050 while having confluence with the dynamic level of 20 EMA holding the price as resistance to push lower in the coming days. As the price remains below the 1.3320 area with a daily close, the bearish bias is expected to continue with target towards 1.2750 in the future.

RESISTANCE: 1.3320

SUPPORT: 1.3050, 1.2750

BIAS: BEARISH

MOMENTUM: CORRECTIVE AND VOLATILE

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EUR / USD. 1.15 or 1.1775 - it all depends on Juncker and Trump

The European currency froze during the key "fight" between the US president and the head of the European Commission. Jean-Claude Juncker continue to have a visit at Washington, where he will held talks with Donald Trump on July 25. On the eve of this meeting, representatives of the American and European sides exchanged harsh statements that made traders nervous on both sides of the ocean.

Last month, Juncker's potential visit to the US was in question, as Brussels doubted the expediency of this event. Doubts have not disappeared and now, Trump voices his demands by means of ultimatums. He is preparing to impose 20% duties on cars and auto parts imported from the EU countries, if the alliance does not reduce or eliminate trade barriers against US companies. The impact may affect the automotive industry in Germany, France and Italy based on preliminary calculations, and the total value of the designated fees is $ 300 billion. Then, there will be a "domino effect", as the eurozone business climate will deteriorate significantly, thereby slowing the growth of key indicators and the economy as a whole.

At the end of June, during the EU summit, Mario Draghi warned European leaders about the catastrophic consequences of a full-fledged trade war with the States. Apparently, the apocalyptic scenario voiced by the ECB head had a corresponding effect since earlier in July, the White House was visited by the Prime Minister of the Netherlands (who called Trump to find a compromise solution), after which the German chancellor allowed a reduction in duties on American cars and even expressed willingness to support such an initiative, "if such a question is raised at the EU level".

However, the overall situation somewhat worsened on the eve of the European Commission head's visit. Angela Merkel criticized the actions of the White House because of the publication of a new list of Chinese goods, which can be taxed with 10 percent duties. She stated that US actions are contrary to WTO rules and are devastating for the world economy. German Foreign Minister Heiko Maas commented on Juncker's visit to Washington,and he said that Europe will not negotiate "with a gun at his temple" and will not agree to a disadvantageous proposal. Here, it is worth noting that Maas is a member of the SPD, which is part of the coalition with the CDU / CSU, but at the same time is a "temporary ally" of Merkel. Therefore, the position of the Minister for Foreign Affairs should not be identified with the position of the Chancellor.

However, Brussels is still quiet about its intentions. While the official speaker of the European Commission Margaritis Shinas informed yesterday that Junker will arrive to the White house "without any specific trade proposal". According to him, the head of the EC plans to agree on further negotiations with the American side in order to regulate trade issues.

But, according to a number of experts, Junker will still announce Trump's possible compromise. It consists in the conclusion of an expanded multilateral treaty between the US, the EU and some other auto-exporting countries. Nevertheless, this is a very large-scale project which can take a long time to implement. Impulsive Trump will certainly reject this proposal and in fact, in his opinion, the European Union has long occupied an unfair and tough trade position against the United States. Therefore, it is unlikely that he will agree to the conclusion of any multilateral agreements.

However, the above option is just one of the alleged scenarios of the speech. The concessions that are ready to go to Europe is in fact (not to follow the "Chinese way") unknown to anyone. That is why the intrigue of tomorrow's meeting puts pressure on the traders of the EUR/USD pair, showing too large stakes on the investment during the July meeting of the ECB. All other fundamental factors have receded into the background. For example, today's release of European PMI indices in the manufacturing and service sectors was ignored by the market. The pair symbolically increased by several tens of points, but almost immediately returned to its original positions.

The embarrassed emotions and the loud statements of Trump towards the actions of the Fed. Members of the American regulator now observe a "silence regime", which will last until the end of July, which extends until the next Fed meeting. Perhaps, the dollar index stopped its decline because of the lack of a response from the Fed. If at the July meeting the regulator's members ignore the odious statement of the US president, this situation will "come to naught", after the market continue to discuss the possibility of a double rate hike within this year.

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But now the attention of EUR/USD is focused only on the expectation of the meeting result between Juncker and Trump, which will then be replaced by the expectations of the outcome of the ECB meeting. These fundamental factors are too important for the European currency, so the technical picture of the pair depends only on the "foundation." Following the results of the next two days, the EUR/USD will either return to resistance level 1.1775 (the top line of Bollinger Bands on D1), or again will test annual lows at the bottom of the 15th figure.The material has been provided by InstaForex Company - www.instaforex.com

Trading Plan for US Dollar Index for July 25, 2018

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Technical outlook:

The US Dollar Index managed to test the Fibonacci 0.382 resistance of the entire drop between 95.50 through the 94.20 levels, respectively. After hitting resistance at 94.80 yesterday, the index pulled back significantly, indicating that a potential lower top is in place now. As an alternate though, there is enough room left to push through the 95.10/20 levels, which is the Fibonacci 0.618 resistance, before continuing lower again. The charts are indicating that the US Dollar Index has carved out a major top at the 95.50 levels, and that the prices should stay below that to complete a meaningful counter trend drop towards the 91.00/92.00 levels, respectively. Looking at the bigger picture, the index is expected to retrace its previous rally between 87/88 through the 95.50 levels before resuming its uptrend.

Trading plan:

Remain short now and also look to add further around the 95.10 levels, stop above 95.50 and target at 92.00.

Fundamental outlook:

There are no major events lined up today.

Good luck!

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

Bitcoin analysis for 25/07/2018

The G20 member countries have set October as the deadline for the review of the global anti-money laundering standard (AML) through cryptocurrencies.

According to the statement, the finance ministers and central bank governors of the G20 countries organized a meeting at the weekend and repeated their position regarding the plan of vigilant monitoring of cryptocurrencies.

Member countries have also called on the Money Laundering Special Interest Group (FATF), an intergovernmental body set up to combat money laundering and terrorist financing, to explain within three months how current AML standards can be applied to cryptocurrencies.

"While crypto-assets are not at the moment a risk for global financial stability, we remain vigilant ... We maintain our March commitments related to the implementation of FATF standards and we turn to the FATF to clarify in October 2018 how their standards can be applied to crypto- assets "- provided the Member States in the document.

The G20 initially in March asked the FATF for the AML standard for the cryptocurrency. This activity was part of the wider support for global regulatory recommendations in this regard.

Last month, it was reported that FATF is planning to develop binding AML rules for global cryptocurrencies. In addition, the report published in February shows that the agency will increase its efforts to control money laundering through cryptocurrencies.

Let's now take a look at the Bitcoin technical picture at the H4 time frame. The market is breaking higher through all the technical resistance and the next target for bulls is seen at the level of $8,554. The momentum remains strong, but the negative divergence between the price and momentum is still present. After the impulsive rally in wave 3, the correction in wave 4 will have to come anyway. The nearest important technical support is seen at the level of $7,890.

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Elliott wave analysis of EUR/JPY for July 25, 2018

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EUR/JPY has traded within a very narrow 47 pips band the last couple of days. We expect a bottoming process to be developing and it should just be a matter of time, before EUR/JPY breaks above resistance at 130.44 confirming that a bottom is in place for the red wave ii and that the red wave iii towards 133.60 is developing.

That said, we also need to be aware, that as long as resistance at 130.44 is able to cap the upside, the possibility of a spike low persists. If such a spike is seen, it should be short-lived and will likely not move below 129.44.

R3: 131.05

R2: 130.75

R1: 130.44

Pivot: 130.27

S1: 130.01

S2: 129.75

S3: 129.44

Trading recommendation:

We will buy EUR upon a break above 130.44. Our stop will be placed 10 pips below the most recent low.

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

Elliott wave analysis of EUR/NZD for July 25, 2018

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The correction in the red wave ii will not release its grip. However, it should just be a natter of time before a bottom is found for the red wave ii and the red wave iii takes over for a rally towards 1.7305 on the way higher to 1.8381.

EUR/NZD has been locked inside a sideways consolidation since the December 1 - 2017 peak at 1.7479. This has build up a lot of energy and once released we should see a nice strong advance towards 1.8381 and longer term closer to 1.9849.

R3: 1.7305

R2: 1.7268

R1: 1.7232

Pivot: 1.7208

S1: 1.7184

S2: 1.7153

S3: 1.7140

Trading recommendation:

We are long EUR from 1.7226 with our stop placed at 1.7110. If you are not long EUR yet, then buy a break above the channel resistance at 1.7224 and use the same stop at 1.7110.

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

Trading Plan for EUR/USD for July 25, 2018

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Technical outlook:

The EUR/USD pair has bounced from the 50% retracement level of the rally between the 1.1574 and 1.1750 levels, respectively. The pair has enough potential to stage an extended rally from these levels or it could first drop through the 1.1640 levels and then continue pushing forward. More or less, the pair has been poised enough to rally past 1.1950 levels at least. Bottom line remains that the prices should stay above the 1.1574 levels, for this to stay true. On the flip side, a drop through the 1.1574 levels would clearly indicate that wave (4) of a higher degree terminated at the 1.1850 levels earlier, and that EUR/USD is poised to drop lower towards the 1.1100/1200 levels, respectively. High probability trade setup for now is expected on the north side.

Trading plan:

Remain long EUR/USD and also look to buy on dips through the 1.1640 levels, stop below 1.1574 and target is the 1.1950 levels, respectively.

Fundamental outlook:

There are no major events lined up for the day.

Good luck!

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

Technical analysis: Intraday Level For EUR/USD For July 25, 2018

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When the European market opens, some Economic Data will be released such as Belgian NBB Business Climate, Private Loans y/y, M3 Money Supply y/y, and German Ifo Business Climate. The US will also release the Economic Data such as Crude Oil Inventories, New Home Sales, so amid the reports, EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.1743.

Strong Resistance:1.1736.

Original Resistance: 1.1725.

Inner Sell Area: 1.1714.

Target Inner Area: 1.1686.

Inner Buy Area: 1.1658.

Original Support: 1.1647.

Strong Support: 1.1636.

Breakout SELL Level: 1.1629.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all Traders or 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: Intraday level for USD/JPY for July 25, 2018

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In Asia, Japan today will not release any Economic Data. but the US will release some Economic Data such as Crude Oil Inventories, and New Home Sales. So there is a probability the USD/JPY pair will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 111.87.

Resistance. 2: 111.65.

Resistance. 1: 111.43.

Support. 1: 111.17.

Support. 2: 110.96.

Support. 3: 110.73.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all Traders or 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

Trading plan for the European session on July 24 GBP/USD

To open long positions for GBP/USD, you need:

Buyers are required to form a false breakout at 1.3082, which will bring new players to the market and lead an upward trend towards the yesterday's resistance level of 1.3147, where it is recommended to fix profits. If the pound drops below the support level of 1.3082 in the first half of the day, it is best to return to long positions only for a rebound from 1.3010.

To open short positions for GBP/USD, you need:

The break and consolidation below 1.3082 support will be a good signal for GBP/USD to sell, with an the expectation of renewing fresh lows in the 1.3045 and 1.3010 levels, where it is recommended to fix profit. This morning, the pound is recommended to sell only a rebound from the resistance range of 1.3146-56.

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Indicators Description:

MA (average sliding) 50 days - yellow

MA (average sliding) 30 days - green

MACD: fast EMA 12, slow EMA 26, SMA 9

Bollinger Bands 20

* The presented market analysis is informative and does not constitute a guide to the transaction.

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

ECB and the Fed: The differential of rates is growing

ECB and the Fed: The differential of rates is growing

On Thursday, July 26, the ECB will hold another meeting on monetary policy. As expected, the ECB will keep the base rate at zero level, and the rate on deposits for banks at -0.4%.

The euro fell this year from a high of around 1.25 to the dollar to 1.1700 around these days, as the US Central Bank - the Fed - on the contrary, is slowly but surely raising the rate - now the Fed rate is 1.75 - 2%, but two more hikes are expected at 0.25% before the end of the year.

The decline of the euro against the dollar has caused public criticism of the Fed by US President Trump. Trump believes that the Fed's rate hike raises the dollar and helps Europe and China compete with goods produced in the US.

The ECB at the last meeting said that it will not raise the rate at least until the summer of 2019, so as not to slow down the growth of the eurozone economy. In the US, growth is at 4.5% per annum, and the US economy is ready to withstand a rate hike, according to the Fed.

The ECB is expected to speak at the meeting on Thursday about the risks of slowing economic growth in the eurozone and the risks of trade wars organized by Trump.

Paradoxically, the decline in the euro is caused, among other things, by Trump's verbal attacks on the EU - promises to raise duties on cars from Germany clearly threaten the euro. Although, it would seem, Trump wants to reduce the dollar.

Yes, the ECB policy keeps the euro low against the dollar. But is it the ECB's goal to lower the euro? No, rather not. The ECB's goal is to support the growth of the eurozone economy by donating the euro exchange rate, if necessary.

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

The euro is stable ahead of the ECB meeting

Eurozone

The key event in the eurozone this week is the ECB meeting on Thursday, July 26. This meeting is considered to be a passing one, the likelihood of any changes is minimal, but surprises are still possible, and they will primarily concern the wording regarding the timing of maintaining current rates.

The ECB directly links the first increase to achieving a consistently high inflation rate, and at the moment this parameter is rather negative – growth is primarily due to rising prices for petroleum products, the root value is about 1%, which is too low to begin the cycle of tightening. At the same time, maintaining a dovish rhetoric is increasingly difficult, as with each new meeting, the spread of returns between dollar and euro assets is increasing, the spread of yields between assets in dollars and euros is growing, and delaying the process can accelerate the migration of capitals from the eurozone.

There is another factor that may push Draghi to take a more hawkish position. The inversion of the yield curve in the United States is approaching, the dynamics are obvious. Three times in recent decades, the inversion preceded a new recession, and if the current trend continues, the new inversion will come in half a year, and there before the recession at hand.

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Accordingly, the ECB is in an ambiguous position – it can begin a cycle of tightening just as a new recession is indicated. This paradoxical conclusion from the current situation does not allow the ECB to publicly announce the expected steps, because they can be canceled at any time.

Thus, there are two scenarios for the euro, and both of them are bad, and there is a badly hidden split in the bank's management regarding the future actions of the regulator. Accordingly, the focus is shifted to the press conference of Draghi following the meeting, which may lead to the growth of the euro, since Draghi is unlikely to avoid adding hawkish notes to his position.

Since the ECB meeting is not expected to publish important macroeconomic data (the release of the PMI Markit report is unlikely to be able to take markets out of balance on Wednesday), EUR/USD trading will most likely take place in a range close to current levels. After the meeting, it is possible to consolidate the euro above 1.1790 and try to test 1.1853, but it is unlikely that it will be successful, the dollar in the main currency pair remains favorable.

Britain

The pound is under pressure due to another political crisis that threatens to lead to the resignation of the May government, as well as due to weak economic data. At the same time, the Bank of England meeting is holding it back from falling, with a 70% probability that the key rate will be raised. The GBPUSD will continue to trade in a wide range of 1.3050 / 3190, the probability of an exit for which until the end of the week is low.

Oil

Oil prices again attempt to grow after Saudi Arabia has lowered its tone regarding output growth under pressure from a number of OPEC countries and the lack of real growth in demand. The threat of "excess" oil entering the market has decreased, which led to the stabilization of prices. Brent traded on Tuesday above $73 per barrel, by the end of the week can rise above 74.

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

Control zones USD/CAD 24.07.18

The situation of the pair is quite complicated due to the availability of supply and demand in a narrow range. This requires considering transactions from the borders of the mid-term flat, formed in the July extremes.

To complete a trading plan, traders need to determine the trade direction. The last impulse movement occurred towards the direction of the Canadian dollar strengthening. The pair was able to gain a foothold below NKZ 1/2 1.3175-1.3165, which indicates a high probability of renewing the Friday's minimum. Today, there is a test of NKZ 1/4 1.3174-1.3169, which can become the starting point of the trade. If the closing of the American session occurs above the 1.3174 level, then it will be possible to consider the test of NKZ 1/2 1.3237-1.3227, where the most profitable prices for selling the instrument are located.

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In order to be able to sell from the current marks, the closing of trades should be made below NKZ 1/4. This will allow to consider sales at less favorable prices. The weekly short-term target of decline is the of 1.3063-1.3041, which allows players to get 110 profit points from current marks. The size of the stop-loss should not exceed 30 points, so that the risk-to-profit ratio is acceptable.

To disrupt the downward momentum, today's US session should be closed above the level of 1.3237. This will rule out the potential renewal of the Friday's minimum and allow considering purchases already at the Asian session tomorrow. There is a 30% probability of forming a reversal pattern which makes it possible to consider it as an auxiliary one. The current phase of the movement is a medium-term accumulation. This requires fixing transactions for weekly and monthly extremes, even if the main goals have not yet been achieved.

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Daytime CP is the daytime control zone. The zone is formed by important data from the futures market, which change several times a year.

Weekly CP is the weekly control zone. The zone is formed by important futures market marks, which change several times a year.

Monthly CP is the monthly control zone. The zone is a reflection of the average volatility over the past year.

* The presented market analysis is informative and does not constitute a guide to the transaction.

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