Euro and pound may continue to decline

Markets differ on the outlook for the US economy, which also affects the inconsistency of forecasts for the dollar. On the one hand, the outcome of the Fed meeting was perceived positively by the markets, as the forecasts remained stable, and the unanimity of the FOMC members at the rate did not allow doubting the hawkish intentions of the Committee.

Despite the problems associated with the trade war, the US economy is in good condition and has sustained growth. Employment is close to maximum, the average wage growth rate is sufficient to count on further inflation, small business optimism, and consumer confidence exceed the pre-crisis level.

analytics5bb1c82b4ba9d.png

The general view of the market is that the Fed will continue to raise autopilot rates, aided by the revision of GDP growth rates for 2018 and 2019. These expectations will drive up bond yields and support the yield spread in favor of the dollar, which, along with a reduction in the Fed's balance sheet will strengthen it.

At the same time, concerns are growing. The budget committee of the Congress issued two comments on the June long-term budget forecast, which again emphasizes the danger of a sharp increase in the budget deficit as debt accumulates and interest rates rise. Expenses due to this will increase dramatically, that is, net interest payments will eat up an increasing part of the federal budget, while income growth forecasts remain very moderate. There is no optimism and product balance, despite the intensification of the protectionism policies pursued by the Trump cabinet, there is no positive trend in foreign trade.

The CFTC report, published on Friday, showed that speculators are opening up more and more short positions on the dollar, especially against the loonie, the euro, the pound, and the franc. Along with the growth in oil demand, the dollar scenario looks more likely to be negative, growth this week may stall, especially against commodity currencies, and only the yen looks weaker than the dollar due to a lower risk level.

Today, the publication of ISM for the manufacturing sector may have an impact on quotes, a little-overstated data in isolation from the real sector reduces confidence in this indicator, but until Friday, when a report on the labor market is published, nothing more significant for the dollar will appear.

Eurozone

Core inflation in the eurozone rose in September by 0.9%, which is lower than a month earlier and lower than predicted. The overall inflation rate was 2.1%, which is explained by rising food prices and especially energy, but the weakness of basic data increased market fears that the ECB would decide to increase the rate in the summer of 2019. Just a few days before the release of data, the ECB President Draghi in the European Parliament described the growth of inflation as "energetic", but now the chances that the ECB will delay the rate by December of next year have increased.

analytics5bb1c841c7093.png

Such changes could not but affect the euro, which is under pressure on Monday. The outlook is negative, EUR / USD will continue to move to the support level of 1.1526.

The United Kingdom

The Brexit factor remains dominant in assessing the prospects for the British economy. The updated data published on Friday for the 2nd quarter did not add any positives. GDP growth was 1.2%, which was lower than expected, the balance of payments noticeably worsened. The volume of commercial investment fell by 0.7 billion pounds to 47.5 billion, no reason to expect a change in the negative dynamics is not yet visible.

analytics5bb1c854de2c1.png

Today, the Bank of England will report on the dynamics of consumer and mortgage lending in August, given the marked slowdown in the construction sector, data may be out of expectations, which could put additional pressure on the pound.

The pound cannot be supported even by the rise in oil prices, although historically it has usually reacted to the dynamics of prices as a commodity currency. Today, the pound will remain under pressure, likely to decline below 1.30 with a subsequent increase in the activity of bears, the immediate support of 1.2895 can be achieved in the perspective of two or three days.

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

Intraday technical levels and trading recommendations for GBP/USD for October 1, 2018

analytics5bb212d897beb.png

On September 13, the GBP/USD pair was testing the depicted daily downtrend line which came to meet the pair around 1.3025-1.3090. Since then, the pair has been demonstrating a successful bullish breakout so far.

This price zone (1.3025-1.3090) also corresponds to 50% and 61.8% Fibonacci levels. Currently, this price zone turned to become a prominent demand zone to be watched for bullish price action.

However, on H4 chart, the market failed to maintain its uptrend within the depicted bullish channel on H4 chart. The lower limit of the depicted channel (which came to meet the GBP/USD pair around 1.3190) failed to offer sufficient bullish demand.

As expected, the price level of 1.3190 offered significant bearish rejection and a valid SELL entry which is running in profits (the backside of the broken bullish channel).

Therefore, the GBP/USD short-term outlook turned to become bearish towards 1.3010 (50% Fibonacci level) where a bearish breakdown should be anticipated before a further decline can take place.

Any decline below 1.3010 (50% Fibo level) will probably invalidate the DAILY bullish scenario for the short-term.

Hence, the pair would have short-term bearish targets around 1.2960 and 1.2900.

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

GBP / USD: plan for the European session on October 1. The pound may continue to decline on data

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

Today, the buyers of the pound need a portion of good fundamental statistics that will help to keep the pair above the support level of 1.3021, and the formation at this level of false breakdown will be the first signal to open long positions in order to return to the resistance level of 1.3057 and update the high of 1.3135, where I recommend fixing the profits. In the case of further reduction of the pound with the trend, a good level for buying will be a new minimum in the area of 1.2981 and a larger support area of 1.2936, from where you can open long positions immediately to the rebound.

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

The sellers will try to break below the support level of 1.3021, the demolition of which will trigger a number of stop-orders of buyers and a further decrease in GBP / USD to the area of the low at 1.2981 and 1.2936, where I recommend fixing the profits. If the data on the production sphere turns out to be positive, it is best to return to short positions in the pound after unsuccessful fixing above the resistance level of 1.3057 or to rebound from a larger area of 1.3095.

Indicator signals:

Moving Averages

Trading moved under the moving average, which is directed down, indicating a continuation of the downward trend.

Bollinger bands

In the case of a further decline, the pound may be supported by the lower limit of the Bollinger Bands indicator, which is located in the area of 1.3017. However, its breakdown will lead to a new wave of decline.

analytics5bb1c67d1a043.png

Description of indicators

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

GBP / USD. 1st of October. The trading system "Regression channels". Theresa May is trying to reassure everyone

4-hour timeframe

analytics5bb1c673161c5.png

Technical data:

The senior linear regression channel: direction - down.

The younger linear regression channel: direction - up.

Moving average (20; smoothed) - down.

CCI: -131.7658

The British pound sterling also began to fall in price against the US currency. If at least one purple bar was formed in the EUR / USD currency pair, then this was not the case for the GBP / USD currency pair. Thus, purely from a technical point of view, it is not necessary to expect an upward correction. For today in the UK and in the States, business activity indices in the production sectors will be published. British IDA can have a significant impact on the movement of a pair. But in general, when making trading decisions, we recommend relying, first of all, on technical analysis. There will be little news today, unless, of course, any unexpected information appears on Brexit or on the topic of the trade war between the States and China. Thus, sharp turns and high volatility are not expected today. By the way, the UK has already made an official statement in which it called on the EU to offer its own version of Brexit, if Brussels does not like the plan for Theresa May. Theresa May, in turn, said that Brexit will be successful in any case, regardless of whether it is possible to agree with the EU or not. True, these words look like an attempt to appease Parliament and the public. Absolutely everybody understands that without the "deal" of Great Britain, it will be much harder than with the "deal". Independent experts have already spoken about this, and Mark Carney is the chairman of the Bank of England.

Nearest support levels:

S1 - 1,3000

S2 - 1.2939

S3 - 1.2878

Nearest resistance levels:

R1 = 1.3062

R2 - 1.3123

R3 - 1.3184

Trading recommendations:

The currency pair GBP / USD continues to move down, as indicated by the blue bars of Heikin Ashi. Thus, it is recommended to remain in sales with targets at 1.3000 and 1.2939, before turning this indicator up.

Long positions are recommended to open no earlier than the bulls overcome the moving average line. In this case, the trend in the instrument will change to ascending, and the target for the upward movement will be the level of 1.3184.

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

Explanations for illustrations:

The senior linear regression channel is the blue lines of the unidirectional movement.

The lower linear channel is the purple lines of unidirectional movement.

CCI is the blue line in the indicator regression window.

The moving average (20; smoothed) is the blue line on the price chart.

Levels of Murray - multi-colored horizontal stripes.

Heikin Ashi is an indicator that colors bars in blue or purple.

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

Intraday technical levels and trading recommendations for EUR/USD for October 1, 2018

analytics5bb20f9e158e3.png

On the weekly chart, the EUR/USD pair is demonstrating a high-probability Head and Shoulders reversal pattern where the right shoulder is currently in progress (recent bearish engulfing weekly candlestick).

Recently, the price level of 1.1500 offered temporary bullish recovery. Another bullish movement was demonstrated towards the upper limit of the price range (1.1750). However, the EUR/USD bulls failed to pursue towards higher bullish targets.

Instead, evident bearish rejection is being demonstrated on the daily chart. Recent bearish movement is currently taking place towards 1.1520 (the lower limit of the consolidation range).

As for the bearish side of the market to be dominant, the EUR/USD pair should be able to push below 1.1520. The first bearish target would be located around 1.1420.

Otherwise, the EUR/USD pair remains trapped within the depicted consolidation range (1.1520-1.1750) if no strong bearish pressure is applied against 1.1520.

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

EUR / USD. 1st of October. The trading system "Regression channels". All attention to technique

4-hour timeframe

analytics5bb1c632210b9.png

Technical data:

The senior channel of linear regression: direction - sideways.

The younger linear regression channel: direction - up.

Moving average (20; smoothed) - down.

CCI: -119.4921

The currency pair EUR / USD on Monday, October 1, continues its downward movement without any signs of an upward correction. After the Fed decided to raise the key rate, the bears continue to push the pair down. Although initially, it seemed that this was not the most likely scenario. Nevertheless, the dollar continues to go up for several days in a row. Today in the eurozone, reports on unemployment in August and the index of business activity in the manufacturing sector in September will be published. It is unlikely that these reports will be able to drastically change the mood of traders. Nevertheless, the correction is still quite expected, given the recent strong oversold CCI indicator, which has not been worked out. However, first of all, the beginning of the correction will be shown by the Heikin Ashi indicator. Until it turns up, market participants can only expect a correctional movement. If any strong and unexpected information, for example, from Trump, does not appear during the day, it is unlikely that we will see sharp movements and reversals today. Therefore, it is the readings of the Heikin Ashi indicator that would be the best way to determine the correction. In the United States, an index of business activity in the manufacturing sector of ISM is planned today, however, as with the news in Europe, it does not have the necessary degree of significance to lead to a sharp reversal or intensification of the movement.

Nearest support levels:

S1 - 1.1597

S2 - 1.1536

S3 - 1.1475

Nearest resistance levels:

R1 - 1.1658

R2 - 1.1719

R3 - 1.1780

Trading recommendations:

The EUR / USD currency pair continues to move down. Therefore, it is now recommended to continue to remain in short positions with a view to 1.1536. The color 1-2 bars in purple indicator Heikin Ashi will indicate the beginning of an upward correction.

Purchase orders are recommended to open in case of overcoming the traders pulling. In this case, the first target for the upward movement will be the level of 1.1719. However, today, we are unlikely to see this consolidation. The price is far enough away from the MA.

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

Explanations for illustrations:

The senior linear regression channel is the blue lines of the unidirectional movement.

The junior linear regression channel is the purple lines of unidirectional movement.

CCI - blue line in the indicator window.

The moving average (20; smoothed) is the blue line on the price chart.

Levels of Murray - multi-colored horizontal stripes.

Heikin Ashi is an indicator that colors bars in blue or purple.

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

EUR / USD: plan for the European session on October 1. Euro sellers need a break, but there is still strength

To open long positions on EUR / USD you need:

The Friday's inflation data led to a further decline in the euro, but in the second half of the day, there was a fixation of profits. At the moment, buyers need to stay above the level of 1.1587 or create a false breakdown on it, which will be a signal to open long positions in EUR / USD with a view to returning to the resistance level of 1.1615, consolidation on which will lead to growth in the area of the high of 1.1648, where I recommend fixing the profit. In the case of a further decline in the euro on the trend, you can go back to purchases after updating the minimum of 1.1556 or rebound from 1.1528.

To open short positions on EUR / USD you need:

The repeated support test of 1.1587 will lead to the breakdown of this level with the formation of a signal for the sale of the euro. The bears will try to update the low of last week with the test of the area of 1.1556 and the exit at 1.1528, where I recommend fixing the profit. In the case of EUR / USD growth in the first half of the day, you can look at short positions when forming a false breakout in the resistance area of 1.1615 or on a rebound from the high of 1.1648, where the upper limit of a new downward channel will be formed.

Indicator signals:

Moving averages

The 30-day moving average and 50-day average are directed down, which indicates a continued decline in the euro in the short term.

Bollinger bands

The euro can be supported by the lower limit of the indicator Bollinger Bands, which is located in the area of 1.1579. However, its breakdown will lead to a new wave of decline.

analytics5bb1c5324723d.png

Description of indicators

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

Analysis of the divergence of EUR / USD on October 1. Maturing bullish divergence on the daily chart

4h

analytics5bb1bf24e27ff.png

The EUR / USD currency pair fixed under the correction level of 38.2% - 1.1620. As a result, the process of falling quotations can be continued on October 1 in the direction of the next correction level of 50.0% - 1.1558. The Fibonacci grid was rebuilt. Above the level of Fibo 38.2% of quotes could not be closed, which increases the probability of continuing the fall. Fixing the pair under the correction level of 50.0% will work in favor of a further fall in the direction of the Fibo level of 61.8% - 1.1497.

The Fibo grid is built on extremes from August 15, 2018, and September 24, 2018.

Daily

analytics5bb1bf2e30724.png

On the 24-hour chart, the fall in quotations of the pair continues in the direction of the corrective level 100.0% - 1.1553. Failure of the pair from the Fibo level of 100.0% will allow traders to expect a turn in favor of the Euro and some growth in the direction of the correction level of 76.4% - 1.1789. There is also a bullish divergence in the CCI indicator, which may coincide with the rebound from the Fibo level of 100.0%. Fixing quotes below the Fibo level of 100.0% will increase the probability of a further fall in the direction of the correction level 127.2% - 1.1285.

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

Recommendations to traders:

Purchases of the EUR / USD pair will be possible with the target of 1,1694 with a stop loss order under the Fibo level of 38.2% if the pair completes the closing above the correction level of 1.1620.

Sales of the EUR / USD pair can now be carried out with a target of 1,1558 with a Stop Loss order above the Fibo level of 38.2%, since the pair completed the closing at the level of 1.1620.

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

Analysis of GBP / USD Divergences for October 1. The pair is going to return to 1.3000

4h

analytics5bb1bef2d7219.png

The GBP / USD currency pair reversed in favor of the American currency and consolidation below the Fibo level of 23.6% - 1.3067. As a result, the fall in quotations continues today in the direction of the next correction level of 0.0% - 1.2662. The ripening divergence on October 1 is not observed. Fixing the pair above the Fibo level of 23.6% can be interpreted as a reversal in favor of the British currency and we expect a resumption of growth in the direction of the correctional level of 38.2% - 1.3316.

The Fibo grid was built on extremes from April 17, 2018, and August 15, 2018.

1h

analytics5bb1befc70f63.png

On the hourly chart, the currency pair continues the process of falling after the formation of a bearish divergence and completed the close below the correction level of 50.0% - 1.3041. Thus, it is expected to continue falling in the direction of the Fibo level 61.8% - 1.2981. There are no maturing divergences on the current chart. Fixing quotes above the correction level of 50.0% will allow traders to rely on some growth of the pair in the direction of the correctional level of 38.2% - 1.3101.

The Fib net is built on extremums from September 5, 2018, and September 20, 2018.

Recommendations to traders:

Purchases of the GBP / USD currency pair can be carried out with the target of 1.3101 and a Stop Loss order under the correction level of 50.0%, if there is a closure above the Fibo level of 1.3041 (hourly chart).

The currency pair GBP / USD can be sold now with a target of 1.2981 and a Stop Loss order above the 50.0% level, as the pair completed the closure below the Fibo level 1.3041 (hourly chart).

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

Simplified wave analysis. Review of EUR / USD for the week of October 1

Wave pattern graphics H4:

The main trend of the euro this year looks at the "south" of the chart. A large-scale support zone has been reached.

Wave pattern graphics H1:

Since mid-August, an ascending wave structure is being formed. The wave level of motion allows you to wait for the continuation of the wave at a higher level.

analytics5bb1be16e909e.jpg

Wave pattern graphics M15:

From September 21, a downward wave develops. On a larger scale chart, it completes a corrective zigzag.

analytics5bb1be26583e8.jpg

Recommended trading strategy:

The short-term sales in small lots can be used for intraday trading. For longer transactions, you need to wait for the current wave to complete and look for signals to buy the pair.

Resistance zones:

- 1.1720 / 1.1770

Support zones:

- 1.1470 / 1.1420

Explanations for the figures: The simplified wave analysis uses waves consisting of 3 parts (A – B – C). For the analysis, 3 main TFs are used, on each, the last, incomplete wave is analyzed. Zones show calculated areas with the highest probability of reversal.

The arrows indicate the wave marking by the method used by the author. The solid background shows the formed structure, the dotted - the expected movement.

Note: The wave algorithm does not take into account the duration of tool movements over time. To conduct a trade transaction, you need confirmation signals from the trading systems you use!

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

The risk of slowing the Chinese economy supports the dollar

Published on Sunday, economic statistics from China indicate a negative impact of the trade war between the US and China, which is already affecting the economy of the latter.

Presented September values of the index of business activity in the manufacturing sector (PMI) showed a decline greater than expected, to 50.8 points against 51.3 points in August and the forecast decline to 51.2 points. The manufacturing business index (PMI) from Caixin generally dropped to the level of 50.0 points, which separates economic growth from the beginning of its decline. It was assumed that the indicator would go down to 50.5 points from 50.6 points.

In the foreign exchange market, all major currencies reacted to depreciation against the US dollar, with the exception of the Canadian one, which is supported by the conclusion of a new trade agreement between the US, Mexico, and Canada and called the USMCA. Previously, a free trade agreement was called NAFTA.

But let's return to the market reaction to the Chinese data of economic statistics. The reason for this behavior is another increase in fear that the trade war between Washington and Beijing will lead to a noticeable slowdown in global economic growth, which will also have an impact on the economies of Europe and Asia. And even the US can be strongly influenced, despite the conviction of President D. Trump, that in this trade conflict, America will only benefit.

Given this state of affairs, we can assume that the local upward dynamics of the dollar may continue. And here, two factors play in his favor. This, as has been repeatedly mentioned earlier, the function of the safe-haven currency and the Fed's plans to further raise interest rates, which reinforces only the discrepancy in the attractiveness of the dollar relative to other major currencies. In addition, the positive for the dollar is the conclusion of the USMCA agreement, which allows the US to switch completely to the fight against Europe and China.

Forecast of the day:

The currency pair EUR / USD is trading near the level of 1.1600. The pair may continue the local decline to 1.1525 if it keeps below this mark, continuing as a whole to move in the outset.

The currency pair AUD / USD is trading above the level of 0.7200. Fears related to the Chinese economy will put pressure on the pair, since China is the main trading partner for Australia and its slowdown will negatively affect its growth. Given this, we can assume that the local decline in the pair will continue to 0.7150 if it falls below the mark of 0.7200.

analytics5bb1b717b1d76.png

analytics5bb1b72c1b1e4.png

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

Fractal analysis of major currency pairs for October 1

Dear colleagues.

For the Euro / Dollar currency pair, we expect further downward movement after the breakdown of 1.1570. The currency pair Pound / Dollar is following the descending structure of September 20 and we consider the movement upwards as a correction. The currency pair Dollar / Franc is following the development of the upward cycle of September 21. For the currency pair Dollar / Yen, the continuation of the upward movement is expected after the passage at the price range of 113.83 - 114.00. For the currency pair Euro / Yen, the price forms the potential for a downward movement of September 25, in a correction from an uptrend. For the Pound / Yen currency pair, the level of 149.00 is the key resistance for the development of the upward structure, while the development of the downward movement is expected after the breakdown of 147.59.

Forecast for October 1:

Analytical review of currency pairs in the scale of H1:

analytics5bb170f421181.png

For the EUR / USD currency pair, the key levels on the scale of H1 are: 1.1699, 1.1671, 1.1652, 1.1632, 1.1588, 1.1571 and 1.1542. Here, we continue to follow the development of a small downward cycle of September 24. The short-term downward movement is possible in the range of 1.1588 - 1.1571 and the breakdown of the last value will lead to a movement to the potential target of 1.1542, upon reaching which we expect a rollback to the top.

The short-term upward movement is possible in the range of 1.1632-1.1652 and the breakdown of the last value will lead to an in-depth correction. Here, the target is 1.1671 and this level is the key support for the bottom. Its breakdown will have to form the initial conditions for the upward cycle. Here, the target is 1.1699.

The main trend is the downward cycle from September 24.

Trading recommendations:

Buy 1.1632 Take profit: 1.1650

Buy 1.1653 Take profit: 1.1670

Sell: 1.1568 Take profit: 1.1543

Sell: Take profit:

analytics5bb17106511a3.png

For the Pound / Dollar currency pair, the key levels on the scale of H1 are 1.3204, 1.3149, 1.3114, 1.3040, 1.2995, 1.2957, 1.2867 and 1.2803. Here, we are following the downward structure of September 20th. The continued downward movement is expected after the breakdown of 1.3040. In this case, the first target is 1.2995 and in the range of 1.2995 - 1.2957 is the consolidation of the price. The passage at the price range of 1.2995 - 1.2957 will lead to the development of a pronounced downward movement. Here, the target is 1.2867. The potential value for the bottom is considered the level of 1.2803, upon reaching which we expect a rollback to the top.

The short-term uptrend is possible in the range of 1.3114 - 1.3149 and the breakdown of the last value will lead to an in-depth correction. Here, the target is 1.3204 and this level is the key support for the downward structure.

The main trend is the downward structure of September 20.

Trading recommendations:

Buy: 1.3114 Take profit: 1.3147

Buy: 1.3152 Take profit: 1.3202

Sell: 1.3040 Take profit: 1.2995

Sell: 1.2993 Take profit: 1.2958

analytics5bb1711685130.png

For the currency pair Dollar / Franc, the key levels on the scale of H1 are: 0.9907, 0.9852, 0.9826, 0.9785, 0.9759, 0.9729 and 0.9705. Here, we continue to follow the development of the ascending cycle of September 21. The short-term upward movement is possible in the range of 0.9826 - 0.9852 and the breakdown of the last value will lead to a pronounced movement. Here, the target is 0.9907, upon reaching which we expect a pullback downwards.

The short-term downward movement is possible in the range of 0.9785 - 0.9759 and the breakdown of the last value will lead to an in-depth correction. Here, the target is 0.9729 and the range of 0.9729 - 0.9705 is the key support for the top, before it we expect the initial conditions for the downward cycle.

The main trend is the upward structure of September 21.

Trading recommendations:

Buy: 0.9826 Take profit: 0.9850

Buy: 0.9855 Take profit: 0.9905

Sell: 0.9785 Take profit: 0.9763

Sell: 0.9755 Take profit: 0.9733

analytics5bb1712777a7c.png

For the currency pair Dollar / Yen, the key levels on the scale of H1 are: 114.32, 114.00, 113.83, 113.60, 113.36 and 113.01. Here, we are following the local ascending structure of September 13. The short-term upward movement is possible in the range of 113.83 - 114.00 and the breakdown of the last value will lead to a movement to the potential target of 114.32, upon reaching this level we expect a pullback downwards.

The short-term downward movement is possible in the range of 113.60 - 113.36 and the breakdown of the last value will lead to a protracted correction. Here, the target is 113.01 and this level is the key support.

The main trend: the local upward structure of September 13.

Trading recommendations:

Buy: Take profit:

Buy: 114.03 Take profit: 114.30

Sell: 113.60 Take profit: 113.38

Sell: 113.34 Take profit: 113.07

analytics5bb1713573f2f.png

For the Canadian Dollar / Dollar currency pair, the key levels at the scale of H1 are: 1.2953, 1.2904, 1.2873, 1.2822, 1.2786 and 1.2743. Here, we follow the formation of a downward structure from September 27. The short-term downward movement is possible in the range of 1.2822 - 1.2786 and the breakdown of the last value will lead to a movement to the potential target of 1.2743, upon reaching which we expect a rollback upward.

The short-term upward movement is possible in the range of 1.2873 - 1.2904 and the breakdown of the last value will lead to a protracted correction. Here, the target is 1.2953 and this level is the key support for the downward structure of September 27.

The main trend is the downward structure of September 27.

Trading recommendations:

Buy: 1.2873 Take profit: 1.2902

Buy: 1.2906 Take profit: 1.2950

Sell: 1.2820 Take profit: 1.2788

Sell: 1.2784 Take profit: 1.2746

analytics5bb17143c4517.png

For the Australian Dollar / Dollar currency pair, the key levels on the scale of H1 are: 0.7261, 0.7236, 0.7221, 0.7186, 0.7168, 0.7144 and 0.7130. Here, we follow the downward structure of September 21. The short-term downward movement is possible in the range of 0.7186 - 0.7168 and the breakdown of the latter value will lead to the development of a pronounced movement. Here, the target is 0.7144. The potential value for the bottom is considered to be the level of 0.7130, upon reaching which we expect consolidation in the range of 0.7144 - 0.7130, as well as a rollback to the top.

The short-term uptrend is expected in the range of 0.7221 - 0.7236 and the breakdown of the latter value will lead to an in-depth correction. Here, the target is 0.7261 and this level is a key support.

The main trend is the downward structure of September 21.

Trading recommendations:

Buy: 0.7221 Take profit: 0.7234

Buy: 0.7238 Take profit: 0.7260

Sell: 0.7186 Take profit: 0.7170

Sell: 0.7166 Take profit: 0.7146

analytics5bb1715269581.png

For the Euro / Yen currency pair, the key levels on the scale of H1 are: 133.85, 133.16, 132.59, 131.32, 131.02, 130.34 and 129.97. Here, we follow the formation of a downward structure from September 25. The development of this structure is expected after the passage of the price range of 131.32 - 131.02. In this case, the goal is 130.34. For the time being, we consider the potential value for the bottom to be the level of 129.97, upon reaching which we expect a rollback to the top.

The short-term upward movement is possible in the range of 132.59 - 133.16 and the breakdown of the latter value will lead to the development of an upward trend. In this case, the goal is 133.85.

The main trend is the formation of a downward structure of September 25.

Trading recommendations:

Buy: 132.60 Take profit: 133.14

Buy: 133.18 Take profit: 133.80

Sell: 131.00 Take profit: 130.40

Sell: 130.31 Take profit: 130.00

analytics5bb17160b77c6.png

For the Pound / Yen currency pair, the key levels on the scale of H1 are: 149.69, 149.00, 148.17, 147.59, 146.84, 145.89, 144.86 and 144.11. Here, the descending structure of September 21 is still relevant as potential initial conditions. The short-term downward movement is possible in the range of 148.17 - 147.59 and the breakdown of the latter value will lead to the development of a downward trend. In this case, the first target is 146.84. Its breakdown in turn will lead to a movement of 145.89, near this level is the consolidation. The breakdown of 145.89 will lead to the development of a pronounced movement. Here, the target is 144.86. The potential value for the bottom is considered the level of 144.11, upon reaching which we expect a rollback to the top.

The upward movement is possible after the breakdown of 149.00. In this case, the goal is 149.69, up to this level we expect the design of the local structure.

The main trend is the equilibrium situation.

Trading recommendations:

Buy: 149.00 Take profit: 149.65

Buy: Take profit:

Sell: 148.15 Take profit: 147.65

Sell: 147.55 Take profit: 146.90

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

Weekly review of the currency pair GBP / USD from October 1 to 6, 2018

Trend analysis (Figure 1).

On the weekly chart this week, the price, according to technical analysis, will once again try to move up with the first goal of 1.3148, 21 average EMA (black thin line). The second scenario is unlikely, but this movement is down with reaching the support line of 1.2940 (white thin line) and only then, moving upwards.

gbpusd-w1-instaforex-companies-group-2.p

Fig. 2 (weekly schedule).

Comprehensive analysis:

- Indicator analysis - up;

- Fibonacci levels - down;

- Volumes - up;

- Candlestick analysis - down;

- Trend analysis - up;

- Bollinger lines - down;

- Monthly schedule - up.

The conclusion of the complex analysis - upward movement.

The total result of the GBP / USD currency pair candlestick calculation by the weekly chart: the price for the week is likely to have an upward trend with the presence of the first lower shadow of the weekly white candle and the absence of the second upper shadow.

The first upper target is 1.3148, 21 middle EMA (black thin line). The second scenario is unlikely, but this movement is down with reaching the support line of 1.2940 (white thin line), and only then move up.

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

Indicator analysis. Monthly review of the EUR / USD currency pair for October 2018

Trend analysis (Figure 1).

The price in October will try again to break through the sliding line of 38.2% - 1.1780 (blue dashed line), which means that the closest target when moving up will be at this level.

eurusd-mn1-instaforex-companies-group.pn

Fig. 2 (monthly schedule).

Comprehensive analysis:

- Indicator analysis - up;

- Fibonacci levels - up;

- Volumes - up;

- Candlestick analysis - up;

- Trend analysis - up;

- Bollinger lines - down;

The conclusion of the complex analysis is most likely the top job.

The total result of the calculation of the EUR / USD currency pair candle on a monthly schedule: the price is most likely to have an upward trend with the absence of the first lower shadow (the first week of the month is the lower) for the monthly white candle and the second upper shadow (the last week is black).

The first upper target is a rollback level of 38.2% 1.1780 (blue dashed line).

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

Fundamental Analysis of EUR/USD for October 1, 2018

EUR/USD has been quite impulsive inside the bearish bias recently which made the price hold at the edge of the support area from 1.1600 to 50. After the rate hike by the US Fed from 2.00% to 2.25% last week, USD gained good momentum over EUR immediately. Nevertheless, USD is struggling for gains amid downbeat economic reports from the US. So, USD gains are expected to quite short-lived in the coming days.

This week the economic calendar contains several reports from the eurozone. Thus, EUR could find good suport against USD. Today German Retail Sales report was published with an increase to -0.1% from the previous value of -1.1% but it undershot the expectation of 0.4%, Spanish Manufacturing PMI decreased to 51.4 from the previous figure of 53.0 which was expected to be at 52.7, EURO Final Manufacturing PMI was also published with decrease to 53.2 which was expected to be unchanged at 53.3 but Italian Monthly Unemployment Rate had positive impact having decreased to 9.7% from the previous value of 10.2% which was expected to increase to 10.5%.

On the other hand, ahead of the NFP reports this week, USD is expected to be quite volatile with the upcoming gains. As US nonfarm payrolls are expected to show a decline in the private sector employment, USD could lose ground this week. Today US ISM Manufacturing PMI report is going to be published which is expected to decrease to 60.1 from the previous figure of 61.3, Final Manufacturing PMI is expected to be unchanged at 55.6, Construction Spending is expected to increase to 0.5% from the previous value of 0.1%, and Total Vehicle Sales is expected to have a slight increase to 16.8M from the previous figure of 16.7M.

Meanwhile, EUR has better chance to assert strength over USD, while USD may suffer from worse economic data in the process. Though crucial data from the US is due later this week, cautious expectations may lead to the bullish bias in the market for the coming days.

Now let us look at the technical view. The price is currently residing above 1.1600 area after rejecting off the June 2018 Trend Line support recently which is expected to lead to further bullish momentum in the pair leading the price towards 1.1750 to 1.1800 resistance area. As the price remains above 1.1600 area with a daily close, the bullish bias is expected to continue.

SUPPORT: 1.1600, 1.1500

RESISTANCE: 1.1650, 1.1750, 1.1800

BIAS: BULLISH

MOMENTUM: VOLATILE

analytics5bb1f3c9131de.png

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

Bitcoin analysis for October 01, 2018

analytics5bb1fb591d03c.png

Trading recommendations:

According to the H1 time - frame, I found that price is trading inside of the potential bearish flag, which is a sign that buying looks risky. In my opinion, the potential upward correction (abc flat) may end hear the price of $6,600. My advice is to watch for a potential breakout of the bearish flag to confirm further downward continuation. The downward targets are set at the price of $6,305 and at the price of $6,075.

Support/Resistance

$6.600 – Intraday resistance

$6.473– Intraday support

$6.305 – Objective target 1

$6.075 – Objective target 2

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

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

Bitcoin analysis for October 01, 2018

analytics5bb1f8750cb6f.png

Recently, Gold has been trading sideways at the price of $1,185.00. According to the H1 time – frame, I found the hidden bullish divergence on the MACD oscillator in the background, which is a sign that selling looks risky. I also found the intraday supply trendline and my advice is to watch for potential breakout of the trendline to confirm potential bullish momentum. The upward targets are set at the price of $1,193.25 and at the price of $1,202.55.

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

EUR/USD analysis for October 01, 2018

analytics5bb1f537b0335.png

Recently, the EUR/USD pair has been trading downwards. As I expected, the price tested the level of 1.1569. Anyway, most recently, I have found that breakout of the supply trendline in the background, which is a sign that buyers are in control. I also found the breakout of the downward channel, which is another sign of strength. My advice is to watch for buying opportunities. The upward target is set at the price of 1.1665.

Trading recommendations for today: watch for potential buying opportunities.

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

Technical analysis of AUD/USD for October 01, 2018

analytics5bb1e66222767.png

Overview:

The AUD/USD pair will be probably continue to climp from the level of 0.7233 in the long term. It should be noted that the support is established at the level of 0.7233 which represents the 50% Fibonacci retracement level on the H4 chart. The price is likely to form a double bottom in the same time frame. Accordingly, the AUD/USD pair is showing signs of strength following a breakout of the highest level of 0.7260. So, buy above the level of 0.7260 with the first target at 0.7309 in order to test the daily resistance 1 and further to 0.7346. Besides, it might be noted that the level of 0.7379 is a good place to take profit because it will form a double top. On the other hand, in case a reversal takes place and the AUD/USD pair breaks through the support level of 0.7233, a further decline to 0.7153 can occur which would indicate a bearish market.

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

Technical analysis of NZD/USD for October 01, 2018

analytics5bb1e38ae8c5b.png

Overview:

The NZD/USD pair continues to move downwards from the areas of 0.6635 and 0.6616. the pair dropped from the level of 0.6635 to 0.6597, which coincides with a ratio of 38.2% Fibonacci on the H1 chart. Today, resistance is seen at the levels of 0.6747 and 0.7650. So, we expect the price to set below the strong resistance at the levels of 0.6635 and 0.6663; because the price is in a bearish channel now.

Amid the previous events, the price is still moving between the levels of 0.6635 and 0.6537. In overall, we still prefer the bearish scenario as long as the price is below the level of 0.6635. Furthermore, if the NZD/USD pair is able to break out the bottom at 0.6537, the market will decline further to 0.6555 (daily support 2). On the other hand, if the price closes above the strong resistance of 0.6635, the best location for a stop loss order is seen above 0.6703; hence, the price will fall into a bearish trend in order to go further towards the strong resistance at 0.6695 to test it again. The level of 0.6695 will form a double top.

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

Forecast for EUR / USD pair on October 1, 2018

EUR / USD pair

On Friday, the euro fell 36 points under pressure from political risks in Europe. The budget problem of Italy was supplemented by an armed conflict on the border between Serbia and Kosovo. Personal incomes of consumers in the US increased by 0.3% in August and personal expenses also by 0.3%.

On the daily timeframe chart, the balance indicator line supports the price as the signal line of the Marlin oscillator has moved to the zone of negative numbers, indicating a downward trend. The purpose of the decline is the magnetic point formed by the intersection of the price channel line and the MACD line of 1.1503.

On the H4 chart, the decline occurs in its own way with the indicator lines above the price. The trend line (blue) is reversed.

After the fixation of the price under trend lines below 1.1503 on the daily timeframe, the target opens to 1.1300, which was the minimum on August 15.

analytics5bb1a5c0c6e7c.png

analytics5bb1a5cd56982.png

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

Forecast for GBP / USD pair on October 1, 2018

GBP / USD pair

Last Friday, the UK's economic indicators were worse than expected. The balance of payments amounted to -20.3 billion pounds for the second quarter against expectations of -19.4 billion and -15.7 billion in the first quarter. Business investments for the same period decreased by -0.7% against expectations of an increase of 0.5%. The final estimate of GDP for the 2nd quarter remained unchanged at 0.4%. Meanwhile, the pound lost 48 points in a day.

Today, the UK Manufacturing PMI for September will be released but with a pessimistic forecast of 52.6 against 52.8 in August. This makes the decline in the index the third month in a row.

analytics5bb1a51fa7d23.png

Technically, the price is systematically decreasing to support the trend line of the downward price channel on a daily scale with an approximate target of 1.2884. The indicator line of trend approached this level but the growth rate on the line slowed down, which is a visual sign indicating its imminent turndown. It is possible that the MACD line will not cross the graphic trend line. Thus, the support will range in 1.2847 / 84. The first target of the decline is the balance line in the area of 1.2932.

analytics5bb1a532ae542.png

On the H4 chart, the price drops below the balance line and the MACD line. The trend line turned down itself, which strengthens the value of the indicator. Also, there was a sign of convergence of the Marlin oscillator with the price but if the quotation overcomes the Friday minimum of 1.2999, then this sign can be leveled.

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

Forecast for USD / JPY pair on October 1, 2018

USD / JPY pair

With negative economic data this morning added to the neutral background of the stock markets on Thursday and Friday, the Japanese yen is resolutely breaking through, adding more than 100 points over the last two sessions. We believe that without the participation of the Bank of Japan, which could secretly connect to the tariff war against the US, it is less likely to happen. If so, then we are waiting for at least the medium-term growth of the Japanese currency. However, it will not be difficult for the yen to grow because the US dollar also headed for a decisive strengthening.

The index of business activity of the largest manufacturers of Japan (Tankan Manufacturing Index) for the 3rd quarter fell from 21 to 19 against the expected growth of 22. The Tankan Non-Manufacturing Index fell to 22 from 24 against a downward forecast of 23. On the other hand, the final assessment for the business activity in the manufacturing sector PMI as 52.5 against 52.9 in August, as well as, in the preliminary assessment.

In the last review on the yen, we assumed that the MACD support line for H4 can be broken, but it stood and the price turn came from the line. The price came out of the upward price channel this morning. The immediate goal is the resistance of the trend line of the rising price channel at 114.50. Overcoming resistance will open a higher resistance target in the same way as the trend line (parallel) in the area of 116.42 (can be seen on the weekly chart).

analytics5bb1a44653b43.png

analytics5bb1a4ad649ea.png

analytics5bb1a46b882af.png

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

Indicator analysis. Monthly review for October 2018 of the GBP / USD pair

Trend analysis (Fig. 1).

In October, it is possible for the upward movement to continue with the first target of 38.2% at the level of 1.3316 (yellow dotted line).

gbpusd-mn1-instaforex-companies-group-2.

Fig. 2 (monthly chart).

Comprehensive analysis:

- indicator analysis - up;

- Fibonacci levels - up;

- volumes - up;

- candlestick analysis - up;

- trend analysis - up;

- Bollinger lines - down;

Conclusion of the complex analysis - possibly upward.

The total result of calculating the candle of the GBP / USD currency pair on a monthly schedule: the price is likely to have an upward trend with the absence of the first lower shadow (the first week of the month is white) for the monthly white candle and the second upper shadow (the last week is black).

The upper target is 1.3316 with a recoil level of 38.2% (yellow dotted line).

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

Technical analysis of Gold for October 1, 2018

Gold remains inside the longer-term bearish channel and is creating a shorter-term one as well. Price is making lower lows and lower highs. Price broke below and out of the trading range it was in for a month and is now trying to get back in. I expect prices to get rejected and move lower.

analytics5bb1c6e2c5cf7.png

Green lines - long-term bearish channel

Red lines - short-term bearish channel

Short-term support is at $1,180 and resistance at $1,195. As long as price is below $1,195 I expect the short-term trend to remain bearish and push price towards $1,170. A break above $1,195 could push price towards $1,205 which is the channel resistance. A break above and out of the green channel will push price towards $1,220-30. Until then trend remains bearish and we expect prices to move lower.

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

Technical analysis of EUR/USD for October 1, 2018

EUR/USD remains in a bearish trend after the rejection last week at 1.18. Prices bounced on Friday but as we said in our previous analysis, any bounce should be seen as an opportunity to sell. We remain bearish looking for a move towards 1.15-1.14.

analytics5bb1c58fac09a.png

Light blue dots - medium strength support

Dark blue dots - maximum strength support

Redn line - major resistance

EUR/USD has support at 1.1560 and next at 1.1480. Resistance is at 1.1630 and next at 1.1660. Bulls will need to break above 1.1660 and close above it in order for us to consider that a low is in. Major resistance remains at 1.1810. A break above it will open the way for a push towards 1.19-1.21.

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

Elliott wave analysis of EUR/JPY for October 1, 2018

analytics5bb19181a9be2.png

Uncertainties about Italy's economy pushed the correction from 133.13 even deeper than expected. More importantly the prolonged and deep correction favor, that blue wave (3) completed with the test of 133.13 and the correction to 131.18 is blue wave (4) meaning that blue wave (5) is taking over for a rally towards 134.04.

To confirm that blue wave (5) is developing, we will need a break above minor resistance at 132.52.

R3: 133.13

R2: 132.52

R1: 132.25

Pivot: 131.97

S1: 131.70

S2: 131.43

S3: 131.18

Trading recommendation:

We are long EUR from 129.10 with our stop placed at 130.85. If you are not long EUR yet, then buy near 131.70 or upon a break above 132.52 and use the same stop at 130.85.

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

Trading plan for 01/10/2018

The week begins with good news regarding the financial markets. The US and Canada came to an agreement a few hours before the deadline for negotiations. Together with Mexico, these three countries will sign a new trade agreement.

On Monday, the 1st of October, the event calendar looks busy with the important data releases. During the London session, Germany will publish Retail Sales and Import Price Index data, the Eurozone will present PMI Manufacturing data from the UK, France, Italy, Spain and Germany, Moreover, the Unemployment Rate for the Eurozone will be published as well. During the New Your session, the US will publish ISM Manufacturing data and Construction Spending data. There are some spechees scheduled for today from FOMC Member Raphael W. Bostic and Eric Rosengren as well.

USD/CAD analysis for 01/10/2018:

So far, there is not much information about the new NAFTA agreement, which is now to function under the abbreviation USMCA, from the United States - Mexico - Canada Agreement. All information regarding conversations is from anonymous sources for now. After the announcement of the agreement, the Canadian prime minister said it was a good day for the country and that he would soon publish more details. Most probably, it will take place on Monday afternoon. However, the global traders must be careful about these messages. The outcome of the negotiations was defined as "the structure of the agreement". The Canadian press also describes it as "uncertain" for now. It is known that Trump will sign new arrangements at the end of November. Canada has apparently decided to remove the price system for "7th-grade" milk, thanks to which American dairy will have easier access to the local market. According to commentators close to the topic, the final agreement does not change the foundations of the partnership between the US and Canada. Nor does it concern the tariffs on US steel and aluminum, which are "a separate topic".

Let's now take a look at the USD/CAD technical picture at the H4 time frame. The pair opened with a downward gap. The Canadian dollar began to strengthen already on Friday afternoon, and today this move is continued. Early in the morning, there was a weakening of declines and slow uptrend. The price of the pair currently varies around 1.2840.

analytics5bb1bb15b6ce1.jpg

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

Bitcoin analysis for 01/10/2018

The European Securities and Markets Authority (ESMA) decided to extend the duration of the introduced restrictions on differential contracts (CFDs), including those based on cryptography. The agency announced its decision in an official edition published today.

CFD is a contract signed between the buyer and the seller, which states that the difference between the current value of assets and their value at the time of signing the contract will be compensated by the seller if he is positive or by the buyer, if negative.

According to the information provided by ESMA, the restrictions that originally came into force on August 1 will be extended for the next three months from 1 November. The agency justified its move "a serious problem of investor protection" related to offering CFD to retail clients.

Before the first restrictions were imposed by ESMA, the leverage limit for cryptocurrency CFDs was 5: 1. Since August, the ratio has been changed to 2: 1, which means that cryptographic investors must have at least half of the contract value at signing.

In January ESMA issued a call for evidence that would indicate a possible interference in digital CFD contracts based on digital currencies. The document states that the volatility of cryptocurrency prices raises doubts as to sufficient investor protection.

Other supervisory authorities of the European Union also treat the crypto assests cautiously. The European Supervisory Authorities (ESA) warned customers in February, that cryptocurrencies are "very risky" resources that show "clear signs of a price bubble".

Different EU countries are looking for approaches to cryptographic derivatives. For example, the French stock regulatory authority called for regulation of cryptographic assets in accordance with EU law and prohibited advertising on the Internet. Austria has also proposed to supervise them using the trading rules already in force in relation to gold. In turn, the UK supervisory body required companies to obtain authorization before dealing with crypto derivatives.

Let's now take a look at the Ethereum technical picture at the H4 time frame. The market is still trading below the black trend line with an overnight lock high at the level of $235. The nearest important support is seen at the level of $206, but the key support zone is located between the level of $199 - $205. On the other hand, the next technical resistance zone is seen between the levels of $245 - $251. Please notice overbought market conditions and neutral momentum might suggest the downtrend resumption might be just around the corner.

analytics5bb1b706d4f88.jpg

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

Bitcoin analysis for 01/10/2018

Opera has partnered with a consulting and financial company, Ledger Capital, to investigate the possible applications of Blockchain applications. As announced, both companies want to explore and use the possibilities of using Blockchain technology and the way in which it can be implemented in the products of the Opera and its ecosystem. Opera became the first large web browser that contained a built-in cryptocurrency portfolio. Commenting on this initiative, Charles Hamel, Opera's Product Crypto Wallet, said: "Paying with a cryptographic wallet is like sending digital cash straight from your phone. This opens up new opportunities for merchants and content creators".

This month, Opera launched a special edition of the "Laboratory" of its internet browser with a built-in cryptographic portfolio, in which the new edition will enable users to authenticate Web 3.0 transactions and decentralized applications (DApp) on their computer using an Android phone. Labs are supposedly fully compatible with the mobile cryptographic portfolio.

In December last year, Opera included the anti-crypto mining function in an integrated ad-blocker program for its web browser, and then extended it to a mobile browser. Last month, another major Internet browser, Firefox, announced that it would block malicious cryptographic software in its future versions.

The opera was founded in 1995 in Norway. In 2017, the company generated operating revenues of $ 128.9 million and a net profit of $ 6.1 million, while the user base was 322 million people worldwide in the first quarter of 2018. In June 2018, Opera applied for the first public offer (IPO) in the United States to collect 115 million dollars.

Let's now take a look at the Bitcoin technical picture at the H4 time frame. The market is moving sideways in a horizontal correction cycle, just around the weekly pivot at the level of $6,501. The nearest resistance is seen at the level of $6,738 - $6,756 zone and the swing resistance is located at the level of $6,788. The nearest support is seen at the level of $6,413, and one more is below, at the level of $6,289.The key technical support is seen at the level of $6,056.

analytics5bb1b402c5150.jpg

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

Elliott wave analysis of EUR/NZD for October 1, 2018

analytics5bb193bad3710.png

Due to the uncertainties in Italy's economy the EUR was pushed lower than first expected, but the long-term uptrend remains firmly in place.

With the test of long-term support at 1.7484 EUR/NZD corrective decline likely is done and the next impulsive rally about to start. That said, we need a break above minor resistance at 1.7637 and more importantly a break above resistance at 1.7732 to confirm the next rally towards 1.8030 and longer term higher to 1.8369.

R3: 1.7732

R2: 1.7704

R1: 1.7636

Pivot: 1.7554

S1: 1.7528

S2: 1.7484

S3: 1.7420

Trading recommendation: Our stop at 1.7515 was hit for a loss of 100 pips. We will re-buy EUR at 1.7500 or upon a break above 1.7638.

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

Technical analysis: Intraday level for USD/JPY, Oct 01/2018

analytics5bb19a0524985.jpg

In Asia, Japan will release the Final Manufacturing PMI, Tankan Non-Manufacturing Index, and Tankan Manufacturing Index and the US will release some Economic Data such as Total Vehicle Sales, ISM Manufacturing Prices, Construction Spending m/m, ISM Manufacturing PMI, and Final Manufacturing PMI. So there is a probability the USD/JPY pair will move with a low to medium volatility during this day.TODAY'S TECHNICAL LEVEL: Resistance. 3: 114.48. Resistance. 2: 114.26. Resistance. 1: 114.04. Support. 1: 113.75. Support. 2: 113.53. Support. 3: 113.31.Disclaimer: Trading Forex (foreign exchange) on margin carries a highlevel 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 carefullyconsider your investment objectives, level of experience, and riskappetite. The possibility exists that you could sustain a loss of someor all of your initial investment and therefore you should not investmoney that you cannot afford to lose. You should be aware of all therisks associated with foreign exchange trading, and seek advice froman independent financial advisor if you have any doubts.The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis: Intraday Level For EUR/USD, Oct 01/2018

analytics5bb19a723ff2f.jpg

When the European market opens, some Economic Data will be released such as Unemployment Rate, Italian Monthly Unemployment Rate, FinalManufacturing PMI, German Final Manufacturing PMI, French Final Manufacturing PMI, Italian Manufacturing PMI, Spanish Manufacturing PMI, and German Retail Sales m/m. The US will release the Economic Data too such as Total Vehicle Sales, ISM Manufacturing Prices, Construction Spending m/m, ISM Manufacturing PMI, Final Manufacturing PMI, so amid the reports, EUR/USD will move in a low to medium volatility during this day.TODAY'S TECHNICAL LEVEL: Breakout BUY Level: 1.1663. Strong Resistance: 1.1656. Original Resistance: 1.1645. Inner Sell Area: 1.1634. Target Inner Area: 1.1606. Inner Buy Area: 1.1578. Original Support: 1.1567. Strong Support: 1.1556. Breakout SELL Level: 1.1549.Disclaimer: Trading Forex (foreign exchange) on margin carries a highlevel 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 carefullyconsider your investment objectives, level of experience, and riskappetite. The possibility exists that you could sustain a loss of someor all of your initial investment and therefore you should not investmoney that you cannot afford to lose. You should be aware of all therisks associated with foreign exchange trading, and seek advice froman independent financial advisor if you have any doubts.The material has been provided by InstaForex Company - www.instaforex.com