Wave analysis of GBP / USD for November 7. The pound will require news support for further growth

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Wave counting analysis:

During the November 7 trading session, the GBP / USD currency pair gained about 60 basis points. The entire wave counting has undergone certain changes, since the rising wave, which takes its beginning on October 30, has acquired a very complex and lengthy form, which does not fit into the variant, which involves the construction of a 5-wave descending structure. Thus, the probability of building a new uptrend trend is now being considered. However, it is already clear that the pound will need information about the successful outcome of the Brexit negotiations in order to build an uptrend of the trend.

The objectives for the option with purchases:

1.3124 - 76.4% of Fibonacci

1,3256 - 100.0% of Fibonacci

The objectives for the option with sales:

1.2638 - 261.8% of Fibonacci (senior grid)

General conclusions and trading recommendations:

The currency pair GBP / USD continues to build an upward wave, which is now identified as the first in the new uptrend trend. Thus, now I recommend to stay in the pair with goals that are near the estimated levels of 1.3124 and 1.3256, which corresponds to 76.4% and 100.0% of Fibonacci, without losing sight of any information on Brexit, which is quite may cause a serious decline in the pair.

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Wave analysis of EUR / USD for November 7. The pair shows readiness for significant growth.

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Wave counting analysis:

In the course of trading on Tuesday, the EUR / USD currency pair gained about 15 basis points more. Thus, the estimated wave 3, in the first future uptrend of the trend, continues to be built with targets located near the 38.2% and 50.0% of Fibonacci levels. Immediately, two unsuccessful attempts to break through 13 figures significantly increase the chances of building an uptrend trend at least in the region of 17 and 18 figures. However, much will depend on the outcome of the Brexit negotiations between the EU and the UK.

The objectives for the option with sales:

1.1302 - 0.0% of Fibonacci

The objectives for the option with purchases:

1.1496 - 38.2% of Fibonacci

1.1557 - 50.0% of Fibonacci

General conclusions and trading recommendations:

The currency pair allegedly completed the construction of the downward trend. Thus, now I recommend buying a pair with targets located near the calculated levels of 1.1496 and 1.1557 in terms of building an upward set of waves. Estimated wave 2 in the composition of the first wave of the ascending section has also completed its construction, which is confirmed by the working version.

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Review of the foreign exchange market on 11/07/2018

Naturally, the uncertainty before the elections in the United States had a negative impact on the dollar, because it is not entirely clear how this will end and what the design of the power system in America will be. And a lot depends on it, especially when it comes to investment planning. Obviously, if there is a conflict between the White House and Congress in the United States, this will lead to paralysis of the political system, and the resolution of economic issues will be inhibited, which will negatively affect the return on investment. So there is nothing surprising in the fact that investors got rid of the dollar.

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Not only the elective hassle weakened the dollar, since macroeconomic statistics also contributed to this process. Thus, the JOLTS data showed that the number of open vacancies decreased from 7,293 thousand to 7,009 thousand, which greatly reduces any likelihood of further improvement in the labor market. True, the American labor market and so it looks much better than its neighbors on the planet, so it's not surprising that signs of deterioration should appear sooner or later. It is worth noting the contribution of European statistics, because, in the Old World, the growth rate of producer prices accelerated from 4.3% to 4.5%, and did not remain unchanged, as predicted. So market participants have hoped for a further acceleration of inflation, which could force the ECB to curtail the quantitative easing program and start raising the refinancing rate. In addition, the totals for business indices were better than preliminary estimates. In particular, the index of business activity in the services sector fell from 54.7 to 53.7, and not to 53.3. The composite index of business activity fell from 54.1 not to 52.7, but to 53.1. So the single European currency had reasons for growth.

Today, everyone will follow the vote count in the United States of America. At the moment, it is known that the Republicans retained a majority in the Senate, but in the Congress, the Democrats took revenge for 2016. Now, the only question is how many congressional seats will be controlled by Democrats who have the most tender feelings for Donald Trump and his economic program. Naturally, the Democrats will in every way impede the implementation of Donald Trump's plans, which will lead to paralysis of the system, since it will not be able to take any decisions. As a result, some kind of suspense is formed, and investment planning will become difficult, which can have a negative impact on the state of the American economy. In addition, in the United States, data on consumer lending will be published, the volume of which may be reduced from 20.1 billion dollars to 16.5 billion dollars. So the prospects for the dollar today are not the most beautiful.

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If we talk about the European Union, the growth rate of retail sales, the data on which are published today, should slow down from 1.8% to 0.7%. This is already a negative factor, and a very strong one, since such a strong decline in consumer activity is not compensated even by inflation. In other words, the European Central Bank will have a serious reason for the next extension of the quantitative easing program. But what is happening in the US will smooth out this negative, and the single European currency is consolidating at a mark of 1.1475.

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Weak statistics are also expected in the UK. So, according to Halifax, the growth rate of housing prices should slow down from 2.5% to 1.2%. The real estate market is almost the main thing for determining the investment attractiveness of the UK, and such a sharp decline in housing prices will have a very negative impact on the pound. But again, the uncertainty about the future development in the United States will outweigh, so the pound has every chance of gaining a foothold at around 1.3150.

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Fundamental Analysis of EUR/JPY for November 7, 2018

EUR/JPY has been quite impulsive and non-volatile with recent bullish gains which led the price to reside above 130.00 area currently. Amid lackluster economic reports from Japan, EUR gained momentum despite mixed economic data as well.

EUR has been struggling amid the Italian crisis of the Budget Deficit which is currently being tackled, but things are still quite unsettled. The European Commission could impose sanctions on Italy as the last resort if they don't agree on Rome's rule breaking budget. Last month, the European Commission rejected off Italy's budget because it breaches European Union Fiscal Rules which might result in a huge pile of public debt for the country. The European Union may come to certain strict decisions very soon on this issue. Today German Industrial Production report was published with an increase to 0.2% from the previous value of 0.1% which was expected to decrease to 0.0%, Italian Retail Sales decreased significantly to -0.8% from the previous value of 0.6% which was expected to be at -0.1% and the eurozone's Retail Sales also decreased to 0.0% from the previous value of 0.3% which was expected to be at 0.1%.

On the JPY side, the economy has been quite impressive with the development earlier, which is currently overshadowed by problems of financial institutions operation. At present, Japan can hike its interest rate in the coming months which is being considered as necessary to keep the economy stable by Bank of Japan's board member Yukitoshi Funo. BOJ is currently taking measures on the yields because higher yields may hurt the financial institutions by cooling the economy and development pace. Today Average Cash Earnings report was published with an increase to 1.1% from the previous value of 0.8% but it failed to meet the expectation of 1.2% which led to a bearish response from the market, resulting in JPY losing grounds. Additionally, the leading Indicators report was published with a decrease to 103.9% as expected from the previous value of 104.5%.

Meanwhile, despite the Italian Budget issue EUR is currently quite stronger fundamentally than JPY. On the other hand, BOJ is slow with the decision that leads to the bearish response from the market. Until Japan comes up with a positive report in the coming days, EUR is expected to dominate further in the coming days.

Now let us look at the technical view. The price has been quite impulsive with bullish gains recently which made the price break above 129.50-130.00 area with strong momentum. After forming Bullish Divergence in the process, the price is expected to continue pushing higher towards 132.00 area in the coming days. As the price remains above 128.50 area with a daily close, the bullish bias is expected to continue.

SUPPORT: 128.50, 129.50

RESISTANCE: 131.00, 132.00

BIAS: BULLISH

MOMENTUM: IMPULSIVE and NON-VOLATILE

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GBP / USD. November 7th. The trading system. "Regression Channels". The pound continues to go up "in advance"

4-hour timeframe

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Technical details:

The senior linear regression channel: direction - up.

The younger linear regression channel: direction - down.

Moving average (20; smoothed) - up.

CCI: 115.3562

The currency pair GBP / USD on Wednesday, November 7, continues a rather strong upward movement. This is the difference with the EUR / USD pair. It is based on the significant differences in volatility and strength of the movement, the conclusion that the pound sterling is growing on expectations of a favorable outcome of the Brexit negotiations. The elections in the United States have virtually no effect on the course of trading. There is information that a vote on the final plan for the UK to secede from the EU will be held in Parliament on November 27. Up to this point, new negotiations will be held with EU leaders and all countries of the bloc. It seems that, despite all the skepticism associated with Brexit, Theresa May will still be able to get her country out of control of Brussels. However, the main question remains the same. Will the Parliament support the option of leaving the EU, which is proposed by May? Different situations are possible. One way or another, but it seems that the whole epic with Brexit is still nearing its end. What are the prospects for the pound sterling in this regard? If no new surprises are presented to the market, and the parties finally come to a consensus, the pound can continue to strengthen. However, the effect is unlikely to be long-term, since Brexit will hit the British economy anyway. Plus, the British currency is already going up on rumors and expectations.

Nearest support levels:

S1 - 1.3062

S2 - 1.3000

S3 - 1.2939

Nearest resistance levels:

R1 - 1.3123

R2 - 1.3184

R3 - 1.3245

Trading recommendations:

The currency pair GBP / USD continues its upward movement. Thus, it is now recommended to trade on the increase with the objectives of 1.3123 and 1.3184. A reversal of the Heikin Ashi indicator down will indicate a turn of the corrective movement.

Sell positions will become relevant no earlier than fixing the pair below the moving average. However, in the current situation, when the price is far enough away from it, serious fundamental reasons for changing the trend will be required.

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 channel is the purple lines of the 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.

Murray levels - 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. November 7th. The trading system. "Regression Channels". Elections in the States do not yet have a proper impact

4-hour timeframe

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Technical details:

The senior linear regression channel: direction - down.

The younger linear regression channel: direction - down.

Moving average (20; smoothed) - sideways.

CCI: 122.8650

The currency pair EUR / USD on Wednesday, November 7, continues to frankly weak upward movement. Such a move means only one thing, even considering the losses of the European currency in recent months, traders buy the euro very reluctantly. This, in turn, means that market participants do not see any real reason for large and long-term purchases of the pair. Accordingly, purchases of the US dollar may resume at any time. The official results of the elections to the US Congress at the moment is not yet released. Nor can it be said that the slight increase in the euro that has been observed in recent days is somehow related to elections in the States. Thus, we still believe that if the market's response to the elections is followed, then only when the official results become known. In the meantime, the pair is still more affected by the Brexit theme, which has not received any new information in recent days. However, negotiations with the EU will have to end in something, either by signing an agreement or by acknowledging the failure of the negotiations. New political changes in the British Parliament are also not excluded. In general, now the market has created a lull, which is unlikely to last for a long time. To date, not a single important macroeconomic report has been scheduled either in the European Union or in the United States. It will be possible to pay attention only to retail sales in the EU, but this is not the most important indicator.

Nearest support levels:

S1 - 1,1414

S2 - 1.1353

S3 - 1,1292

Nearest resistance levels:

R1 - 1.1475

R2 - 1.1536

R3 - 1.1597

Trading recommendations:

The EUR / USD currency pair continues a slight upward movement. Thus, it is now recommended to stay long with the goal of 1.1475, and in the case of overcoming this level, with the goal of 1.1536.

Sell orders are recommended to open with the goal of 1.1353 if the pair overcomes a moving average line. In this case, you can expect the resumption of the formation of a downward trend in the instrument.

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 the unidirectional movement.

CCI - blue line in the indicator window.

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

Murray levels - multi-colored horizontal stripes.

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

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EUR / USD: Republicans got a majority in the Senate. German growth may slow down

Victory, on the one hand, losing from the second. Today, it became known that representatives of the Republican Party managed to preserve the majority in the US Senate after the midterm elections, where they managed to oust the two existing Democratic senators, which made it possible to create a majority. Now, the Republicans in the Senate is 51 seats out of 100. Despite the victory, it also became known that the Democrats weakened Republican influence in the House of Representatives. This suggests that the Democrats were able to regain control of the House of Representatives after eight years of leadership of the Republicans there.

Keeping control over the Senate will allow Donald Trump to continue to pursue his policies and implement his political plans. It will also allow the US president to avoid the impeachment that the Democrats are seeking so much. Even if the democratic party manages to get a majority of votes, further hearings should take place in the Senate, where the Republicans have an advantage. And for impeachment, the voices of two thirds of the senators are necessary.

In any case, Trump won another confident victory that will make the White House even stronger.

From the economic data that came out yesterday in the afternoon, attention should be paid to the US Department of Labor report, according to which in September, 7.01 million vacancies were recorded, while the number of people trying to find a job in the country in September was 5.96 million. The figure for August was revised upwards to 7.29 million vacancies.

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Tomorrow, the decision of the Federal Reserve System on interest rates will be published. Most likely, the Central Bank will leave them unchanged, but there are economists who believe that the Fed may raise rates already in November of this year. However, such a decision may cause more harm than good, as it will negatively affect the medium-term plans of many market participants, who will have to revise their strategies. Economic indicators with rising inflation do not create such a sharp need to raise rates.

Yesterday, a forecast from Oxford Economics was published, in which economists lowered expectations for growth in Germany this year. According to the data, the company expects that the country's GDP in the 3rd quarter of this year will shrink by 0.2%, whereas previously they expected the economy to grow by 0.2%. For the 4th quarter, the forecast remained more positive. It is expected that the German economy in the 4th quarter will grow by 0.6% from 0.5%.

As for the technical picture of the EUR / USD currency pair, much will depend on whether buyers will be able to hold their positions above the support level of 1.1430, a breakthrough of which will lead to an immediate sale to the lower border of the channel 1.1390. Given that there will be no changes in the Fed policy, the demand for the euro should remain, but this requires a breakthrough of the major resistance of 1.1470, which will resume the uptrend and lead to a maximum of 1.1515 and 1.1550.

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Dollar can compensate for electoral losses report FOMC

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Today, the dollar is losing relative to the yen and is growing against the background of the euro due to the extreme uncertainty of the market and the inability of investors to unambiguously assess the results of the midterm elections in the United States, which will result in the division of the US Congress between the two parties. Such a situation threatens a political crisis in the United States and Trump's inability to pursue his policy of supporting the US corporate sector. If analysts 'estimates and traders' concerns are confirmed, then the US stock market may go down, followed by the dollar.

However, this week, the dollar may level its electoral losses by publishing the latest minutes of the Open Market Committee (FOMC) meeting, which is scheduled to take place on Thursday. It is expected that the Fed will confirm the intention to tighten its monetary policy by increasing the base rate to 3% by the end of 2019.

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The beginning of a dollar swing, or the first results of the US midterm elections

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The dollar is trading in different directions and fluctuating against the euro and the yen in today's extremely volatile trading session, as traders have already scanned the results of the midterm elections in the United States and presuppose a high probability of a political deadlock in the US Congress.

Based on the first data, it is expected that the Democratic Party will gain control of the US House of Representatives, and the Republicans are likely to have an advantage in the Senate.

A split in Congress could adversely affect the dollar, at least in the short term, as winning one or both chambers of the Democratic Party will most likely be viewed as a rejection by President Donald Trump of his policy of supporting large corporations, and as a result, the US stock market.

The composite index of the dollar is an indicator of its value compared with the six major currencies, today lost 0.2% and is at the level of 96.12.

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Analysis of the divergence of EUR / USD for November 7. Euro recovers losses

4h

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The EUR / USD currency pair consolidated above the correction level of 76.4% - 1.1422. As a result, on November 7, the growth of quotations can be continued in the direction of the next correctional level of 61.8% - 1.1497. Maturing divergences are still not observed in any indicator. Fixing quotations under the Fibo level of 76.4% will work in favor of the American currency and some falling of the pair in the direction of the correction level of 100.0% - 1.1303.

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

Daily

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On the 24-hour chart, the EUR / USD currency pair continues the growth process in the direction of the correction level of 100.0% - 1.1553. Rebounding the pair from the Fibo level of 100.0% will allow traders to expect a reversal in favor of the US dollar and a slight decline in the direction of the correction level of 127.2% - 1.1285. There are no maturing divergences on the current chart. Fixing the pair above the correction level of 100.0% will increase the likelihood of further growth in the direction of the next Fibo level of 76.4% - 1.1789.

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

Recommendations to traders:

Purchases of the EUR / USD currency pair can be made now with a target of 1.1497 and a Stop Loss order below the Fibo level of 76.4%, since the pair completed closing above the correction level of 1.1422.

The EUR / USD currency pair can be sold with the target of 1.1303 with a Stop Loss order above the Fibo level of 76.4% if the pair closes below the correction level of 1.1422.

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Markets met the first results of the US parliamentary elections with restraint

It seems that the first results of the midterm elections to the American parliament have not yet had a noticeable impact on world markets. Asian trading floors show a positive trend on Wednesday morning.

According to the first data of the midterm elections, the upper house of parliament, the Senate, remains under the influence of the Republicans. The bottom is still marked by the advantage of the Democrats. As expected, even if they win, it will not cause serious damage to D. Trump's presidency, which means we should not expect the beginning of chaos in American politics, which would undoubtedly have a negative impact on the financial market in the United States and the world.

Today, data on employment in New Zealand were released, which turned out to be noticeably better than previous values and forecasts. In the 3rd quarter, employment of the economically active population grew by 1.1% against the forecast of a rise of 0.5% and the same value for the previous period in question. The very share of the economically active population jumped in the third quarter to 71.1% against 70.9%, while the unemployment rate fell to 3.9% against 4.5% and the expectations of its decline to 4.4%.

In the wake of this news, the New Zealand dollar received support against all major currencies without exception. Also, today will be a meeting of the RBNZ on monetary policy. It can be assumed that if the outcome of the meeting is a signal that, against the background of positive dynamics from the labor market, the regulator may think about raising interest rates, this will stimulate the continuation of further local strengthening of the New Zealand currency.

An additional positive for it, as well as for the Australian currency, is the growth of investors' hopes for D. Trump's new statement that he, at the G-20 summit at the end of this month, wants to offer China a new trade agreement. As long as these hopes are warming, one can expect continued limited growth in these two currencies.

Forecast of the day:

The currency pair NZD / USD is trading above the level of 0.6730. The positive outcome of the RBNZ meeting, as well as the likelihood of concluding a trade agreement between the States and China, will support the pair, which can continue to grow to 0.6835 if it holds above the level of 0.6730.

The AUD / USD currency pair is trading above the level of 0.7225, receiving support in the wake of reducing tensions over the trade conflict between Washington and Beijing. Hopes for the conclusion of a trade agreement between these countries support the pair. Given this, we can assume that if the price holds above the level of 0.7225, it may continue to grow locally to 0.7330.

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The forecast for GBP / USD on November 7, 2018

GBP / USD

The British pound on Tuesday, with a gradual weakening of the dollar index, grew by 55 points under optimistic comments from the British government on work on the issue on the Irish border.

The price is growing steadily, without disturbing the balance in the direction of growth on a daily scale chart. Until the resistance of the 1.3178 trend line remains just over 30 points, this goal is likely to be achieved, but then we are waiting for a reversal from this line under the influence of the dollar, which can begin a confident strengthening after the elections to the Congress. At the moment, the Republicans are winning the elections to the Senate and the gubernatorial elections. Goals of reduction: 1.2975 - Fibonacci level of 50.0%, 1.2910 - Fibonacci level of 38.2%.

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Bitcoin analysis for November 07, 2018

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Trading recommendations:

According to the H1 time - frame, I found that BTC is trading sideways at around $6.477. I see the potential for the downward correction and my advice is to watch for potential selling opportunities if you see a valid break of the support at the level of $6.457. The breakout of the support would confirm a further downward movement and potential testing of $6.400 (support).

Support/Resistance

$6.507 – Intraday resistance

$6.457– Intraday support

$6.400 – Objective target

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 November 07, 2018

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Recently, Gold has been trading sideways at the price of $1,231.00. Anyway, according to the H4 time – frame, I have found bullish flag in creation, which is a sign that Gold is in a consolidation phase. My advice is to watch for a breakout of the bullish flag to confirm further upward continuation. The upward targets are set at the price of $1,243.00 and at the price of $1,265.85

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Simplified Wave Analysis. Review of GBP / JPY pair for the week of November 7

Purchasing the pair will be the most profitable in the upcoming week. It is necessary to take into account the limited potential of the current price growth. The calculated resistance zone indicates the lower limit of the potential reversal zone.

Wave pattern on the H4 chart:

The current wave structure of this scale is ascending, begins on 15 August. The structure is tracked clear zigzag.

Wave pattern on the H1 chart:

The bearish wave of September 21 in the larger model took the place of correction (B).

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Wave pattern on the M15 chart:

The bullish section from October 26 will eventually move to a higher wave level, which has a pronounced pulse character. In the coming days, it is possible to have a flat with a downward motion vector.

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Recommended trading strategy:

Purchasing the pair will be the most profitable in the upcoming week. It is necessary to take into account the limited potential of the current price growth. The calculated resistance zone indicates the lower limit of the potential reversal zone.

Resistance zones:

- 150.00 / 150.50

Support areas:

- 147.80 / 147.30

Explanations to the figures:

The simplified wave analysis uses waves consisting of 3 parts (A – B – C). For the analysis, three main TFs are used. On every last part, the 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 while the dotted shows 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

Simplified Wave Analysis. Review of AUD / USD pair for the week of November 7

It is recommended that supporters of trading on a large scale of the schedule refrain from trading until the completion of the entire wave of correction. Intraday traders can make short-term instrument purchases.

Wave pattern on the H4 chart:

The last wave of this TF is included in the downward trend of the pair, observed since the beginning of the year. In recent months, a correction is formed on the graph, after the completion of which, the wave will continue.

Wave pattern on the H1 chart:

The wave of October 5 has a structured shape of a zigzag.

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Wave pattern on the M15 chart:

The bullish part of the schedule dated October 26 occupies the place of the final part (C) in the time wave. In the coming days, a flat mood is not excluded with the price rollback to the support zone.

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Recommended trading strategy:

It is recommended that supporters of trading on a large scale of the schedule refrain from trading until the completion of the entire wave of correction. Intraday traders can make short term instrument purchases.

Resistance zones:

- 0.7340 / 0.7390

Support areas:

- 0.7200 / 0.7150

Explanations to the figures:

The simplified wave analysis uses waves consisting of 3 parts (A – B – C). For the analysis, three main TFs are used. On every last part, the 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 while the dotted shows 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

GBP / USD pair: plan for the European session on November 7. Pound upward movement may start to slow down.

To open long positions on the GBP / USD pair, you need:

The pound strengthened against the US dollar after the publication of the results of elections to the US Senate, announcing that the Republicans won. In order to maintain an upward trend, buyers need a breakdown of resistance at 1.3138, which will open the way to new daily highs of 1.3186 and 1.3233, where taking profits are recommended. In case of a decrease in the pound in the first half of the day, you can count for support around 1.3085, but on the condition that a false breakdown is formed or a rebound from the minimum of 1.3031.

To open short positions on the GBP / USD pair, you need:

Sellers will try to form a false breakdown at 1.3138, which will lead to a small downward correction in the pound. However, the main goal will be to return to the support level of 1.3085, which will cause the closure of a number of long positions by large players and it is likely that the GBP/USD pair will fall to support area 1.3031, where taking profits are recommended. In the case of growth above 1.3138, you can sell a pound to rebound from the highs of 1.3186 and 1.3233.

Indicator signals:

Moving averages

Trade is conducted above the 30- and 50-day average, which indicates a continuation of the uptrend.

Bollinger bands

A break of the upper limit of the Bollinger Bands indicator around 1.3138 will be a signal to buy pounds. If in the first half of the day the pair will decline, a good support will be provided by the lower limit of the indicator around 1.3055, which coincides with the 50-day moving average and where you can buy a pound immediately for a rebound.

Bollinger Bands indicator around 1.3138 will be a signal to buy pounds. If in the first half of the day, the pair will decline. A good support will be provided by the lower limit of the indicator around 1.3055, coinciding with the 50-day moving average and where you can buy a pound immediately for a rebound.

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Description of indicators

MA (moving average) 50 days - yellow

MA (moving average) 30 days - green

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

Bollinger Bands 20

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Indicator analysis. Daily review of pair GBP / USD pair on November 7, 2018

Trend analysis (Fig. 1).

On Wednesday, the price will move up with the first goal of 1.3358 on the upper fractal, but before lunch, there is a high probability of downward rollback.

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Fig. 1 (daily schedule).

Comprehensive analysis:

- indicator analysis - up;

- Fibonacci levels - up;

- volumes - up;

- candlestick analysis - down;

- trend analysis - up;

- Bollinger lines - up;

- weekly schedule - up.

General conclusion:

On Wednesday, the price will move up with the first goal of 1.3358 on the upper fractal, but before lunch, there is a high probability of downward rollback.

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Results of the elections to the US Congress are negative for the dollar

The results of the midterm elections to the US Congress create a situation of a divided parliament, in which Republicans retain control of the Senate and the Democrats get a majority in the House of Representatives.

The new balance of power creates significant difficulties for Trump in the development of tax reform. The probability of impeachment has decreased but the ceiling of restrictions for the US president will become more stringent. The trade war with China and a number of other countries is highly likely to resume actively since Trump is no longer limited by the need to respect party interests in the fight for votes. He will be supported by control over the Supreme Court.

Stock markets will be under pressure and continue to decline. The dollar will lose its risk of recession.

Eurozone

The composite PMI Markit index in October came out at the level of 53.1p, which turned out to be lower than the revised level of September 54.1p and confirms the findings of other studies on a gradual decrease in growth rates in the eurozone.

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Italy's economy began to decline, showing 49.3p, which is the 59-month minimum. The issue of forming the country's budget goes far beyond Italy and affects the situation in the eurozone as a whole.

Today, the report on retail sales for the month of September will be released. On Thursday, the European Commission will publish an updated summary of economic forecasts.

The EUR/USD pair reacted on Tuesday after the results of elections to Congress, and today, there is a chance to develop an upward trend and likely attempt to get to 1.15. The support will be at 1.1410.

Great Britain

The pound continues to attempt in developing an upward trend, which focuses on the increased likelihood of reaching an agreement on Brexit in November. As for macroeconomic indicators, the key day of the week will be Friday when several important reports on the state of the UK economy will be released at once.

In particular, it is expected that GDP growth will be 0.6% in Q3. This estimate coincides with the forecast of the Bank of England, which is also an estimate. But at the same time, it significantly increases due to temporary factors, rather than long-term ones. Therefore, the forecast for the fourth quarter once again drops to 0.3%.

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Nevertheless, in the short term, expectations are positive and support the pound. It is assumed that the trade balance deficit with the EU countries will decrease and reduce the fall in investment. On the other hand, the industry will show growth.

The GBP/USD pair was faced with resistance at 1.3120, however, the bulls will strive to go through it at the first attempt towards 1.3215 and further to 1.33. Conditions for growth remain favorable.

Oil

The price of Brent went below $ 72 per barrel, responding to a number of bearish factors. The entry into force of US trade restrictions against Iran was smoothed out by permission to continue purchases for 8 countries, provided that all financial transactions are controlled by the United States. This means that Iran will retain part of the official supply, while OPEC and Russia have increased production in preparation for restrictions. Hence, the offer is more than enough.

The API report on Tuesday showed an increase in oil reserves of 7.83 million barrels and petrol reserves grew. In general, the fundamental picture for oil is clearly not in favor of the bulls. The negative results of the elections to the US Congress are also added. Due to a number of signs, a recession in the United States became more likely in 2019, which would mean a decrease in energy consumption.

Brent is very close to the low of August at 70.41, where it will try to find support. A likely decline below 70 will mean an increase in a bearish sentiment.

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Disappointing results of predictable elections, or what investors expect from Democrats

Wall Street and Asian markets lost momentum after Democrats in the United States took control of the House of Representatives, gaining the opportunity to block political and economic decisions of President Donald Trump. However, what is happening had a positive effect on European stocks. Growth is expected here and the main European indices already confirm this theory.

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Although the election results in the United States were generally in line with market expectations, the prospect of a political deadlock creates some uncertainty for investors. The dollar weakened against most major competitors. The loss of Republicans in the House should increase market volatility most likely in the short term. Democrats will now have the opportunity to investigate Trump's tax returns, potential business conflicts of interest, and accusations related to his campaigns in 2016 and Russia.

Obviously, now Republicans will not be able to cut taxes or amend financial rules. In this case, there is a reason to believe that the Democrats can agree to an increase in public spending proposed by Trump.

Here, opponents have a compromise, so even with such a government, we can expect additional financial incentives. There is also the possibility of a compromise on infrastructure costs. If there are additional fiscal incentives, it will become a fair wind for the growth of the US economy. Under all equal conditions, it should support stocks and the dollar. On the other hand, many investors expect Trump to continue the hard line on tariffs, where he can act without Congress approval.

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Technical analysis of USD/CAD for November 07, 2018

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Overview:

The USD/CAD pair continues to trade upwards from the level of 1.3053.The pair rose from the level of 1.3053 (the level of 1.3053 coincides with a ratio of 61.8% Fibonacci retracement) to a top around 1.3140. Today, the first support level is seen at 1.3053 followed by 1.3003, while daily resistance 1 is seen at 1.3140. According to the previous events, the USD/CAD pair is still moving between the levels of 1.3053 and 1.3140; for that we expect a range of 87 pips (1.3140 - 1.3053). On the four-hour chart, immediate resistance is seen at 1.3140, which coincides with last bearish wave. Currently, the price is moving in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. The price is still above the moving average (100). Therefore, if the trend is able to break out through the first resistance level of 1.3140, we should see the pair climbing towards the daily resistance at 1.3224 to test it. It would also be wise to consider where to place stop loss; this should be set below the second support of 1.3003.

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Technical analysis of NZD/USD for November 07, 2018

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Overview:

The NZD/USD pair continues to move upwards from the level of 0.6696. Yesterday, the pair rose from the level of 0.6696 to a top around 0.6779. Today, the first resistance level is seen at 0.6823 followed by 0.6867, while daily support 1 is seen at 0.6696 (last bearish wave). According to the previous events, the NZD/USD pair is still moving between the levels of 0.6779 and 0.6867; so we expect a range of 88pips.

Furthermore, if the trend is able to break out through the first resistance level at 0.6779 , we should see the pair climbing towards the resistance of 0.6823 to test it.

Therefore, buy above the level of 0.6779 with the first target at 0.6823 in order to test the daily resistance 1 and further to 0.6867. Also, it might be noted that the level of 0.6867 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 NZD/USD pair breaks through the support level of 0.6696, a further decline to 0.9789 can occur which would indicate a bearish market.

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Intraday technical levels and trading recommendations for GBP/USD for November 7, 2018

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

On September 21, the GBP/USD pair failed to demonstrate sufficient bullish momentum above 1.3296. The short-term outlook turned to become bearish within the depicted H4 bearish channel to test the backside of the broken uptrend.

Bearish persistence below the price level of 1.2970 (50% Fibo level) enhanced further bearish decline towards 1.2790 then 1.2700 where the lower limit of the movement channel and 79.8% Fibonacci Level were located.

On H4 chart, the GBP/USD pair looked oversold around the price levels of 1.2700. BUY entries were suggested around the lower limit of the depicted H4 channel (1.2700).

As for the bullish DAILY breakout scenario to remain valid, quick bullish breakout above 1.3000 (50% Fibo level) was achieved by the end of last week's consolidations.

Bullish persistence above the price zone of 1.2970-1.3000 (50% Fibonacci zone) allows more bullish advancement towards the price level of 1.3200 where the depicted downtrend comes to meet the GBP/USD pair.

On the other hand, currently, the price zone of (1.2980-1.3025) now constitutes a prominent demand zone to be watched for bullish positions if any bearish pullback occurs soon.

Trade Recommendations:

Conservative traders should wait for bearish pullback towards the price zone of 1.2980-1.3025 for a low-risk BUY entry.

T/P levels to be located around 1.3130 and 1.3200. S/L should be set as daily candlestick closure below 1.2950.

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Intraday technical levels and trading recommendations for EUR/USD for November 7, 2018

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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.

On September 10, the price level of 1.1500 offered temporary bullish recovery. Quick 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.

On October 10, Recent bearish decline below 1.1520 found its way towards the price level of 1.1420 where temporary bullish pressure was pushing the EUR/USD pair above 1.1520.

That's why, a descending High was established around 1.1600. However, By the end of last week's consolidations, recent bullish recovery was demonstrated around 1.1307.

Another bullish breakout above 1.1400 was executed again. This enhances the bullish side of the market.

Next bullish destination would be located around 1.1520 (upper limit of the depicted congestion zone) and 1.1600 if bullish breakout is demonstrated above 1.1500-1.1520.

On the other hand, as for the bearish side of the market to regain dominance, the EUR/USD pair should continue trading below the price level of 1.1400.

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EUR/USD analysis for November 07, 2018

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Recently, the EUR/USD pair has been trading upwards. The price tested the level of 1.1500. According to the H4 time – frame, I found that price made a breakout of the supply trendline in the background, which is a sign that buyers are in control. I have also found that price rejected from the support cluster at 1.1456, which is another sign of the strength. My advice is to watch for buying opportunities. The upward targets are set at the price of 1.1543 and at the price of 1.1615.

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EUR/JPY Approaching Resistance, Prepare For A Reversal

EUR/JPY is approaching its resistance at 130.20 (100% & 61.8% Fibonacci extension, 50% Fibonacci retracement, horizontal swing high resistance) where it is expected to reverse down to its support at 129.42 (23.6% Fibonacci retracement, horizontal swing low support).

Stochastic (55, 5, 3) is approaching its resistance at 96% where a corresponding reversal is expected.

EUR/JPY is approaching its resistance where we expect to see a reversal.

Sell below 130.20. Stop loss 130.76. Take profit at 129.42.

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USD/JPY Approaching Resistance, Prepare For A Reversal

USD/JPY is approaching its resistance at 113.82 (61.8% Fibonacci extension, 76.4% Fibonacci retracement) where it is expected to reverse down to its support at 113.08 (61.8% Fibonacci retracement, horizontal swing low support).

Stochastic (55, 5, 3) is approaching its resistance at 98% where a corresponding reversal is expected.

USD/JPY is approaching its resistance where we expect to see a reversal.

Sell below 113.82. Stop loss 114.24. Take profit at 113.08.

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Indicator analysis. Daily review for November 7, 2018 for the pair EUR / USD

Trend analysis (Fig. 1).

On Wednesday, an uptrend is expected with the first target of 1.1499 - the rolling level of 38.2% (yellow dotted line).

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Fig. 1 (daily schedule).

Comprehensive analysis:

- indicator analysis - up;

- Fibonacci levels - up;

- volumes - up;

- candlestick analysis - up;

- trend analysis - up;

- Bollinger lines - up;

- weekly schedule - up.

General conclusion:

On the Wednesday, an uptrend is expected with the first target of 1.1499 - the rolling level of 38.2% (yellow dotted line), but earlier at noon, there is a bottom movement.

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Control zones USDCAD 11/07/18

This week, the formation of a local accumulation zone continues which does not violate the rising medium-term structure. Purchases from NKZ 1/2 1.3071-1.3061 must be kept on.

Upward movement remains a priority which allows you to hold a long position. With the test of the last week maximum, it is necessary to transfer the purchases to breakeven as the control zones will shift. Moreover, if the pair is able to consolidate above the extreme of the previous week, then the next target will be the CGN 1/2 1.3229-1.3228, a test which will allow to complete the next growth phase. Purchases from the current grades are not profitable since the ratio of risk to profit is difficult to bring to the required 1: 3.

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There is a high probability of continuing the formation of a flat zone. This will require a partial fixation of purchases at the upper limit of the range in case an extremum test leads to a sharp increase in supply.

Violation of the upward priority will occur if the pair can absorb the growth of the current week. The closure of the American session should occur below the NCB 1/2 1.3071-1.3061. More likely, this will allow to view sales at the end of the current week and the beginning of the next one. To date, the probability of the realization of a reversal is close to 30%. This plan must be used as an auxiliary. Most currencies are rising against the US dollar, so approximation of expiration can have a similar effect on USDCAD.

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Daily CZ - daily control zone. The area formed by important data from the futures market which change several times a year.

Weekly fault - weekly control zone. The zone is formed of the marks of the futures market which change several times a year.

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

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Technical analysis for EUR.USD for November 7, 2018

In our previous analysis we explained that in the short-term prices seem to want to move higher as the technical setup favors a move towards 1.15-1.16. The longer-term trend remains bearish but in the short-term we have more signs of strength.

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Light blue dots - medium strength support

Dark blue dots - maximum strength support

EUR.USD is making higher highs and higher lows in the 4 hour chart. Price is holding above the blue dots system and is now breaking out or at least trying to break out of the short-term bearish channel. In previous posts I explained that there are several indicators pointing to a bounce coming as the strength of each lower low was weakening. Support is now found at 1.1380 and at 1.1340. As long as we hold above these two levels, short-term trend will favor a move above 1.15 towards 1.16.

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Technical analysis for Gold for November 7, 2018

Gold price challenged resistance at $1,236 yesterday, it got rejected and pulled back towards the 61.8% Fibonacci retracement support. In our last analysis, I mentioned that as long as price is below $1,240, the chances of another pull back towards the 61.8% Fibonacci retracement remain high. Only a close and break above $1,240 would cancel any chances for another pull back.

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Magenta rectangle - major support area

Green lines - expected path

Gold price initially held support at the 38% Fibonacci retracement level. Bounced but got rejected at the resistance of $1,235-39 and pulled back towards the 61.8% Fibonacci level. Prices are bouncing off this support level and this is a bullish sign. For bulls to remain under control of the trend and for prices to move towards our target of $1,260-70 we should soon see a break above $1,235-40. As long as we do not break above this level, bears are fighting back hard. Support is at $1,223-21. Breaking and closing below this level is something bulls do not want to see. This would put the major support at $1,212 in danger and the entire bullish scenario as well.

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Forecast for EUR / USD for November 7, 2018

EUR / USD

So this morning, the final results of the elections to the US Congress will be known. They began with the increased optimism of the Democrats as the preliminary surveys of consulting agencies predicted a victory for them. And even the dollar that weakened under this PR by 0.11%. Euro rose 18 points.

But by this morning, the Democrats' confidence had spread. Democrats are currently winning the Lower House of Congress with a slight advantage: 182 seats against 170 with the Republicans. However, Republicans win the Senate elections with 51 against 43 and lead in the governor's office: 22 against 19. Donald Trump has termed "terrific success."

The final results will be known in a few hours. But for now, the scenario of reversing the tendency to strengthen the dollar without speculative movements, which we discussed in the previous reviews, can be realized.

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On the daily chart, the price reached the nested line of the price channel. The Marlin oscillator line touched the border with the growth zone of the trend. The objective is 1.1300 and the next is 1.1200. This is our main scenario.

Nevertheless, the exit of the price to 1.1520. can take place even exclusively by speculative mechanisms. The reason can be found.

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On the four-hour chart, the Marlin oscillator signal line slowed down. In case of price reduction, a reversal divergence may form. On the launch of a lowering scenario, you can only talk when the price of this line is 1.1380 which is below the Krusenstern line on this scale.

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Trading plan for 07/11/2018

As expected, the Democrats have returned the House of Representatives from the hands of the Republicans, but in the Senate, the latter has an advantage. Although not all of the votes are counted, it is already known that the Democrats received at least 23 seats in the House of Representatives, taking over the majority in the lower house of the Congress. The result that is consistent with the expectations keeps the markets calm while colliding the positive effect of removing the risk factor with concerns that the divided Congress will not stop the economic policy of Trump's administration.

The USD notes swinging trade but ultimately does not lose much to major currencies. EUR / USD jumped to 1.1395 to 1.1470 - now it is 1.1435. USD / JPY for a moment was at 113.80, but returned to 113.20. GBP / USD moves within the range of 1.3100-1.35050.

The stock market in Asia gave back earlier profits in trade with limited volatility. Japanese Nikkei225 loses 0.3% and Chinese Shanghai Composite falls 0.6%.SP500 contracts are growing by 0.1%.

Crude oil remains weak after Tuesday's drop by 2.0% and today adds another 0.6% up to the level of 61.8 USD. The API report pointed to a sharp increase in crude oil inventories by 7.8 million barrels. Today, before the official DoE data, the consensus assumes an increase in inventories by only 1.6m bbl.

On Wednesday, the 5th of November, the event calendar is light in important data releases until the very end of the trading day when the Reserve Bank of New Zealand will make interest rate decision. Nevertheless, it is worth to keep an eye on German Industrial Production data, Eurozone Retail Sales data, Canadian Ivey Purchasing Managers Index and Crude Oil Inventories from the US.

NZD/USD analysis for 07/11/2018:

The RBNZ will make the decision regarding the interest rates. The market participants expect the Official Rate so be left unchanged at the level of 1.75%. The Official Cash Rate (OCR) is the interest rate set by the Reserve Bank to meet the inflation target specified in the Policy Targets Agreement (PTA). The current PTA, signed in September 2012, defines price stability as annual increases in the Consumers Price Index (CPI) of between 1 and 3.0% on average over the medium term, with a focus on keeping future average inflation near the 2 percent target midpoint Interest rates are a primary determinant of a currency's value and these statements are used by traders to determine future monetary policy decisions. The Reserve Bank of New Zealand will release the Monetary Policy Statement in connection to its recent decision on short-term interest rates.

Moreover, the labor market report for the third quarter was surprised the market participants in a positive way. Employment increased by 1.1% (0.5% threshold), which allowed the unemployment rate to decline to 3.9%. (4.4% progressions). It still yesterday allowed NZD to jump up, and today the NZD / USD improved the high at 0.6777 with a slight recession before the start of trade in Europe.

Let's now take a look at the NZD/USD technical picture at the H4 time frame after the labor data were published and RBNZ decision is yet to be made. The market has broken through the technical resistance at the level of 0.6724 and is currently trading around the level of 0.6750, just below the local high at the level of 0.6775. The momenrum is still strong and positive, but the market conditions are now overbought, so a temporary pullback towards the support is needed.

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Burning forecast 07.11.2018

Burning forecast 07.11.2018

EURUSD: A signal to trend up.

The EUR/USD rate has broken the daily order level to the top of 1.1455 on the results of elections to the US Congress.

On Thursday at 18.00 London time, the Fed decision on rates.

We keep buying from 1.1455, stop 1.1410, target 1.1730.

Alternative: Selling from 1.1300.

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Trading plan 07.11.2018

Trading plan 07.11.2018

The overall picture: Trump lost the lower house to the Democrats.

Midterm elections to Congress were held in the United States.

Republicans lost a majority In the house of representatives - but retained a majority in the Senate (and even strengthened it somewhat). Trump, of course, called the election a victory - but it is rather a defeat - now the Democrats have a powerful lever to limit Trump's actions in Congress.

The market has not yet decided on the reaction to the result of the US election - the euro broke the level of 1.1455 up, then rolled back strongly down, but then made a new attempt to grow.

The pound continues to move upward.

We are ready to buy the pound - but only after a strong pullback from 1.2980 or below.

Ahead - another main news of the week - the Fed's decision on rates on Thursday at 18.00 GMT.

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Fractal analysis of major currency pairs for November 7

Dear colleagues.

For the Euro / Dollar currency pair, the development of the ascending structure from October 31, we expect after the breakdown of 1.1465 and we consider the movement to the bottom as a correction. For the currency pair Pound / Dollar, as a potential value for the top, while we are considering the level of 1.3233. For the currency pair Dollar / Franc, we are following the development of the downward structure of October 31 as the main trend. For the currency pair Dollar / Yen, the continuation of the movement to the top and we expect after the breakdown of 113.46. For the currency pair Euro / Yen, the potential for the top is still at the level of 130.55. For the currency pair Pound / Yen, the price is near the limit values for the upward structure of October 26, and therefore, we expect a correction.

Forecast for November 7:

Analytical review of H1-scale currency pairs:

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For the Euro / Dollar currency pair, the key levels on the H1 scale are: 1.1538, 1.1508, 1.1463, 1.1424, 1.1389, 1.1371, 1.1344 and 1.1299. Here, we are following the ascending structure of October 31. TWe expect the short-term upward movement in the range of 1.1424 - 1.1463. The breakdown of the level of 1.1465 should be accompanied by a pronounced upward movement. Here, the target is 1.1508. We consider the level of 1.1538 to be a potential value for the top. Upon reaching this level, we expect consolidation, as well as a rollback to the correction.

The short-term downward movement, possibly in the range of 1.1389 - 1.1371 and the breakdown of the latter will lead to the development of a protracted correction. Here, the target is 1.1344 and this level is the key support for the upward structure.

The main trend - the formation of potential for the top of October 31.

Trading recommendations:

Buy 1.1428 Take profit: 1.1460

Buy 1.1465 Take profit: 1.1508

Sell: 1.1370 Take profit: 1.1346

Sell: 1.1342 Take profit: 1.1308

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For the Pound / Dollar currency pair, the key levels on the H1 scale are: 1.3233, 1.3154, 1.3090, 1.3019, 1.2974, 1.2932 and 1.2866. Here, we are following the ascending structure of October 30. We expect the short-term upward movement in the range of 1.3090 - 1.3154. The potential value for the top and we consider the level of 1.3233, from which we expect the development of a protracted correction.

The short-term downward movement is possible in the range of 1.2974 - 1.2932 and the breakdown of the latter value will lead to a prolonged correction. Here, the target is 1.2866 and this level is the key support for the top.

The main trend is the ascending structure of October 30.

Trading recommendations:

Buy: 1.3093 Take profit: 1.3152

Buy: 1.3156 Take profit: 1.3230

Sell: 1.2974 Take profit: 1.2935

Sell: 1.2930 Take profit: 1.2870

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For the Dollar / Franc currency pair, the key levels on the H1 scale are: 1.0093, 1.0057, 1.0037, 0.9994, 0.9964, 0.9944 and 0.9918. Here, as the main trend, we consider the downward structure of October 31. We expect the continuation of the movement to the bottom after the breakdown of 0.9994. In this case, the goal is 0.9964 and in the range of 0.9964 - 0.9944 is the price consolidation. A potential value for the bottom, we consider the level of 0.9918, after reaching which, we expect a rollback to the top.

The short-term upward movement, possibly in the range of 1.0037 - 1.0057 and the breakdown of the latter value will have to form an ascending structure. In this case, the goal is 1.0093.

The main trend is the downward structure of October 31.

Trading recommendations:

Buy: 1.0037 Take profit: 1.0055

Buy: 1.0063 Take profit: 1.0090

Sell: 0.9994 Take profit: 0.9967

Sell: 0.9962 Take profit: 0.9948

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For the Dollar / Yen currency pair, the key levels on the scale of H1 are: 114.48, 114.21, 113.77, 113.46, 112.88, 112.44 and 112.13. Here, we are following the development of the ascending cycle of October 26. The short-term upward movement, possibly in the range of 113.46 - 113.77 and the breakdown of the last value should be accompanied by a pronounced upward movement. Here, the goal is 114.21. The potential value for the top, we consider the level of 114.48, after reaching which, we expect a rollback to the bottom.

We expect the correction after the breakdown of 112.88. In this case, the target is 112.44 and in the range of 112.44 - 112.13 is the short-term downward movement. To the level of 112.13, we expect registration of the initial conditions for the downward cycle.

The main trend is the ascending cycle of October 26.

Trading recommendations:

Buy: 113.48 Take profit: 113.75

Buy: 113.80 Take profit: 114.20

Sell: 112.85 Take profit: 112.55

Sell: 112.42 Take profit: 112.15

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For the Canadian dollar / Dollar currency pair, the key levels on the H1 scale are: 1.3269, 1.3222, 1.3191, 1.3168, 1.3089, 1.3060 and 1.3021. Here, we monitor the local structure for the top of October 24th. The continuation of the movement to the top, we expect after the price passes the range of 1.3168 - 1.3191. In this case, the first goal is 1.3222, consolidation is near this level. The potential value for the top, we consider the level of 1.3269, after reaching which we expect a rollback to the correction.

The short-term downward movement, possibly in the range of 1.3089 - 1.3060, hence the probability of a reversal to the top. The breakdown of the level of 1.3060 will lead to a prolonged correction. Here, the target is 1.3021.

The main trend is the local structure of October 24.

Trading recommendations:

Buy: 1.3191 Take profit: 1.3220

Buy: 1.3224 Take profit: 1.3269

Sell: 1.3089 Take profit: 1.3062

Sell: 1.3058 Take profit: 1.3024

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For the Australian dollar / dollar currency pair, the key levels on the H1 scale are: 0.7189, 0.7167, 0.7136, 0.7110, 0.7062, 0.7040 and 0.7017. Here, we are following the ascending structure of October 26. The short-term upward movement, possibly in the range of 0.7218 - 0.7237 and the breakdown of the last value will allow to expect a movement towards a potential target of 0.7276, upon reaching this level we expect a rollback to the bottom.

The short-term downward movement, possibly in the range of 0.7189 - 0.7167 and the breakdown of the latter value will lead to a prolonged correction. Here, the target is 0.7136 and this level is the key support for the top.

The main trend is the upward cycle of October 26.

Trading recommendations:

Buy: 0.7218 Take profit: 0.7235

Buy: 0.7240 Take profit: 0.7274

Sell: 0.7187 Take profit: 0.7170

Sell: 0.7165 Take profit: 0.7143

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For the Euro / Yen currency pair, the key levels on the H1 scale are: 130.55, 129.93, 129.50, 128.58, 128.29 and 127.82. Here, we are following the ascending structure of October 26. We expect the short-term upward movement in the range of 129.50 - 129.93 and the breakdown of the last value will lead to the movement to the potential target of 130.55, after reaching which, we expect a rollback to the correction.

The short-term downward movement, possibly in the range of 128.58 - 128.29 and the breakdown of the last value will lead to a prolonged correction. Here, the goal is 127.82 and this level is the key support for the top.

The main trend is the upward structure of October 26.

Trading recommendations:

Buy: 129.50 Take profit: 129.90

Buy: 130.00 Take profit: 130.50

Sell: 128.55 Take profit: 128.33

Sell: 128.25 Take profit: 127.90e0GUc7EiUhDOlmecOKCgvBS5ueHE7fPec9z97h1B

For the Pound / Yen currency pair, the key levels on the H1 scale are: 148.98, 148.40, 147.51, 147.02 and 146.22. Here, we are following the upward cycle from October 26. At the moment, the price is close to the limit values, and therefore, we expect a rollback to the correction. The short-term upward movement, possibly in the range of 148.40 - 148.98, from here we expect a key reversal to the bottom.

The short-term downward movement, possibly in the range of 147.51 - 147.02 and the breakdown of the latter value will lead to a prolonged correction. Here, the target is 146.22 and this level is the key support for the upward structure.

The main trend is the upward cycle of October 26.

Trading recommendations:

Buy: 148.40 Take profit: 148.95

Buy: Take profit:

Sell: 147.50 Take profit: 147.05

Sell: 147.00 Take profit: 146.30

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