Forecast for EUR/USD and GBP/USD on June 12. The Fed and Donald Trump – the main enemies of the US dollar

EUR/USD – 4H.

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As seen on the 4-hour chart, the EUR/USD pair performed a reversal in favor of the European currency and closed above the correction level of 61.8% (1.1318), thus indicating the intention to continue growth in the direction of the correction level of 76.4% (1.1368). The last weeks in the forex market are definitely left behind euro currency, while traders do not favor the dollar. It seems that this is directly related to a possible reduction in the Fed's rates, which was pressured in this matter by Donald Trump over the past year. According to Trump, Powell raises the key rate too quickly, which leads to problems with servicing the public debt and hinders export operations, as the dollar grows because of this. Whether Powell finally heeded the words of Trump, or he saw that with Trump it's better to play on the same team, as it is a whole economy of the country, but his last speech was full of hints at a possible reduction of the key rate, "if necessary." This factor may be key in the confrontation between the euro and the dollar in the coming months. But here it should be noted another fact, almost the same, the ECB also hinted that the rate can be reduced. And the ECB's current rate level is 0.0%, unlike the Fed.

The Fibo grid is built on extremums from March 20, 2019, and May 23, 2019.

Forecast for EUR/USD and trading recommendations:

The EUR/USD pair performed a consolidation above the correction level of 61.8%. Thus, I recommend buying the euro today with the target at 1.1368, a protective order under the correction level of to 61.8%. I recommend selling the EUR/USD pair after closing the quotes below the correction level of 61.8% (1.1277) and a stop-loss order above 1.1318.

GBP/USD – 4H.

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The GBP/USD pair performed a reversal in favor of the pound on June 11, after rebounding from the correction level of 76.4% (1.2661), and began the growth process in the direction of the Fibo level of 61.8% (1.2796). Bears have shown their unwillingness to return to the market right now. The Fed and Donald Trump are now playing against the US dollar, but Brexit is still playing against the pound sterling. And there is no news on this topic, let alone good news. Traders still feel a high degree of risk when buying English currency and avoid such transactions. Yesterday in the UK, there were several reports on wages and unemployment. They turned out to be quite good, which probably caused a small demand for the pound. However, Brexit cannot get out of the "fog": there is still no visible path that the country follows in order to leave the European Union. Yesterday, at the initiative of the Labor Party, a proposal to block the hard version of Brexit was submitted for discussion. In other words, even if the new Prime Minister wants to leave the EU under this scenario, the Parliament is already showing its unwillingness to support this decision.

The Fibo grid is built on the extremes of January 3, 2019, and March 13, 2019.

GBP/USD – 1H.

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As seen on the hourly chart, the GBP/USD has also completed the rebound from the Fibonacci level of 161.8% (1.26730) and began the process of growth towards the correctional level of 127.2% (1.2781). There are no emerging divergences on any of the charts. Despite the fact that the bulls are now more active, the bears are ready at any time to start again to put pressure on the pound sterling. This requires only a new fundamental push. While the situation in the UK is relatively stable, there are no new political outbursts, there is no news on government reshuffles, and economic data are even sometimes positive. It keeps the bears in the shadows.

The Fibo grid is built on the extremes of April 25, 2019, and May 3, 2019.

Forecast for GBP/USD and trading recommendations:

The GBP/USD pair performed the rebound from two important levels of correction. I recommend to leave the pair's purchases open for yesterday's signal with the target at 1.2781, with a stop-loss order below 1.2673. I recommend selling a pair when closing quotes below the Fibo level of 76.4% (4-hour chart) with the target of 1.2554 and a protective order above the level of 1.2673.

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GBP/USD: plan for the European session on June 12. Pound buyers need to break above 1.2728, which will lead to new highs

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

The growth of the average earnings level helped the pound to strengthen its position, but the main task remains the repeated test of the maximum of 1.2728, the breakthrough of which will lead to the growth of GBP/USD in the area of new levels 1.2765 and 1.2795, where I recommend fixing the profit. However, when opening long positions above 1.2728, pay attention to the divergence that is formed on the MACD indicator, which can limit the upward potential. If the pound falls in the first half of the day, you can look at the long positions on the rebound from the minimum of 1.2691 and 1.2653.

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

Sellers of the pound need to form a false breakout in the resistance area of 1.2728, and the divergence on the MACD indicator will serve as an additional signal to open short positions in order to reduce to the area of the lows of 1.2691 and 1.2653, where I recommend taking the profit. With further growth of GBP/USD, it is best to expect sales to rebound from the new high of 1.2765.

Indicator signals:

Moving Averages

Trading is above 30 and 50 moving averages, indicating a possible continuation of the bullish market scenario.

Bollinger Bands

In case of the pound growth, the upper limit of the indicator in the area of 1.2730 will act as a resistance, the breakthrough of which will be a signal to buy.

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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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EUR/USD: plan for the European session on June 12. Euro buyers are trying to consolidate above 1.1330, which will give an

To open long positions on EURUSD, you need:

At the moment, while trading is above the range of 1.1330, the demand for EUR/USD will continue, which can lead to a further upward trend with the update of the highs in the area of 1.13366 and 1.1392, where I recommend fixing the profit. The speech of the President of the European Central Bank Mario Draghi in the morning may lead to changes in the plans of buyers. Therefore, in the scenario of the EUR/USD decline below the level of 1.1330, it is best to consider new long positions on the rebound from the minimum of 1.1290.

To open short positions on EURUSD, you need:

Bears need to return to the resistance level of 1.1330, which will be the first signal to open short positions, but the main goal will be the support of 1.1290, the repeated test of which will necessarily lead to its breakthrough and the descent of EUR/USD to the minimum area of 1.1253, where I recommend taking the profit. In the case of further growth in the morning, which may occur after the speech of the ECB head, selling the euro is best on the rebound from the new monthly high in the area of 1.1366 and 1.1392.

Indicator signals:

Moving Averages

Trading is conducted at above 30 and 50 moving averages, indicating a possible continuation of the bullish market.

Bollinger Bands

In the event of a decline in the euro, support will be provided by the lower limit of the indicator in the area of 1.1310.

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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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Trading plan for EURUSD on 06/12/2019

The market is under pressure from the expected Fed rate cut. The main question is what the Fed will say at the meeting on June 19.

In the US economy, a slowdown in growth is noticeable. In the German economy, there are signs of a halt in growth according to the latest measurements of investor sentiment.

The main reason for the slowdown was the US-China trade war unleashed by Trump. Trump is not going to retreat, everything should be decided at the meeting of Trump-Xi Jinping at the G20 summit

Euro: We expect to continue growth, keep buying from 1.1220 and 1.1190

The next target is 1.1450

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Panic returns: EUR and GBP lose ground for growth

The dynamics of producer prices in May was close to forecasts, the growth was only 0.1%, business optimism indices from NFIB and IBD/TIPP gave the opposite results, without adding clarity.

Markets traded neutrally, taking advantage of the temporary respite due to the lack of news from the fields of the trade war between the US and China, but the surge of a new wave of panic in the coming days is becoming more likely. China, focusing on changing the rhetoric of the Fed, has already announced new tax incentives aimed at financing infrastructure projects, that is, exactly what Washington is trying to limit.

The pause may last until the G20 meeting on June 28-29, but the lack of positive news in itself can return panic and provoke a new wave of demand for protective tools.

EURUSD

The indicator of investor confidence Sentix fell in June to -3.3 p, falling by 8 points. In Germany, the situation is even more serious, as the overall index for the first time since March 2010 returned to the negative territory, which makes the recession very likely.

Moreover, despite the confidence of the US President that he is winning the trade war, this Pyrrhic victory does not support the US economy. The overall US index fell by more than 10 points to its lowest level in February 2016.

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The ECB, as expected, changed its rhetoric, extending the period of unchanged interest rate to at least the middle of 2020, so the markets do not expect any changes in connection with the transition of the ECB to the easing regime. If the economic situation continues to deteriorate, which in turn will call into question plans to achieve the target level of core inflation, the expansion of incentives will become inevitable. Already, market inflation expectations are close to historical lows.

Today, comments on monetary policy will be addressed to different audiences by Draghi, de Guindos and Coeure, and their task is to try to prevent the euro growth against the background of changing expectations on the rate of the Fed, so the markets can hear something new on the details of the implementation of the incentive program TLTRO3.

On Wednesday morning, the euro is trading in the range near 3-month highs, expected growth to 1.1375/85 and further to 1.1448 did not take place due to a very weak Sentix index and the bank holiday, trading in the range with a high probability will continue today. An attempt to update the recent high of 1.1347 is expected, but there is little chance of steady growth.

GBPUSD

Unemployment in the UK remained at 3.8% in February – April, which is in line with forecasts, the average wage increased by 3.4%, and taking into account premiums – by 3.1%. The pound reacted with a slight increase, but the upward movement is unlikely to develop, as in favor of reducing the grounds much more.

On Monday, we predicted the growth of GBPUSD to 1.2762/72 and further to 1.2863, the first goal was achieved, but then the upward movement of the pound was stopped by an extremely weak report on industrial production. The decrease in April was 2.7%, in the manufacturing industry -3.9%, year-on-year indicators also went negative to -1.0% and -0.8%, respectively. Moreover, NIESR lowered its quarterly GDP growth estimate from 0.4% to 0.1%, with markets expecting growth of 0.5%, and such a low estimate means that the UK has only one step left in the recession.

In such conditions, it is not necessary to count on the growth of investments. Economic sentiment in the UK business environment remains depressed and looks much worse than in the rest of Europe. The decline in sentiment is largely due to a decline in business confidence and political uncertainty.

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Both Labor and Conservatives are losing the trust of voters, yielding to the fast-moving pressure of Nigel Farage's new Brexit party, urgent elections will be a disaster for conservatives who will lose many seats, and three years after the referendum, there is still no clarity on the scenario of the UK's exit from the EU.

The pound goes into the side range, the boundaries of which 1.2653 – 1.2762 will restrain volatility, macroeconomic news is not expected until the end of the week.

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Elliott wave analysis of GBP/JPY for June 12 - 2019

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GBP/JPY remained flat the last couple of trading days. The political uncertainty in the UK weighs on GBP. Thus, we're waiting for signals for GBP and are looking for a break above minor resistance at 137.79 that should open for rally to 139.64 on the way higher to 141.40.

Only a direct break below support at 136.96 will invalidate our bullish outlook and call for renewed downside pressure towards 135.73.

R3: 139.65

R2: 138.80

R1: 138.26

Pivot: 137.85

S1: 137.45

S2: 136.96

S3: 136.59

Trading recommendation:

We are long GBP from 137.50 with our stop placed at 136.90. Upon a break above 137.96 we will raise our stop to break-even at 137.50.

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Forecast for EUR/USD on June 12, 2019

EUR/USD

Yesterday did not change the overall situation for the euro, even the readings of the leading Marlin oscillator remained at the same positions – on a four-hour scale, the signal line moves along the zero line, limiting the growth zone from the trend decline zone. Nevertheless, yesterday was marked by the growth of the euro. The growth of the instrument with neutral indicators carries the potential for further growth. Possible growth to the Fibonacci level of 76.4% on the daily chart (1.1356). Fixing above this level will allow the euro to grow more confidently, the goal will be the Fibonacci level of 61.8% at the price of 1.1444, which also coincides with the top of March 20.

For the development of the downward movement of the EUR/USD pair, much more needs to be done – to gain a foothold under the MACD line on H4, under the mark of 1.1265.

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Technical analysis of Ethereum for 12/06/2019:

Crypto Industry News:

According to the published press release, Nasdaq, the second largest stock exchange in the world, and the CryptoCompare cryptographic data provider, have established a cooperation aimed at introducing a cryptocurrency valuation product targeted at institutional investors.

The new product, named "Nasdaq / CryptoCompare Aggregate Crypto Reference Prices", will be made available on the Nasdaq Quandl platform - which provides financial and economic alternative data sets for over 400,000 financial professionals around the world.

Nasdaq-CryptoCompare will be based on cumulative CryptoCompare data sets that provide minute price data from those cryptocurrency markets that have the highest liquidity.

The fruit of cooperation aims to increase the opportunities of institutional investors in cryptographic markets, through "trading strategy, quantitative research, risk modeling, NAV calculations and historical verification," reads the release.

In an official statement, CryptoCompare's CEO and co-founder, Charles Hayter, argued that reliable data is the foundation of transparent, liquid markets and can offer global competitive institutional investors and traders a competitive advantage in the cryptographic sector.

At the end of 2018, Nasdaq confirmed its plans to introduce Bitcoin contracts in the first half of 2019, after postponing the previously planned implementation.

Technical Market Overview:

The ETH/USD pair has tested the short-term trendline support around the level of $235.00 and bounced from it towards the nearest technical resistance located at the level of $251.08. So far this resistance ha snot been hit, but it looks like a matter of time. Anter this level is cleared, the next target for bulls is the old wave (b) top at $253.09.

Weekly Pivot Points:

WR3 - $291.72

WR2 - $280.83

WR1 - $249.36

Weekly Pivot Point: $237.71

WS1 - $207.19

WS2 - $196.25

WS3 - $166.76

Trading Recommendations:

The best strategy in the current market conditions is to trade in the direction of the short-term trend, which is still down and the corrective cycle continues. All the local bounces and correction should be treated as another opportunity to open the sell orders for a better price. Please notice, the larger time frame trend is up and there are no signs of any trend reversal, this is only the correction during the up trend.

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Technical analysis: Important intraday Level For EUR/USD, June 12,2019

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When the European market opens, some economic data such as German 10-year Bond Auction, French Final Private Payrolls q/q will be released.The US will publish the Federal Budge balance, 10-year Bond Auction, Crude Oil Inventories, Core CPI m/m, and CPIm/m. Ahead of the reports,EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL: Breakout BUY Level: 1.1383.Strong Resistance:1.1377.Original Resistance: 1.1366.Inner Sell Area: 1.1355.Target Inner Area: 1.1329.Inner Buy Area: 1.1303.Original Support: 1.1292Strong Support: 1.1281.Breakout SELL Level: 1.1275.(Disclaimer)

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Forecast for GBP/USD on June 12, 2019

GBP/USD

In yesterday's review, we wrote that the withdrawal of the price under the balance line on the H4 chart will mean a trend shift towards a fall, and because of the trend on the daily scale, this option is the most promising. But over the past day, even the trend of the daily chart has changed. The signal line of the Marlin oscillator did not go deeper into the zone of decline and formed a hint of a double top (indicated by arrows). On H4, the price could not overcome the support of the red indicator line of the balance. Marlin on the same chart also returned to the growth zone. Taking into account the leading character of this oscillator, the chances of GBP/USD pair growth are increasing. To form a trend, the price needs to gain a foothold over the high of June 7 (1.2762), then the prospect of growth to the MACD line on the daily chart, in the area of 1.2910.

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The reduction scenario can be realized in the case of the price fixation under the balance line on the H4 because the double top on the Marlin oscillator on the daily chart can be realized and the signal line of the oscillator on the H4 also has the opportunity of deepening in the area of negative numbers. The immediate goal of reducing 1.2650 is to support the MACD line. Fixing under it opens the target 1.2610 – at least August 15.

The probability of both scenarios is equal.

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Forecast for USD/JPY on June 12, 2019

USD/JPY

Our expectations of a difficult and ambiguous rise of the USD/JPY pair from the expected bottom in the area of 107.78 are justified. On a four-hour scale, the price failed to gain a foothold over the MACD line (indicator blue), which formed a divergence with the Marlin oscillator. The gap at the opening of Monday remains open, apparently, the price went to it. Taking into account the already formed divergence, the price reduction may not be limited to closing the window, it may continue to another testing of the bottom, and with the overcoming of the lows on June 4-5, which will form a double convergence on the daily scale (indicated by a dotted line).

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Moving up from the current levels is possible. In this case, the growth limit may be the embedded line of the price channel on the daily chart (109.17), which also corresponds to the minimum on May 29. But to achieve this goal may also be followed by a turn to close the window from the 10th.

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Technical analysis of Bitcoin for 12/06/2019:

Crypto Industry News:

The Russian parliament, the State Duma, is considering imposing administrative responsibility for the extraction of cryptocurrencies, as reported by the local press agency TASS.

In an interview with TASS, Anatoly Aksakov, chairman of the State Duma Committee on Financial Market, said that the government could introduce administrative responsibility for the extraction of the digital currency by the end of June.

All operations related to cryptocurrencies are contrary to Russian legislation and will be considered illegal. This means that mining, organizing emissions, circulation, creating exchange points for these tools will be prohibited. The administrative liability in the form of a fine will be incurred for such actions. We believe that cryptocurrencies created on open Blockchains, such as Bitcoin, Ethereum and others, are illegal.

- Aksakov announced.

Aksakov stressed, however, that despite the ban on extracting crypts in Russia, it is still possible to own Bitcoins if they were purchased under foreign law at foreign points of sale and exchange points.

The main cryptographic bill, "On digital financial assets", was approved by the Russian parliament in May 2018, but was later sent back to the first reading stage after reports on the absence of major key terms such as cryptocurrency, cryptocurrencies, and tokens. Since that time, Russia has postponed the adoption of cryptographic regulations due to the requirement of the Anti-Money Laundering Team (FATF) to add cryptographic concepts.

At the beginning of June, Lyudmila Nowoselov, chair of the Intellectual Property Court of the Russian Federation and the judge of the Supreme Court of Arbitration, also argued that the concept of digital assets should be included in Russian civil law.

Technical Market Overview:

The BTC/USD pair is consolidating the recent gains in a narrow horizontal range, but it does not look like it is about to go down. On the contrary, the price might be ready for another leg up as the momentum is increasing. The bulls tried to break through the technical resistance at the level of $7,978 already but so far no avail. In the case of a breakout, the next target is seen at the level of $8,102 and $8,241. On the other hand, any violation of the level of $7,405 will lead to the sell-off towards the level of $6,986.

Weekly Pivot Points:

WR3 - $9,578

WR2 - $9,128

WR1 - $8,319

Weekly Pivot Point: $7,869

WS1 - $7,020

WS2 - $6,556

WS3 - $5,664

Trading Recommendations:

The best strategy in the current market conditions is to trade in the direction of the short-term trend, which is still down and the corrective cycle continues. All the local bounces and correction should be treated as another opportunity to open the sell orders for a better price. Please notice, the larger time frame trend is up and there are no signs of any trend reversal, this is only the correction during the up trend.

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Technical analysis of GBP/USD for 12/06/2019:

Technical Market Overview:

The GBP/USD pair continues to trade inside of a narrow range located between the levels of 1.2652-1.2761. The momentum is barely holding the neutral fifty level and it looks like is about to go lower as well. The stochastic is in the middle of the range now, so all sum up there is no direct signal regarding the future price move now. The nearest technical resistance is located at the level of 1.2746 and the nearest technical support is seen at the level of 1.2668.

Weekly Pivot Points:

WR3 - 1.2954

WR2 - 1.2856

WR1 - 1.2800

Weekly Pivot Point: 1.2708

WS1 - 1.2658

WS2 - 1.2549

WS3 - 1.1502

Trading Recommendations:

The best strategy in the current market conditions is to trade in the direction of the main trend, which is still down. All the local bounces and correction should be treated as another opportunity to open the sell orders for a better price. Please notice, the larger time frame trend is down and there are no signs of any trend reversal.

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Fractal analysis of major currency pairs for June 12

Dear colleagues.

For the currency pair euro/dollar, we continue to monitor the local upward structure of June 5; the level of 1.1363 is the key resistance and the level of 1.1259 is the key support. For the currency pair pound/Dollar, the upward trend is expected after the breakdown of 1.2755. For the currency pair dollar/franc, the price is in equilibrium and the development of the upward structure is expected after the breakdown of 0.9961. For the currency pair dollar/yen, the price forms the potential for the top of June 7. For the currency pair euro/yen, the continuation of the upward movement is expected after the passage by the price of the range of 122.87 - 123.06. For the currency pair pound/yen, the continuation of the upward structure development on June 4 is expected after the breakdown of 138.20.

Forecast on June 12:

Analytical review of the currency pairs in H1 scale:

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For the currency pair euro/dollar, the key levels on the H1 scale are 1.1435, 1.1416, 1.1384, 1.1363, 1.1305, 1.1286, 1.1259 and 1.1214. We continue to monitor the local upward structure from June 5. The short-term upward movement is possible in the area of 1.1363 – 1.1384 and the breakdown of the last value will lead to a pronounced movement. The goal is 1.1416. We consider the level of 1.1435 as a potential value for the top, upon reaching which, we expect consolidation in the area of 1.1416 – 1.1435, as well as a rollback to the correction.

The short-term downward movement is possible in the area of 1.1305 – 1.1286 and the breakdown of the last value will lead to a protracted correction. The goal is 1.1259 and this level is the key support for the upward structure. Its passage by the price will have to form the initial conditions for the downward cycle. The potential goal is 1.1214.

The main trend is the local structure for the top of June 5.

Trading recommendations:

Buy 1.1363 Take profit: 1.1382

Buy 1.1386 Take profit: 1.1416

Sell: 1.1305 Take profit: 1.1286

Sell: 1.1284 Take profit: 1.1262

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For the currency pair pound/dollar, the key levels on the H1 scale are 1.2808, 1.2789, 1.2754, 1.2727, 1.2687, 1.2667 and 1.2633. We continue to monitor the development of the upward cycle from May 31. At the moment, the price is in correction and forms the potential for a downward movement from June 7. We expect the continuation of the upward movement after the breakdown of 1.2727. In this case, the target is 1.2754 and near this level is the price consolidation. The breakdown of the level of 1.2755 should be accompanied by a strong upward movement. The target – 1.2808 and in the area of 1.2789 – 1.2808 is the consolidation rates and hence we expect a pullback to the bottom.

The short-term downward movement is possible in the area of 1.2687 – 1.2667 and the breakdown of the last value will lead to a protracted correction. The goal is 1.2633 and this level is the key support for the upward structure.

The main trend is the upward cycle from May 31, the stage of correction.

Trading recommendations:

Buy: 1.2728 Take profit: 1.2752

Buy: 1.2755 Take profit: 1.2787

Sell: 1.2686 Take profit: 1.2668

Sell: 1.2664 Take profit: 1.2638

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For the currency pair dollar/franc, the key levels in the H1 scale are 0.9987, 0.9961, 0.9930, 0.9911, 0.9858, 0.9846, 0.9816 and 0.9795. The price has entered an equilibrium state. The continuation of the downward movement is expected after the price passage of the range of 0.9858 – 0.9846. In this case, the goal is 0.9816. We consider the level of 0.9795 as a potential value for the bottom, near which we expect consolidation.

The consolidated movement is possible in the range of 0.9911 – 0.9930 and the breakdown of the last value will lead to the cancellation of the downward structure from June 6. In this case, the first potential target is 0.9961. We expect the initial conditions for the upward cycle to be formed at the level of 0.9987.

The main trend is the equilibrium situation.

Trading recommendations:

Buy: 0.9932 Take profit: 0.9960

Buy: 0.9963 Take profit: 0.9987

Sell: 0.9846 Take profit: 0.9816

Sell: 0.9814 Take profit: 0.9796

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For the currency pair dollar/yen, the key levels in the scale of H1 are 108.84, 108.43, 107.76, 107.44 and 106.99. The price entered the equilibrium state: the downward trend of May 30 and the formation of the potential for the top of June 7. The short-term downward movement is expected in the area of 107.76 – 107.44 and the breakdown of the last value will lead to a movement to a potential target – 106.99, upon reaching this level, we expect a rollback to the top.

The short-term upward movement, as well as consolidation, is possible in the area of 108.45 – 108.84. The level of 108.84 is the key support for the downward structure. Its passage by the price will lead to the formation of the initial conditions for the upward cycle.

The main trend is the local structure for the bottom of May 30, the stage of correction.

Trading recommendations:

Buy: 108.45 Take profit: 108.82

Buy: Take profit:

Sell: 107.74 Take profit: 107.45

Sell: 107.42 Take profit: 107.00

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For the currency pair Canadian dollar/dollar, the key levels on the H1 scale are 1.3403, 1.3379, 1.3339, 1.3299, 1.3250, 1.3225, 1.3167 and 1.3122. We follow the development of the downward structure from May 31. We expect further development of the main trend after the price passes the range of 1.3250 – 1.3225. In this case, the target is 1.3167 and near this level is the consolidation. The potential value for the bottom is the level of 1.3122, from which we expect a rollback to the top.

The short-term upward movement is possible in the area of 1.3299 – 1.3339 and the breakdown of the last value will lead to a protracted correction. The goal is 1.3379 and the range of 1.3379 – 1.3403. Before it, we expect the expressed initial conditions for the upward cycle.

The main trend is the downward structure of May 31.

Trading recommendations:

Buy: 1.3300 Take profit: 1.3337

Buy: 1.3342 Take profit: 1.3379

Sell: 1.3225 Take profit: 1.3170

Sell: 1.3165 Take profit: 1.3124

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For the currency pair Australian dollar/dollar, the key levels on the H1 scale are 0.6990, 0.6974, 0.6964, 0.6944, 0.6933, 0.6911 and 0.6893. We follow the formation of the capacity for the bottom of June 7. The short-term downward movement is expected in the range of 0.6944 – 0.6933 and the breakdown of the last value should be accompanied by a pronounced downward movement. The target is 0.6911. We consider the level of 0.6893 as a potential value for the bottom, upon reaching which, we expect a rollback to the top.

The short-term upward movement is possible in the area of 0.6964 – 0.6974 and the breakdown of the last value will lead to a protracted correction. The goal is 0.6990 and this level is the key support for the downward structure. Its passage by the price will have to form the initial conditions for the top. In this case, the potential target is 0.7021.

The main trend is the formation of capacity for the bottom of June 7.

Trading recommendations:

Buy: 0.6975 Take profit: 0.6990

Buy: 0.6995 Take profit: 0.7010

Sell: 0.6933 Take profit: 0.6913

Sell: 0.6909 Take profit: 0.6895

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For the currency pair euro/yen, the key levels on the H1 scale are 124.10, 123.77, 123.47, 123.06, 122.87, 122.54, 122.31 and 121.98. We continue to follow the upward structure of June 3. The continuation of the upward movement is expected after the passage of the price of the range of 122.87 – 123.06. In this case, the goal is 123.47 and in the area of 123.47 – 123.77 is the price consolidation. We consider the level of 124.10 as a potential value for the top, upon reaching which, we expect a correction.

The short-term downward movement is expected in the area of 122.54 – 122.31 and the breakdown of the last value will lead to a protracted correction. The goal is 121.98 and this level is the key support for the top.

The main trend is the upward cycle of June 3.

Trading recommendations:

Buy: 123.06 Take profit: 123.45

Buy: 123.48 Take profit: 123.75

Sell: 122.54 Take profit: 122.33

Sell: 122.25 Take profit: 122.00

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For the currency pair pound/yen, the key levels on the H1 scale are 139.44, 138.98, 138.67, 138.19, 137.47, 137.25, 136.97 and 136.52. We follow the development of the upward structure from June 4. We expect the continuation of the movement to the top after the breakdown of 138.20. In this case, the target is 138.67 and in the area of 138.67 – 138.98 is the short-term upward movement, as well as consolidation. We consider the level of 139.44 as a potential value for the top, upon reaching which, we expect a rollback to the bottom.

The short-term downward movement is expected in the area of 137.47 – 137.25 and the breakdown of the last value will lead to a protracted correction. The goal is 136.97 and this level is the key support for the top.

The main trend is the upward structure of June 4.

Trading recommendations:

Buy: 138.20 Take profit: 138.65

Buy: 138.69 Take profit: 138.96

Sell: 137.47 Take profit: 137.27

Sell: 137.20 Take profit: 136.98

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

Technical analysis of EUR/USD for 12/06/2019:

Technical Market Overview:

The EUR/USD pair step by step is slowly climbing higher towards the technical resistance at the level of 11347, but there is a clear bearish divergence between the price and momentum oscillator in overbought market conditions. If the local technical support at the level of 1.1305 is clearly violated, then the sell-off might accelerate towards the level of 1.1250 or even 1.1224. That move down will be considered as a local pull-back as along as new low is made below 1.1118, so the outlook remains bullish.

Weekly Pivot Points:

WR3 - 1.1598

WR2 - 1.1464

WR1 - 1.1422

Weekly Pivot Point: 1.1290

WS1 - 1.1228

WS2 - 1.1091

WS3 - 1.1040

Trading Recommendations:

The best strategy in the current market conditions is to trade in the direction of the main trend, which is now up. All the local pull-backs and corrections should be treated as another opportunity to open the buy orders for a better price. There is a downtrend reversal sign on the weekly time-frame chart, which is why the recent move up might be the beginning of the new uptrend.

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Technical analysis: Important intraday level for USD/JPY, June 12,2019

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Japan will release the PPI y/y, Core Machinery Orders m/m. The US will publish such economic data as Federal Budget Balance,10-year Bond Auction, Crude Oil Inventories, Core CPI m/m, and CPI m/m. So, the USD/JPY pair is highly likely to move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:Resistance.3:109.07.Resistance. 2:108.86.Resistance. 1:108.64.Support. 1:108.38.Support. 2:108.16.Support. 3:107.95.(Disclaimer)

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Technical analysis: Important intraday level for USD/JPY, June 12,2019

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IJapan will release the PPI y/y, Core Machinery Orders m/m. The US will publish such economic data as Federal Budget Balance,10-year Bond Auction, Crude Oil Inventories, Core CPI m/m, CPI m/m. So, there is a probability the USD/JPY will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL: Resistance.3:109.07.Resistance. 2:108.86.Resistance. 1:108.64.Support. 1:108.38.Support. 2:108.16.Support. 3:107.95.(Disclaimer)

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

Technical analysis: Important intraday level for USD/JPY, June 12,2019

Japan will release the PPI y/y, Core Machinery Orders m/m. The US will publish such data as Federal Budget Balance,10-y Bond Auction, Crude Oil Inventories, Core CPI m/m, CPI m/m. So, there is a probability the USD/JPY will move with low to mediumvolatility during this day.

TODAY'S TECHNICAL LEVEL:Resistance.3 :109.07.Resistance. 2:108.86.Resistance. 1:108.64.Support. 1:108.38.Support. 2:108.16.Support. 3:107.95.(Disclaimer)

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Elliott wave analysis of EUR/JPY for June 12 - 2019

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EUR/JPY is expected to move to at least 123.60 as the next minor target on the way higher. Longer-term much higher levels are expected as the rally from 120.75 gathers upside momentum.

Short-term minor support at 122.56 is expected to protect the downside for the move closer to the 123.60 target. From the 123.60 the possibility of a larger corrective dip close to 122.07 is high.

R3: 123.62

R2: 123.18

R1: 122.93

Pivot: 122.56

S1: 122.26

S2: 122.07

S3: 121.72

Trading recommendation:

We are long EUR from 120.75 with our stop placed at 122.05. We will take half profit at 123.50.

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

Trading plan for EURUSD for June 12, 2019

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Technical outlook:

We present the medium-term outlook for EURUSD with 4H chart view here, The most probable direction for the next few trading sessions is towards the south side as indicated here. The EURUSD might have formed an intermediary top at 1.1347/48 levels last Friday and is set up for at least a corrective drop lower. As marked here, the extensions are pointing towards a drop to 1.1190/1.1200 levels, before the single currency pair chooses the further course of action. Thus, the direction of trade should remain lower in the coming sessions before it might reverse. Price support is also seen at 1.1200 levels, followed by 1.1120 respectively. Also note that there is Fibonacci convergence support at 1.1200 levels, with 0.618 retracement of the entire rally between 1.1107 through 1.1347 is also passing through. If a bullish reversal occurs around 1.1200 levels, we would then reverse positions accordingly.

Trading plan:

Remain short with a stop above 1.1350 levels, target at least 1.1200.

Good luck!

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GBP/USD to test resistance, a drop is possible!

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GBPUSD to test key resistance, a drop to 1st support is possible

Entry: 1.2764

Why it's good : 61.8% Fibonacci extension, 38.2% Fibonacci retracement, horizontal swing high resistance

Stop Loss : 1.2871

Why it's good :50% Fibonacci retracement,100% Fibonacci extension, horizontal pullback resistance

Take Profit : 1.2652

Why it's good: 61.8% Fibonacci retracement, 61.8% Fibonacci extension, horizontal overlap support

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NZD/USD approaching support, potential bounce!

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Price is approaching its support where we expect to see a bounce up to its resistance.

Entry : 0.6558

Why it's good : 61.8% Fibonacci retracement, 61.8% Fibonacci extension, horizontal pullback support

Stop Loss : 0.6537

Why it's good : 76.4% Fibonacci retracement

Take Profit : 0.6587

Why it's good : Horizontal swing high resistance, 23.6% Fibonacci retracement

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USD/JPY to test resistance, a drop is possible!

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