Bitcoin to end the year the opposite way it started it.

Despite a strong first half of 2019, BTCUSD had a disappointing second half of the year. Price peaked in June just below $14,000 and is now trading nearly 50% lower. However not all are lost for bulls as price is holding above major Fibonacci support and reversal area.

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Red lines - wedge pattern

BTCUSD is still in bearish trend inside the downward sloping wedge pattern. Price is still trading around the 61.8% Fibonacci retracement of the entire leg higher that started back in September of 2018. BTCUSD so far has shown no reversal sign. Price could easily fall towards $5,000 if price gets rejected at the upper wedge boundary. The 61.8% Fibonacci retracement is a Fibonacci level that we usually witness trend reversals. Will the same happen in BTCUSD?Will we see another strong 1st semester? Bulls must recapture $7,900 first and then $10,000 in order to regain control of the trend.

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USDCAD challenges major support

USDCAD remains in a bearish trend. Price has reached the lower triangle boundary of 1.3070 and it is imperative for bulls to step in and react now. Price is at major technical support level and moving lower will worsen the longer-term view for USDCAD.

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Blue lines - long-term channel

Red line - major resistance trend line

Black line -upper triangle boundary

Green line - lower triangle boundary

USDCAD is at the verge of exiting the long-term bullish channel. Price has been rejected several times at the upper triangle boundary and has so far been unable to challenge the red resistance trend line. This puts the long-term bullish channel in danger. This could imply a bearish 2020 for USDCAD as price remains below 1.33. Breaking below 1.30 will be a bearish sign that could push price towards 1.27 or lower. Short-term traders should be looking at the bullish opportunities now as price is very close to critical support and a bounce is highly probable.

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Ichimoku cloud indicator short-term analysis of Gold for December 30, 2019

Gold price has given several bullish signals but bulls need to be cautious. Usually after such cloud break outs we have a back test. If this back test unfolds as usually, we should not be surprised to see Gold price retest $1,500-$1,490.

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Red line - resistance (broken)

Green line - support

Gold price is short-term overbought. Price justifies a pull back towards the cloud support or at least the tenkan-sen (red line indicator). The expected pull back should reach the $1,500-$1,490 area. Bouncing off that area would be another bullish sign. At current level I prefer not to add to long positions and chase the price. Patience is needed for traders to wait for a pull back. Trend is bullish as long as price is above the cloud.

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EURUSD in short-term bullish trend to end the 4th quarter with a positive note

EURUSD is bouncing higher recapturing key short-term and medium-term resistance levels. Price is making higher highs and higher lows bringing hope to bulls for a strong start for 2020. EURUSD has managed to break above October highs.

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Red rectangle- resistance

Blue rectangle -support

EURUSD has managed to hold above the blue support area and to produce a higher low that has lead to a higher high. The RSI is confirming this high. This means that our initial target of 1.1280 has high chances of being met. Trend is bullish. Support is at 1.11-1.1070. Short-term trend remains bullish as long as we are above that area. Resistance is now found at 1.1280. Holding above 1.12 is crucial for bulls. The end of the year will most probably find EURUSD at the highest level of the last quarter, giving hopes for more upside for the 1st quarter of 2020.

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Technical analysis of GBP/USD for December 30, 2019

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Overview:

The GBP/USD pair set above strong support at the level of 1.2904, which coincides with the double bottom in the H4 time frame. This support has been rejected for four times confirming uptrend veracity.

Due to the upcoming New Year's holidays of 2020, the trading working hours of many major financial centers was changed, which affected the trading of the GBP/USD pair notably, because the market was not stable and the trend was not clear.

Hence, major support is seen at the level of 1.2904 because the trend is still showing strength above it.

Accordingly, the pair is still in the uptrend from the area of 1.2904 and 1.3070. The GBP/USD pair is moving in a bullish trend from the last support line of 1.2904 towards the first resistance level at 1.3137 in order to test it. The point of 1.3137 is coincided with the weekly pivot point at the same chart.

This is confirmed by the RSI indicator signaling that we are still in the bullish trending market. Now, the pair is likely to begin an ascending movement to the point of 1.3137 and further to the level of 1.3281 in cmoing hours.

The level of 1.3281 acted as second resistance and the double top had already set at the point of 1.3514. At the same time, if a breakout happens at the support level of 1.2904, then this scenario may be invalidated. But in overall, we still prefer the bullish scenario.

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Technical analysis of ETH/USD for 30/12/2019:

Crypto Industry News:

Ethereum co-founder Vitalik Buterin has recently published an alternative proposal for an early transition to Ethereum 2.0.

In a post from December 23 at the ETH Research forum, Buterin defined an "accelerated schedule" for the transition from Ethereum 1.0 to Ethereum 2.0 through a new type of ETH validator called "eth1-friendly validators". According to Vitalik, this new alternative proposal will require less "re-analysis" on the web.

"In particular, it requires stateless clients, but does NOT require stateless miners and networking, and therefore requires much less re-analysis to achieve this," he writes.

At the same time, Vitalik noticed that the proposed alternative transition would still be possible using a procedure similar to the previously described transition to Ethereum 2.0.

Ethereum 2.0 is an important network update in the Ethereum Blockchain that was designed to transfer the current Proof-of-Work consensus algorithm to Proof-of-Stake. As soon as the Ethereum chain transforms into a PoS consensus, block validation will be passed from miners to special network validators.

The first stage of the Ethereum transition to Ethereum 2.0 is to take place on January 3, 2020. According to Vitalik's new alternative proposal, eth1-friendly validators can be expected to maintain both the old Ethereum 1.0 node and the Ethereum 2.0 navigation chain.

Technical Market Overview:

The ETH/USD pair has been seen rallying higher towards the technical resistance located at the level of $136.98 but did not quite break through it yet. The high was made at the level of $136.64 and the candle that was used to make this high looks like a Pin Bar candlestick pattern. The bulls have temporary control of the market, but it might not last for long as the price is getting closer to the key technical resistance area. Nevertheless, it is worth to keep an eye on the current developments of the Ethereum market.

Weekly Pivot Points:

WR3 - $156.40

WR2 - $145.89

WR1 - $141.32

Weekly Pivot Point - $130.81

WS1 - $125.47

WS2 - $114.97

WS3 - $109.88

Trading Recommendations:

The best strategy in the current market conditions is to trade with the larger timeframe trend, which is down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the downtrend. When the wave 2 corrective cycles are completed, the market might will ready for another wave up.

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Technical analysis of BTC/USD for 30/12/2019:

Crypto Industry News:

The Uzbek government has banned its citizens from buying cryptocurrencies. According to a local information point, the National Project Management Agency has banned citizens from buying cryptocurrencies, even on existing exchanges.

This decision is a surprise to many, because the country has previously shown relative gentleness against digital currencies. In September 2018, the government of the country signed a memorandum of understanding to regulate and establish a license for cryptographic exchanges, mining operations and ICOs. In the same month, Uzbekistan's president Shavkat Mirziyoyev ordered the creation of the state blockchain development fund called "Digital Trust". Last July, he also signed a decree on the development and integration of Blockchain technology with the country's public administration.

While the new regulation prohibits citizens from buying or selling cryptocurrencies, it gives some limited commercial rights to existing cryptocurrency owners.

Owners who are citizens of Uzbekistan can sell their current investments on two licensed exchanges after completing Know Your Customer procedures to avoid the possibility of money laundering. As for cryptographic assets whose origin cannot be proved, transferring or holding them in the country was considered illegal.

The Finance Magnates report notes that this right may prove ineffective given that citizens can use a virtual private network - or VPN - to bypass the ban and access foreign cryptocurrency trading platforms.

Technical Market Overview:

The BTC/USD pair has been trading inside of a tight range during the weekend. The range is located between the levels of $7,461 - $7,195 and at the top of this range another Pin Bar candlestick pattern has been made, which might indicate a possibility of a wave down. The key technical resistance is still located at the level of $7,601, so any rally higher must break through this level. On the other hand, the key technical support is seen at the level of $6,938.

Weekly Pivot Points:

WR3 - $8,243

WR2 - $7,942

WR1 - $7,641

Weekly Pivot Point - $7,288

WS1 - $6,995

WS2 - $6,660

WS3 - $6,345

Trading Recommendations:

The best strategy in the current market conditions is to trade with the larger timeframe trend, which is still down. All the shorter timeframe moves are still being treated as a counter-trend correction inside of the uptrend. When the wave 2 corrective cycles are completed, the market might will ready for another impulsive wave up of a higher degree and uptrend continuation.

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Technical analysis of GBP/USD for 30/12/2019:

Technical Market Overview:

The GBP/USD pair has broken out form the short-term channel around the level of 1.3025 and is rallying towards the 38% of the Fibonacci retracement located at the level of 1.3137. Currently, the market is trading inside of a narrow resistance zone located between the levels of 1.3101 - 1.3131, so any breakout higher will directly expose the Fibonacci retracement. Please notice, the strong and positive momentum which is behind the move up, but please notice as well the overbought market conditions that may lead to the corrective cycle. The nearest technical support is located at the level of 1.3012.

Weekly Pivot Points:

WR3 - 1.3395

WR2 - 1.3256

WR1 - 1.3182

Weekly Pivot Point - 1.3041

WS1 - 1.2971

WS2 - 1.2819

WS3 - 1.2756

Trading Recommendations:

The best strategy for current market conditions is to trade with the larger timeframe trend, which is up. All downward moves will be treated as local corrections in the uptrend. In order to reverse the trend from up to down, the key level for bulls is seen at 1.2756 and it must be clearly violated. The key long-term technical support is seen at the level of 1.2231 - 1.2224 and the key long-term technical resistance is located at the level of 1.3509.

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Technical analysis of EUR/USD for 30/12/2019:

Technical Market Overview:

After the deep retracement to the level of 61% Fibonacci located at 1.1065 the EUR/USD pair has been rallying towards the swing high located at the level of 1.1199. This high has been violated and a new local high was made at the level of 1.1210. Please notice, the bulls are now testing the short-term trendline resistance from below as well as the level of 1.1210 is very close to this line. Moreover, the rally might be terminated soon, despite the strong and positive momentum, the market is in the overbought conditions. The nearest technical support is seen at the level of 1.1174 and the next technical resistance is located at the level of 1.1232.Although the higher timeframes trend remains bearish, the global investors must take into account, that the EUR/USD might be finally breaking up from the multi-month Ending Diagonal pattern.

Weekly Pivot Points:

WR3 - 1.1349

WR2 - 1.1265

WR1 - 1.1228

Weekly Pivot - 1.1151

WS1 - 1.1114

WS2 - 1.1029

WS3 - 1.0994

Trading Recommendations:

The best strategy for current market conditions is to trade with the larger timeframe trend, which is down. All upward moves will be treated as local corrections in the downtrend. The downtrend is valid as long as it is terminated or the level of 1.1445 clearly violated. There is an Ending Diagonal price pattern visible on the larget timeframes that indicate a possible downtrend termination soon. The key short-term levels are technical support at the level of 1.1040 and the technical resistance at the level of 1.1267.

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EUR/USD approaching resistance, potential drop!

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Trading Recommendation

Entry: 1.11104

Reason for Entry:

Horizontal overlap resistance, 38.2% Fibonacci retracement, 78.6% Fibonacci extension

Take Profit : 1.10667

Reason for Take Profit: horizontal swing low support, 61.8% Fibonacci retracement

Stop Loss: 1.11541

Reason for Stop loss:

Horizontal swing high resistance, 61.8% Fibonacci retracement

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GBP/JPY approaching resistance, potential drop!

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Trading Recommendation

Entry: 142.875

Reason for Entry: breakout level

Take Profit : 1.27253

Reason for Take Profit:

38.2% Fibonacci retracement, horizontal swing low support

Stop Loss: 144.223

Reason for Stop loss:

Horizontal swing high resistance, 61.8% Fibonacci retracement

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USD/CAD testing support. Bounce expected!

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Trading Recommendation

Entry: 1.30567

Reason for Entry: Long term horizontal swing low

Take Profit : 1.30967

Reason for Take Profit: 23.6% Fibonacci retracement

Stop Loss: 1.30332

Reason for Stop loss:

-27.2% Fibonacci Retracement

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Technical analysis: Important Intraday Levels For EUR/USD, December 30, 2019

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When the European market opens, some economic data will be released such as Italian 10-y Bond Auction and Spanish Flash CPI y/y. The US will also publish the economic data such as Pending Home Sales m/m, Chicago PMI, Prelim Wholesale Inventories m/m, and Goods Trade Balance, so amid the reports, the EUR/USD pair will move with low to medium volatility during this day. TODAY'S TECHNICAL LEVELS: Breakout BUY Level: 1.1244. Strong Resistance: 1.1237. Original Resistance: 1.1226. Inner Sell Area: 1.1215. Target Inner Area: 1.1187. Inner Buy Area: 1.1159. Original Support: 1.1148. Strong Support: 1.1137. Breakout SELL Level: 1.1130. (Disclaimer)The material has been provided by InstaForex Company - www.instaforex.com

Technical analysis: Important Intraday Levels for USD/JPY, December 30, 2019

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In Asia, Japan will not release any economic data today, while the US will publish some economic reports such as Pending Home Sales m/m, Chicago PMI, Prelim Wholesale Inventories m/m, and Goods Trade Balance. So there is a probability the USD/JPY pair will move with low to medium volatility during this day.

TODAY'S TECHNICAL LEVELS:

Resistance.3 : 110.79.

Resistance. 2: 109.57.

Resistance. 1: 109.33.

Support. 1: 109.13.

Support. 2: 108.89.

Support. 3: 108.67.

(Disclaimer)

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