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Sunday, January 5, 2014

Daily analysis of major pairs for January 6, 2014


The EUR/USD was able to reach the forecasted target at 1.3600 on Friday. The outlook for this week is bearish. The price is now trading below the resistance line at 1.3600, going towards the support line at 1.3550.

EUR/USD:  The EUR/USD was able to reach the forecasted target at 1.3600 on Friday. The outlook for this week is bearish. The price is now trading below the resistance line at 1.3600, going towards the support line at 1.3550. It should be noted that the aforementioned resistance line would act as a near-term barrier any bullish threats.


USD/CHF:  The USD/CHF was able to reach the forecasted target at 0.9000 on Friday. The outlook for this week is bullish. The price is now trading above the support level at 0.9000, going towards the resistance level at 0.9100. It should be noted that the aforementioned support level would act as a near-term barrier any bearish threats.

GBP/USD:  It should not be forgotten that it was advised that one should wait for the EMAs to support the new bearish stance on this market. The RSI period 14 has crossed the level 50 to the downside, but it is much safer for the price to go below the accumulation territory of 1.6400 before on switches to a southward position, otherwise this may be a bogus signal.

USD/JPY: What is happening on this currency trading instrument is a little bit surprising. The reality is that both the market and the indicators have gone bullish. Eventually, the price would close above the EMA 56, as the price heads towards the supply level at 105.00, breaks it to the upside and goes towards another supply level at 105.50.

EUR/JPY:  The cross has gone bearish (the EMA 11 has crossed the EMA 56 to the downside, and the RSI period 14 has crossed the level 50 to the downside). The price has tested the demand zone at 142.00 a few times and would soon cross it to the downside.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group

Eye-opening trading lessons: http://www.harriman-house.com/experttraders


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