Adsense

Sunday, August 10, 2014

Daily analysis of major pairs for August 11, 2014

The USD/CHF closed at 0.9055 on Friday (August 8, 2014). This pair is having a serious difficulty breaking the resistance level 0.9100 to the upside. In fact, the price has dropped by about 50 pips since the resistance level was challenged.

EUR/USD:  On this pair, there has been a rally in the context of a downtrend. This gives a clean opportunity for a renewed short trade, which could take the price further south. The price may test the support line at 1.3350 again: it may even break it to the downside and close below it.


USD/CHF: The USD/CHF closed at 0.9055 on Friday (August 8, 2014). This pair is having a serious difficulty breaking the resistance level at 0.9100 to the upside. In fact, the price has dropped by about 50 pips since the resistance level was challenged. The price needs to go upwards again to test the resistance level so as to allow for the continuation of the uptrend. Otherwise, the trend could turn bearish, especially when the price crosses the support level at 0.9000 to the downside and closes below it.

GBP/USD:  The Cable dropped by around 70 pips last week – in spite of some desperate effort by the bulls to push the price upwards. The pushing of the price upwards resulted in a nice short-selling signal, which has now dragged the price below the distribution territory at 1.6800. The next target in the market is at the accumulation territory of 1.6750.

USD/JPY:  Despite the volatility in the market, this currency trading instrument remains bearish. There is a Bearish Confirmation Pattern in the chart, and the price could go further south, till it reaches the demand level at 101.50.

EUR/JPY:  The rally on the EUR/JPY should be transient, especially for the current bearish outlook to be valid. Any movement above the supply zone at 137.50 could render the bearish outlook useless.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group



No comments:

Post a Comment