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Sunday, October 26, 2014

Daily analysis of major pairs for October 27, 2014

On Friday, October 24, 2014, the USD/JPY closed above the demand level at 108.00; on a bullish note. There is a bullish signal in the market and the price may go upwards this week, reaching the supply level at 109.00. However, any possible pullbacks along the way may be contained at the demand level of 107.50.    

EUR/USD:  Last week, this currency trading instrument closed at 1.2669, on a bullish note. The dominant bias is bearish and therefore, the market may fall further towards the support line at 1.2600. That is the first target for the bears. On the other hand, there could be some attempted rally, which may push the price towards the resistance line at 1.2750.


USD/CHF: This pair is making some attempts to go upwards. The resistance level at 0.9550 has been tested, prior to the current shallow bearish retracement. The price could go further upwards, breaking that resistance level at 0.9550 to the upside, while making more attempts to reach another resistance level at 0.9600.

GBP/USD:  The bias on the Cable is neutral, but the consolidation in the chart is going to the upside. It is much likely that the GBP could gain strength this week, and therefore, the GBPUSD may go further upwards, reaching the distribution territory at 1.6150. By then, there could have been a Bullish Confirmation Pattern in the market.

USD/JPY: On Friday, October 24, 2014, the USD/JPY closed above the demand level at 108.00; on a bullish note. There is a bullish signal in the market and the price may go upwards this week, reaching the supply level at 109.00. However, any possible pullbacks along the way may be contained at the demand level of 107.50.   

EUR/JPY:  There is a ‘buy’ signal on this cross, and the price is expected to go further upwards this week, reaching the supply zone at 138.00. The probability of a further bullish movement is very high, which makes short trades illogical.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group



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