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Sunday, July 5, 2015

Daily analysis of major pairs for July 6, 2015

The USD/JPY is currently a market in which short-term traders and scalpers thrive. There have been short-term swings in the market – as the price oscillates between the supply level at 124.00 and the demand level at 122.00. There is a need for a break above the aforementioned supply level or demand level before there could be a strong directional movement.   

EUR/USD: This is a bear market and it is expected that the price would continue to go further downwards. At least, the price should be able to test the support lines at 1.1000 and 1.0950 this week. Only a movement above the resistance line at 1.1400 could render this expectation invalid. 


USD/CHF: Following the severe bearish plunge that happened on June 29, the USD/CHF has rallied vividly. From the support level at 0.9250, the price has gone upwards by 250 pips, testing the resistance level at 0.9500. There is currently a shallow bearish retracement in the market but the resistance level at 0.9500 could be tested again, and eventually breached to the upside. When the price goes below the support line at 0.9250, then the existing bullish outlook would be rendered useless.

GBP/USD: As forecasted, the GBP/USD broke below the distribution territory at 1.5650, testing the recalcitrant accumulation territory at 1.5600. The recent equilibrium phase is over, and it has resulted in a Bearish Confirmation Pattern. There is a possibility that this is the beginning of a protracted downtrend. 

USD/JPY: The USD/JPY is currently a market in which short-term traders and scalpers thrive. There have been short-term swings in the market – as the price oscillates between the supply level at 124.00 and the demand level at 122.00. There is a need for a break above the aforementioned supply level or demand level before there could be a strong directional movement.

EUR/JPY: The effects on the Euro would also have effects on this currency trading instrument in this week. A significant strength in the Euro would cause the instrument to skyrocket; whereas, any serious weakness in the Euro would cause it to plummet.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group


What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html  

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