EUR/USD: The last two weeks were characterized by the strongest movement on the EUR/USD in this year. From the support line at 1.1050, the price skyrocketed and peaked at the resistance line of 1.1700 (within a few days). From that peak, the price has been corrected by over 520 pips. This correction has been serious enough to result in a bearish signal in the market, which means that the support line at 1.1100 might be tested easily this week.
USD/CHF: In the last two weeks, USD/CHF underwent its second strongest movement so far in the year (apart from the incident that happened on CHF pairs on January 15, 2015). From the resistance level at 0.9750, the price fell by 500 pips before being corrected upwards by 350 pips. This significant correction has violated the recent bearish outlook – resulting in a “buy” signal in the market. A movement above the resistance level at 0.9700 would particularly result in a Bullish Confirmation Pattern in the market.
GBP/USD: The adamant bulls gave up their persistent struggle last week as the Cable yielded to gravity. Since the price managed to test the distribution territory at 1.5800, the price has nosedived by 450 pips, testing the accumulation territory at 1.5350. The market could go further south in this week, as the bias on it is now bearish.
USD/JPY: The last two weeks were characterized by the strongest movement in this year on the USD/JPY. From the supply level at 124.50, price dipped by 800 pips, going briefly below the demand level at 116.50. The price has gone upwards by 500 pips since then, and a further northward movement of 100 pips this week would result in a bullish outlook.
EUR/JPY: Because the Yen is strong, the Euro has fallen against it – just as the Euro is now being corrected lower against the USD. This is a volatile market in which the bears are proving stronger. Last week, the price plummeted by 350 pips, testing the demand zone at 135.50. The demand zone has been tested several times and with the ongoing strength in the Yen, it might be breached to the downside this week.
Performed by Azeez Mustapha,
InstaForex Companies Group
What Super Traders Don’t Want You To Know: http://www.advfnbooks.com/books/supertraders/index.html