The EUR/JPY cross went
upwards by 700 pips last week, reaching the supply zone at 118.00. Price got
corrected by 220 pips on Friday, although that has not violated the Bullish
Confirmation Pattern in the 4-hour chart. Price could go upwards from here, but
that does not rule out the possibility of bearish threats.
EUR/USD: This currency trading
instrument went flat throughout last week, without going above the resistance
line at 1.1200, nor going below the support line at 1.1000. A breakout is
imminent this week, which would most probably be in favor of bulls. This means
that the resistance line at 1.1200 could be broken to the upside this week.
USD/CHF: This pair is still
making effort to trend upwards, though it came under a serious challenge on
Wednesday and Thursday. Bulls need to prevent the price from moving below the
support level at 0.9700 – an event that could cause a “sell” signal to form in
the market. There are other two challenges to his pair this week: USD could
become weak and CHF could amass some stamina. All these threats could result in
a “sell” signal this week.
GBP/USD: This pair moved upwards
by 550 pips last week, just like other GBP pairs (GBP/NZD moved upwards by 1100
pips, while GBP/JPY moved upwards by 1300 pips, all in last week). Further
bullish movement is expected this week, which could result in a bullish signal
in case price goes upwards by another 500 pips. However, it would take a long
time before the bias on daily and weekly charts become bullish.
USD/JPY: Contrary to expectation
at the beginning of last week, USD/JPY, just like other JPY pairs, moved upwards
significantly. USD/JPY moved upwards 560 pips last week, getting corrected
lower on Friday. This week, price would either move above the supply level at
106.00, or go below the demand level at 103.00.
EUR/JPY: The EUR/JPY cross went
upwards by 700 pips last week, reaching the supply zone at 118.00. Price got
corrected by 220 pips on Friday, although that has not violated the Bullish
Confirmation Pattern in the 4-hour chart. Price could go upwards from here, but
that does not rule out the possibility of bearish threats.
Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group
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