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Sunday, December 25, 2016

Daily analysis of major pairs for December 26, 2016

The EUR/JPY went flat throughout last week. However, a closer look at the market reveals that bulls are intent on pushing price higher. So when momentum returns to the market, it might push price towards north. The supply zones at 123.00, 123.50 and 124.00 might be reached soon.

EUR/USD: The EUR/USD went down on Monday and Tuesday, and then began to move upwards slowly from Wednesday. Overall, the bias is bearish, which means that the current bullish attempt is an opportunity to go short at better prices. The support lines at 1.0400 and 1.0350 could still be reached.



USD/CHF: This pair is currently consolidating and it is quite choppy right now. However, the recent outlook is bullish and as long as price is above the psychological level at 1.0000. This is something that may hold for the rest of this year, for further bullish movement is a logical possibility.

GBP/USD: This pair came down 200 pips this week. Now below the distribution territory at 1.2300. There is a Bearish Confirmation Pattern in the chart and the accumulation territories at 1.2250, 1.2200 and 1.1150 before the end of this month. Long trades are not recommended in this market at this period.

USD/JPY: This market has become flat since last week and there is no directional movement in the near term. Right now, it is OK to stay away from the market because there are mixed signals in it – the EMAs 11 and 56 are giving a bullish indication while the RSI period 14 is giving a bearish indication. Soon, the indicators would begin to give signals in the same direction.

EUR/JPY: The EUR/JPY went flat throughout last week. However, a closer look at the market reveals that bulls are intent on pushing price higher. So when momentum returns to the market, it might push price towards north. The supply zones at 123.00, 123.50 and 124.00 might be reached soon.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group



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