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Monday, April 2, 2018

Daily analysis of major pairs for April 2, 2018



Daily analysis of USD/CHF for April 2, 2018


USD/CHF
This bias on this currency trading instrument is bullish – but it is currently not a strong bias.  Since testing the support level at 0.9200 (February 16), price has managed to gain about 360 pips. Last week, it managed to stay briefly above the resistance level at 0.9550, after which it closed below it again.

Things will go upward when volatility arises. A rise in the market is expected this week, which would also be fueled by weakness in EURUSD. The resistance levels at 0.9550, 0.9600 and 0.9650 could be reached before the end of the week.




Daily analysis of USD/JPY for April 2, 2018

USD/JPY
The market is expected to go downwards. The trading instrument is bearish in the long-term, and bullish in the short-term. There is a Bullish Confirmation Pattern in the market, at least on a short-term basis.  Price rose 220 pips last week, to test the supply level at 107.00, and then retraced below the supply level at 106.50.

The supply level at 107.00 has thus become a major barrier for any bullish effort, as price goes downwards towards the demand levels at 106.00, 105.50 and 105.00.  The outlook on JPY pairs is bearish for this week, and for this month, which means long trades are not recommended (except in a very short-term context). There will be great volatility on JPY pairs, which would most probably favor bears.

Daily analysis of EUR/JPY for April 2, 2018

EUR/JPY
The EUR/JPY is bearish in the long-term, and rather neutral in the short-term. Price is currently choppy as things are now in a range. There is a supply zone at 132.00 and a demand zone at 130.00.

As long as price saunters between these two zones, the short-term neutrality will hold. There is a higher probability that price will go southwards (in agreement with the long-term outlook) when a breakout does occur. There is still a Bearish Confirmation Pattern in the market, and that would become more important as price goes further downwards, reaching other demand zones.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group

                                                                                                                    


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