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Monday, May 14, 2018

Daily analysis of major pairs for May 14, 2018


Daily analysis of USD/CHF for May 14, 2018


USD/CHF
In the context of an uptrend the USD/CHF went sideways last week, ranging between the resistance level at 1.0000 (previously a support level) and the resistance level at 1.0050. Eventually, price closed below the resistance level at 1.0000 on Friday, and it may even test the support levels at 0.9950 and 0.9900.

There is a Bullish Confirmation Pattern in the 4-hour chart, which shows the possibility of further upwards movement. However, price would rise again, possibly reaching the resistance level at 1.0000 and breaching it to the upside. 



Daily analysis of USD/JPY for May 14, 2018

USD/JPY
The bias on the USD/JPY is bullish – and the trend is still in a precarious position. Price did not go in a strong directional movement last week. It only oscillated between the demand level at 109.00 and the supply level at 110.00.

A breach above the supply level at 110.00 is anticipated this week, although bulls may not be able to enjoy that victory for a long time, because there is a possibility of a fall back towards the demand level at 109.00. There is currently a Bullish Confirmation Pattern in the market, which is, though, weak.

Daily analysis of EUR/JPY for May 14, 2018

EUR/JPY           


In a bearish outlook, the EUR/JPY trended downwards on Monday and Tuesday, and then started to make a rally effort. It managed to close above the demand zone at 130.50 on Friday, in the context of a downtrend. It is much more likely that the rally would end up proffering a clean opportunity to go short in the market at strategic supply zones.


There is a Bearish Confirmation Pattern in the market. Unless the Euro gets strengthened considerably, there might be a reversal in favor of bears, which would enable the market to target the demand zones at 130.50, 130.00 and 129.50.

Performed by Azeez Mustapha,
Analytical expert
InstaForex Companies Group

                                                                                                                    


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