EUR/USD: The bullish signal on the EUR/USD pair is still
intact. The EMA 11 is above the EMA 56 and the Williams’ % Range period 20 is
not too far from the overbought region. This means there is a Bullish
Confirmation Pattern in the market: the outlook is bullish.
pair traded lower this week but the bullish bias is not yet over. This means
that the resistance levels at 0.9800 and 0.9850 could be attained today or next
week. Only a movement below the support level at 0.9650 would cause a bearish
bias to form.
GBP/USD: The Cable is a choppy as well as a volatile
trading instrument. The price swings generally between the accumulation
territory at 1.5450 and the distribution territory at 1.5650. For a clean
directional bias to be seen, the price must go above the aforementioned
distribution territory or below the accumulation territory. The price must also
stay above the distribution territory or below the accumulation territory –
otherwise things would continue being erratic.
USD/JPY: This market had better be referred to as a
sideways market. This is true when the market is viewed as regards to its pig
picture. Although the dominant bias is bullish, the price has not gone upwards
significantly within the last several weeks. Therefore, it would be advised
that swing and position traders stay away from this market. The market is
currently great for day traders and scalpers only.
EUR/JPY: The EUR/JPY pair has continued to go upwards, now
moving above the demand zone at 138.50. The next target is at the supply zones
at 139.00 and 139.50; but there is a need for strong buying pressures for the
price to reach the supply zones.
The material has been provided by InstaForex Company – www.instaforex.com