In the previous technical analysis of this currency pair dated 17.09.2012, according to the technical signs there was the possibility of descending of price which finally happened. The price by reaching to the descending trend line has been stopped from more ascend and made the Shooting Star candle pattern and this shows the first warning for descending of the price.
The price in it descending trend eliminated the ascending trend line, which is drawn with two supportive bottoms in the picture below, with descending powerful candle, and this shows power of buyers. The price in its recent downfall, tried to reach to the supportive levels which are drawn in the picture below. According to the condition of this currency pair, there is no clear reason for ascend. There is formation of recursive candle patterns or one ascending candle in daily chart which is the least acceptable sign for price reformation.
EUR/USD during the recent ascend goes further from the bottom price of 1.20389 to the 1.31712 level, and with the formation of the Evening star candle pattern in 14th and 18th days , there is an important warning for descend and price formation which finally happened . The price by reaching to the conversion line during it’s descend has been stopped and made the bottom price on this line.
This conversion line is made of four resistance peak and after breaking converted to a supportive line which affects the price. In monthly intervals of this currency pair, according to the formed signs, there is the potential for ascending of the price during the next months. Stoch indicator in daily time frame warns the possibility of ascending of the price according to the next cycle. Generally until the formed supportive bottom is on the level of 1.28021, the price has the potential of ascending till the level of 1.29690 and 1.31000 in the second stage.
AUD/JPY during descend from the top price of 83.076, by reaching to the ascending trend line has been stopped. As it is obvious in the picture below, the price in daily time frame is surrounded by ascending and descending trend line and that effect on the price. The price has made the bottom price on ascending trend line (fourth point) which with the formation of Hammer candlestick pattern, this bottom price is confirmed.
And the formation of the long lower shadow on ascending trend line indicates the failure of the sellers for reaching to the lower price. Stoch indicator in daily time frame is in saturation sell area (and also in divergence mode with the price) warns the possibility of ascending of the price according to the next cycle during the next days. In 4H time frame of this currency pair, the price by reaching to the descending trend line has been stopped and has made the top price on the level of 80.635 and Stoch indicators confirms this matter and shows the possibility of decrease and descend of the price. The first warning for increase and ascend of price is the formation of a bottom price in 4H time frame and the most important warning is , breaking of the descending trend line and closing of ascending candles on this line.
The price of gold has increased and it has gone up to its important resistance range by making the supportive bottom of 1526.85 on determined supportive levels in the picture below. Right now the price of gold has been stopped by reaching to its resistance range which is made of 1804.62 and 1790.99 levels and has made a top price in 1795.66 level.
Right now the price is in Divergence mode with the RSI indicator and this shows the possibility of a price decrease during the next days. In weekly time frame, the price by making a sort of candles (for example Doji) shows that gold is on a top price, and warns about being of gold in a peak price. Stoch indicator is in saturation sell area in this time frame and shows the possibility of decrease and descends of the price according to the next cycle. Generally until the top price of 1795.66 is preserved, the price has the potential to descend.
As it was mentioned in the previous analysis of this currency pair dated 03.10.2012, the price continued its descending and finally have reached to the supportive level. Right now the price has been stopped by reaching to the supportive region and has recorded the bottom price of 1.06230 by making the ascending candle which is obvious in the picture below.
Closing of ascending candle in 18th shows temporary failure of the sellers in reaching to the lower price but it doesn’t cause they stop their sell because in weekly time frame of this currency pair there is no clear sign for ascending of the price. From the top price of 1.06230 till the bottom price of 1.01474, there is AB=CD harmonic pattern with the ideal ratios of 50 to 200 which there is a warning for ascending of the price with the completion of D point in this pattern. Stoch indicator is in saturation sell area and shows the possibility of ascend according to the next cycle during the next days. Generally until the bottom price of 1.01474 is preserved, the price has the potential to ascend in this currency pair.
USD/CHF started to ascend from the bottom price of 0.92368 and right now have reached to the descending trend line which is drawn in daily time frame. This descending trend line is made of three peak prices and it is an obstacle for ascending of the price as it is obvious in the picture below. According to the formation of the bottom price on the 5th day and its record on the level of 0.92757, the field for breaking this trend line has been provided.
Closing of ascending candle at the end of the day is the first warning for more ascend in this currency pair. Stoch indicator is in saturation sell area and shows the possibility of ascend according to the next cycle in daily and weekly time frames.
The price of GBP/ USD dated 21.09.2012 on the level of 1.63083 stopped ascending by making three peak prices and started a downfall. Right now the price ascends by making and recording the bottom price on the level of 1.59759. In daily time frame this currency pair on the 10th day by the formation of candle with small body and long shadows shows the preparation of market for changing of trend direction.In 4H time frame as it is obvious in the picture below , there is AB=CD harmonic pattern with the 61.8 and 161.8 ratio which the D point in this pattern shows the completion and warns the ascend of price.RSE indicator is in divergence mode with the price and shows the possibility of ascending of price. Generally until the bottom price of 1.59759 is preserved, the price has the potential to ascend.
EUR/AUD by making a top price starts to descend on 8th day. Right now this currency pair has been stopped by reaching to the determined supportive region in the chart below and the sellers could not reach to the lower prices. In daily time frame on 11th day, a hammer candle pattern is made on the ascending trend line (the fourth point on ascending trend line) which warns about the formation of a bottom price and the end of descending.As it is obvious in the picture below, right now the conversion level (from resistance to supportive) supports the bottom price on the level of 1.25032. This bottom price is on the Fibonacci level of 23.6 (from 1.16013 to 1.28204 levels) and there is the possibility of starting a price reformation on this level. Generally according to the daily time frame the descending trend has been stopped and a bottom price has been made and until the supportive level of 1.25032 is preserved, the price has the potential to increase and ascend in this currency pair.
USD/CAD from the start of previous week was in a neutral trend and didn’t have a powerful movement and it swings in the range of 90 pips. Right now the price is in the descending channel in daily time frame which has shown in several cases the correct operation. When the price for the first time reaches to descending trend line channel is not able to pass through it and eventually was forced to drop but this downfall was temporary and small.
Right now in this currency pair there is a bottom price on the level of 0.97346 and the price for several times tends to be in descending trend line. Now the most important resistance level in front of the is descending trend line and closing of ascending candles on this line is the first warning for more ascend in this currency pair. Generally until the price is in this descending channel, there is the possibility of touching the bottom price of 0.97346 and breaking of it.
USD/JPY by making the bottom price on the level of 77.934 and fixing of it by the ascending candles have gone toward the descending trend line and have broken that . This descending trend line (short term descending trend line in the picture below) nicely has avoided the price ascending Twice till now but finally for the third time by the pressure of buyers purchase is removed.As it is obvious in the picture below, with the formation of third point of ascending trend line (The long lower shadow in the formation of this point indicates the importance and consideration of the traders to this level) prepared the field for increasing of the price in this currency pair and breaking of descending trend line. Stoch indicator in daily time frame shows the possibility of ascends and increases of the price in the next candles according to the next cycle. Generally by breaking of descending trend line, there is a warning for more ascend in this currency pair and the most important price aim and next resistance level for the buyers is long term descending trend line which is made of three peak prices.
