This currency trading instrument trended seriously southward this week testing the demand level of 120.50. There has been an upward bounce of about 100 pips since the demand level was tested, but unless the supply level at 123.50 is overcome, a short-selling opportunity would be seen there.
The bias is currently bearish. The EMA 11 is below the EMA 56, and the RSI period 14 is below the level of 50. Further downward movement is expected in the market, which would take the price towards the demand zone at 133.00. However, the adamant demand zone at 133.50 should be breached first.
The bias is currently bearish. The EMA 11 is below the EMA 56, and the RSI period 14 is below the level of 50. Further downward movement is expected in the market, which would take the price towards the demand zone at 133.00. However, the adamant demand zone at 133.50 should be breached first.
This pair nosedived by 130 pips on Monday, resulting in an existing Bearish Confirmation Pattern in the market. The support line at 1.1000 is currently under siege. It risks brakeout to the downside. Should that happen, the next target would be the support line at 1.0950 (which was tested last week). It could be difficult for the price to close below that support line.
It would normally be expected that the USD/CHF pair shall go in direction opposite to EUR/USD (hence the rally on Monday). However, the resistance level at 0.9500 has been reached and it is the level where bulls found it impossible to push the price further northwards last week and the week before the last week. If bulls find that resistance level difficult to be broken this week, a bearish correction is likely to take place.
This currency trading instrument continues to be volatile in the context of a downtrend. The downtrend cannot be over until the distribution territory at 1.5650 is breached to the upside. Until then, any rallies in the market could be short-selling opportunities.
The USD/JPY pair rallied by100 pips on Monday, testing the supply level at 123.50. There is now a 'buy' signal in the market and the price may eventually test the supply level at 124.00. For the bullish signal to continue to be valid the price would also need to test the supply level at 125.00 this week; otherwise the risk of a bearish correction would be high.
The EUR/USD pair has continued to go south reluctantly. Since the beginning of the week, the market has gone down by up to 180 pips. The support line at 1.0950 has already been tested and it could be breached to the downside. The support line is stubborn: it was tested a few weeks ago, but the price could not stay below it. Therefore, a breach of the support line would mean a good accomplishment for the bears (unless the EUR gains enormous stamina). In addition, some fundamental figures are expected today and they could have impact on USD pairs.
It is normal that this pair is going upwards as EUR/USD is going downwards. The duo must go opposite each other in most cases, and as a result, USD/CHF has succeeded in going above the support level at 0.9500. The major obstacle to overcome next is the resistance level at 0.9550.
