The USD/JPY pair trended downwards yesterday, moving below the supply level at 124.50. Unless the supply level is overcome again, the price has the tendency to go further south. So the next target could be the demand levels at 123.50 and 123.00. Some fundamental figures are expected today and they can have a huge impact on the market.
This cross has also moved upwards by over 250 pips this week. Since the price is now above the demand zone at 138.50, it is rational to conclude that the supply zone at 139.00 would soon be attained.
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.
This 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.
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.
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.
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 EUR/USD pair has now become a bull market in the near-term. The price went upwards last week, testing the resistance line at 1.1200. The price could go above the resistance line this week as it is going towards another resistance lines at 1.1250 and 1.1300. These are the targets for the week as the Bullish Confirmation Pattern in the market is clear.
Although this pair went down last week, closing at 0.9758, the recent bullish outlook has not been invalidated. What can invalidate the bullish outlook is an event in which the price closes below the support level at 0.9650. But in case that does not happen, this week can see some commendable bullish attempts, especially if the USD tries to amass lots of stamina.
The bullish effort of the cable has led to a bullish signal on it. However, there is one obstacle to be surmounted - the distribution territory at 1.5650. This distribution territory has flatly rejected sincere bullish efforts for the recent several weeks, and the price needs to close above it if the current bullish signal would continue to make sense. Otherwise, there could be a bearish correction this week.
