Technical Analysis from www.Instaforex.com

[BudakFx]

The EUR/USD technical analysis and trading recommendations for November 2 2010-11-02​

4-hour timeframe



Overview:
Fresh buy signal with the target at 1.4188 has been formed. The Bollinger Bands are diverging and directed upwards, indicating the beginning of new uprising movement. The signal is strong and confirmed, as the price is above the Ishimoku Cloud and the Chinkou Span has recently fixated above the price chart. The first resistance level of 1.4105 is a target for uptrend. In case this level is reached and the price fixates above it the next target will be 1.4188. Otherwise, the correction will start. At present, it can be said that the correction ended and upwards movement resumed. The critical level for the current upwards motion is the level of 1.3870 (Kidjun-Sen), bellow which the buy signal will weaken. The Chinkou Span is above the price graph, thus confirming the current buy signal. The Bollinger Bands show the beginning of the uptrend, the lines are converging and directed upwards. The MACD is ascending, thus indicating the uptrend.

Trading recommendations:
Currently, it is recommended to trade up with the target at 1.4105. The stop loss is set below 1.3870.

In addition to technical image, one should take into account the fundamental data and the time of their release.

The chart annotation:
Ishimoku indicator:
Tenkan-sen — red line
Kijun-Sen — blue line
Senkou Span A — light brown stipple line
Senkou Span B — light purple stipple line
Chinkou Span — green line
Bollinger Bands indicator:
3 yellow lines
MACD indicator:
The red line and the histogram with the white bars in the indicators window.




Performed by Stanislav Polyanskiy, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

Copper Review for 01/11/2010 2010-11-02​

Copper futures rose sharply on Monday amid the Chinese data release which is the major metal consumer approving the production activity rise in the country.

By the end of the deals on COMEX the December copper contract ticked up by 7.55 cents or by 2% to 3.8090 dollar per pound..
The production activity in China and India continued rising in October. According to the report the purchasing managers index of China reached 54.7 in October from 53.8 a month earlier. The PMI calculated by HSBC advanced to 54.8 from 52.9, that comes as a sharpest hike from 2004.

Meantime, the PMI of HSBC India rose to 57.2 from 55.1.
The production activity report is an important factor for the copper market widely used in the industry.

The copper prices have quick senses to the Chinese findings where industrialization is accompanied by the urbanization growing that makes the country the main consumer of this metal.
Another confirmation of the copper demand uprise is the reserves data on LME which fell by 925 tones on Monday and now at 367, 575 tones. On COMEX the metal reserves dropped by 153 tones to 75,100.




Performed by Vladimir Donin, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

The candlestick analysis of the AUD/USD 2010-11-02​

The AUD/USD pair again test the mark of 1.00. In case this resistance level is broken through the uprising movement to 1.05 is expected.
Earlier on a weekly graph the AUD/USD has formed the combination of candlesticks Bullish Engulfing that indicates the upwards motion.
The upwards tendency is supported by the fact that this combination of candlesticks emerged on the uptrend after a rebound from the support level of 0.8066, as well as from the Fibonacci correction level 38.2, where the bears did not fixate and the bulls started to increase their influence.
This combination of candlestick shows that the currency pair was declining after the failed attempt to break out the resistance level of 0.9394. Nevertheless, having come closer to 0.8066 the pair reversed.
The fact that the AUD/USD has successfully breached the mark of 0.8855 confirms this point of view.
On the other hand, the long positions should be closed if the support level of 0.9400 is broken through, as it will lead to decline to 0.8765.




Performed by Vladimir Donin, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

The candlesticks analysis of the EUR/USD for November 02, 2010 2010-11-02​

At 4-hour chart, the EUR/USD currency pair shows the sideways movement. However, the viewpoint on the currency pair remains bearish. As it was mentioned before, the breakout of support level of 1.3696 will lead to the downwards movement with the target at 1.3382, where the Fibonacci correction level 50.0 is placed.
Earlier on a 4-hour graph, the EUR/USD has formed Shooting Star candlestick, which is a bearish signal.
This candlestick emerged on the uptrend. However, the bears started to increase their influence and a rollback took place near January 2010 low.
The breakout of Fibonacci correction level 23.6 and support level of 1.3777 denotes the breakout of the uptrend and confirms this viewpoint.
The downside motion is also confirmed by the fact that the EUR/USD has formed the combination of candlesticks Dark Cloud Cover on a daily chart.
Moreover, a pattern “Head-And-Shoulders” is, probably, forming on 4-hour graph. The breakthrough of the “neckline” will confirm this fact.
In case the resistance level of 1.4080 is breached, the short positions should be cut, since it will lead to increase to 1.4157.



Performed by Vladimir Donin, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

The US stock market review for November 01, 2010 2010-11-02​

On Monday, the US stock indices showed the slight growth ahead of midterm elections in the USA and Federal Reserve System decision. The Dow Jones Industrail Average closed up by 6.13 points, or by 0.06%, at 11124.62. The Nasdaq Composite closed down by 2.57 points, or by 0.10%, at 2504.84. The Standard & Poor’s 500 hiked by 1.12 points, or by 0.09%, to 1184.38.
The shares of Kraft Foods showed the worst result, having dropped by 49 cents, or by 1.5%, to $31.58. Chevron securities decreased by $1.15 to $81.45. The shares of technology companies grew after the Semiconductor Industry Association reported the increase in world sales of microchip by 2.9% in September compared to the previous month.
Intel stocks surged by 52 cents, or by 2.6%, to $20.57, the shares of Hewlett-Packard rose in price by 45 cents to $42.49. The trader’s attention is caught by the midterm elections in the USA on Tuesday and Federal Open Market Committee decision on Wednesday. The fund market was showing the positive dynamics since the beginning of September amid the expectations regarding whether the FRS is going to resume the bonds purchase for the priming of economy. Investors say that they would not be surprised to see the decline after elections and FRS meeting, taking into account the steady increase of the shares since September amid the strengthening of market participants’ optimism. On Monday, the shares grew against the positive data on the production industry of the USA and China, and data that testified about the unexpected growth of construction expenses in the USA.




Performed by Vladimir Donin, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

The technical analysis of the USD/CAD for 02/11/2010 2010-11-02​

Support levels: 1.0075, 0.9980, 0.9930
Resistance levels: 1.0385, 1.0511, 1.0680

At 4-hour graph the USD/CAD currency pair has successfully broke through the support level of 1.0160. Now the decline to 1.0075 with the next target at 0.9980 should be expected. However, if the mark of 1.0075 is not breached, then the rebound upwards and further consolidation are expectable.
If the USD/CAD reverses, then the breakout of 1.0385 will mean that the rollback from 1.0680 is over and further advance should be taken into account. The divergence on the MACD and RSI on 4-hour chart comes in favor of this situation.
In a midterm the consolidation from 1.0855 has not finished yet and another low is awaited. Nevertheless, in case of the reversal, the breakthrough of 1.0680 will confirm the end of consolidation and that the downtrend from 1.3063 is breached. In this case it is expected that the USD/CAD will move upwards to the Fibonacci correction level 38.2 from 1.3063 to 0.9929 at 1.1126 with the next target at Fibonacci correction level 61.8 at 1.1866.




Performed by Vladimir Donin, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

EUR/USD Technical Analysis. Support And Resistance Levels For November 02, 2010 2010-11-02​

Breakout Buy level : 1.3976.
Strong Resistance : 1.3968.
Original Resistance : 1.3955.
Inner Sell Area : 1.3942.
Target Inner Area : 1.3909.
Inner Buy Area : 1.3876.
Original Support : 1.3863.
Strong Support : 1.3850.
Breakout Sell level : 1.3841

It seems the EUR/USD pair is already trapped between 1.4000 to 1.3875 levels; today this pair will probably try to test 1.4000 level, but at first it should reach the mark of 1.3975. However, in case today this pair closes below 1.3807 level, it can be assumed that the pair will move downside with the first target at 1.3750 and second target at 1.3625. If the EUR/USD can reach the level of 1.4000, then it has to break out the mark of 1.4025 before it moves to the target. 1 at 1.4075 and the target. 2 at 1.4225.



Performed by Arief Makmur, Analytical expert
InstaForex Companies Group © 2007-2010

 

[BudakFx]

USD/JPY Technical Analysis. Support And Resistance Levels For November 02, 2010 2010-11-02​

Resistance. 3 : 81.07
Resistance. 2 : 80.92.
Resistance. 1 : 80.77.
Support. 1 : 80.58.
Support. 2 : 80.43.
Support. 3 : 80.28.

Today the USD/JPY must reach the level of 80.00, otherwise the Bearish momentum for this pair will be lost and the pair will be trapped between 80.75 to 80.25 level areas. If today the USD/JPY can reach the level of 80.25, then the pair probably will move to 80.00; but before it reaches that level, this pair will face today Support. 3 at 80.28. Usually, if the USD/JPY hits the Support. 3 it reverses up approximately between 10 pips to 20 pips. On the other hand, in case today this pair can move upward to the Resistance. 3 (81.07), then the USD/JPY will reverse approximately between 10 pips to 20 pips.



Performed by Arief Makmur, Analytical expert
InstaForex Companies Group © 2007-2010

 

[fitrueno]

USD/JPY Technical Analysis. Support And Resistance Levels For November 02, 2010 2010-11-02​

Resistance. 3 : 81.07
Resistance. 2 : 80.92.
Resistance. 1 : 80.77.
Support. 1 : 80.58.
Support. 2 : 80.43.
Support. 3 : 80.28.

Today the USD/JPY must reach the level of 80.00, otherwise the Bearish momentum for this pair will be lost and the pair will be trapped between 80.75 to 80.25 level areas. If today the USD/JPY can reach the level of 80.25, then the pair probably will move to 80.00; but before it reaches that level, this pair will face today Support. 3 at 80.28. Usually, if the USD/JPY hits the Support. 3 it reverses up approximately between 10 pips to 20 pips. On the other hand, in case today this pair can move upward to the Resistance. 3 (81.07), then the USD/JPY will reverse approximately between 10 pips to 20 pips.



Performed by Arief Makmur, Analytical expert
InstaForex Companies Group © 2007-2010

terbaekkkk

 

[BudakFx]

The market manipulations analysis of the GBP/USD by Alexey Portnov for 03/11/2010 2010-11-03​

The pound could not overcome the 9-month high, as the price started to correct. Presently, the price is in the wide trading range, thus denoting the uncertainty ahead of the FOMC meeting. The further movement out of the range will correspond to its breakout, and the motion within the range depends on the level of average prices (1.6025), the fixation above which provides advantages to one of the market sides.
Trading recommendations:
-stay outside of the market




Performed by Alexey Portnov, Analytical expert
InstaForex Companies Group © 2007-2010