currency pair broke below the resistance line at 1.2100 at the beginning of
this week. Since then, the price has moved lower, threatening to test the
support line 1.1850. Should the price break that line to the downside, the next
target to be reached would be the support line at 1.1800.
the USD reached parity with the CHF at the support level of 1.0000, the USD/CHF
pair has moved upwards by another 100 pips, hitting the resistance level at
1.0100 (before the price retraced a little lower). With further strength in the
market, the resistance level would be hit again.
Cable fell along the EUR/USD in the continuation of the bearish trend that
started last Friday. The accumulation territory at 1.5200 has already been
tested, followed by the current upwards bounce in the market. That accumulation
territory may be tested again.
USD/JPY: In the
meantime, the Yen has gained serious stamina and bearish movements can be seen
on other JPY pairs – just like the USD/JPY pair. This pair was unable to move
upwards last week and it is now moving downwards gradually this week. The demand
level at 119.00 can soon be attained by the bears.
EUR/JPY: There is now a serious weakness in this
currency trading instrument, resulting in a Bearish Confirmation Pattern in the
market. Since the bearish trend started last Friday, the cross has dived by
over 400 pips, and there is a great possibility that the demand zone at 142.00
would be challenged.
The material has been provided by InstaForex Company – www.instaforex.com