EUR/USD: The outlook for this pair is still bullish, though
threatened. The price managed to test the resistance line at 1.1450, before
being corrected to the downside. A downward movement was not strong
enough to render the current bullish outlook invalid, unless the support line
at 1.1200 is breached to the downside.
USD/CHF pair remains under bearish control. As long as the resistance level at 0.9800 is not broken to the
upside, bearishness would be a rational thing. The market is expected to
continue moving downwards this week; coupled with the fact that the resistance
level at 0.9800 is a serious challenge to bulls.
GBP/USD: This pair went 300 pips upwards last week,
rising from the accumulation territory of 1.5350, and reaching the distribution
territory at 1.5650. From that distribution territory, the price has eased by
110 pips. There would be strong volatility in the market this week, for the
price would perform a series of upswings and downswings.
USD/JPY: The USD/JPY pair moved sideways during the last week, without any significant movement to the upside or to the downside. There would be a serious breakout any day this week, which would most probably favor bears. There is the demand level at 119.00 and support is found at 121.50.
EUR/JPY: This cross is highly
volatile with serious struggles between bulls and bears. The
determinant of this week’s movement on the cross is the situation on the EUR
and the JPY – a stronger JPY would cause the cross to tumble and a stronger EUR
could cause it to skyrocket. The outlook on JPY pairs remains bearish, and
therefore, there is a strong probability that the cross would trend downwards.
The material has been provided by InstaForex Company – www.instaforex.com