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[SFX_Official]

Technical analysis of the currency pair EUR/СHF on 17/01/2017. The daily chart

General analysis
Since the end of December the currency pair EUR / CHF went into sideways movement and from that moment it did not leave the corridor 1.0760-1.0680 but wasn`t able to be fixed below it.

At the moment, the price again is approaching to the level of 1.0680 and it will be for the fourth time in the last two months and there is every probability to expect the next rebound from this level.

We expect price is going to 1.0680 and form a rebound from it to the top.
However, intro-day traders have the an opportunity to play short and make profit on sell by entering the market is placing orders with TP at 1.0700. But trade against the general movement is quite risky trading. We recommend you to trade within a day only if you are a pro trader who have a lot of experience. Since this approach you should be able to quickly determine the entry point to the market.

Schedule of Stochastic indicator shows a clear sell signal. The signal line of the indicator is in the neutral zone, however, both lines are directed downwards and creating a downward trend.

Next few days

We recommend opening buy orders after the rebound of the prices from support level 1.0680. In order confirm the signal is necessary to wait a few daily candle closed above the level at the approach to it. The immediate goal to fix the profit will be the level 1.0745.

While trading for a fall to 1.0680 support you recommend to open average lots in the 1-2% of the deposit and placing orders SL and TP at a ratio of 1 to 2.

At a penetration level of price support 1.0680 and fixing prices below it, there is a possibility of another scenario.
The price will continued to decline and then we need to be guided by at least the height of the channel in 90 points and the support 1.0630.

 

[SFX_Official]

The daily chart of EUR/GBP currency pair 19.01.2017.

General analysis
After a substantial decline on Monday 17/01/17 Currency EUR / GBP pair is back in the frame of the price channel 0.8700 - 0.8340 and yesterday's daily candle closed below this level. Movement on Tuesday was about 170 points and was due to the overall growth of the British currency. The price of the British pound was also increased against all major quotations.

So far it is difficult to assert unambiguously about the role of level 0.8700 will it be a significant obstacle for the price for the price or not. But in the case of back-testing of it from the inside of the channel and rebound from it traders will be good reason to play on the slide.

Comparing the Stochastic indicator chart with price graph we can see a clear divergence which was formed last Friday. Such trading signal on the daily chart and with and rising market it is quite strong signal to sell Euro and it cannot be ignored.
Signal lines of Stochastic indicator has been crossed and demonstrates a clear buy signal.

Next few days
Considering the overall situation in the market for the Euro and price closeness to a significant resistance level at 0.8700 and the presence of divergence in the graph we have all the signals for the opening of sales for EUR/GBP.
The general trend is still increasing but today there is the most favorable situation to play on the rollback of the price.

During this week, we are likely to see a decrease to at least 0.8575 or even further to 0.8500.

We recommend to open sell position on EUR/GBP if the price goes below than 0.8650 with a target points for profit taking at 0.8575. Orders S/L we need to set up at 30-50 points above the enter point.

This article is provided in the form of recommendations for trading and SuperForex Company is not responsible for the result of transactions made by you based on this analysis.
Please be aware that CFD and FX trading on margin carry high levels of risk. Traders should ensure they understand the risks associated with leveraged CFD and FX trading before deciding to trade.

 

[SFX_Official]

Technical analysis of the currency pair EUR/USD on 24/01/2017. The daily chart

General analysis.
On the background of the general weakness of the US dollar currency pair EUR / USD continues to rise and now has reached the level of 1.0780. The growth started from the very first days of January and continues until today.

On Monday 23 January, the price approached the level of resistance at 1.0800. The last time the price was in near the mark is in the middle of December 2016, that time price had been bounced of the resistance 1.0800 which marked the beginning of a serious decline.
Given the general downtrend for the EUR / USD we can expect a repetition of such a scenario and a second rebound is quite likely to be happened.

The earlier opened long positions most desirable to close today at the market price.

Stochastic indicator shows an upward movement and the signals lines is located in overbought zone.
As a confirmation of such scenario will be the signal of the intersection of the signal lines and exit of the overbought zone from top down.

Next few days

We recommend opening the deal to sell with a given currency pair while receiving confirmation of the rebound from the level 1.0800.
As a confirmation, will be performing a few daily candles closed below this level.

A targets for the price decrease will be 1.0650 and 1.0600.

Note: This article is provided in the form of recommendations for trading and SuperForex Company is not responsible for the result of transactions made by you based on this analysis.

Please be aware that CFD and FX trading on margin carry high levels of risk. Traders should ensure they understand the risks associated with leveraged CFD and FX trading before deciding to trade.

 

[SFX_Official]

Daily analysis for the currency pair EUR/GBP on 26.01.2017.

General analysis

Currency EUR / GBP pair continued to decline and during this week, has already dropped for almost 200 points. At the moment, the price of the euro declining versus all major quotes and most likely this will continue at least until the end of this month and possibly even further.

As we predicted earlier the intersection of the price and simple moving average (14) on a daily chart was an excellent signal for sell.

Even given the fact that now is forming a fairly steep downtrend and there is a high probability of correction, sales EUR / GBP is still promising.

Schedule Stochastic indicator to be in oversold zone, indicating a clear advantage of the sellers.

Next few days

We expect a continued of the decline for EUR / GBP at least until the end of January. Target points of profit taking on sales will be the support level of 0.8300.
There is a possibility of formation of correction against the downward movement so given this fact, the most favorable is opening of the position after the correction is over.

By calculating the depth of the correction, we recommend to orient on the Fibonacci correction levels - 23.6%, 38.2%, 50%, 61.8%.

 

[SFX_Official]

Technical analysis of the currency pair USD / CHF on 31/01/2017. The daily chart

General analysis
The price of the currency pair USD / CHF continues to decline and the yesterday tested the support level 0.9950. This fall began in mid-December last year and since then the price has dropped almost 400 points. During the last week price has been approached to the 0.9950 level several times and here again, the price came close to this mark, and closed above the level.

Earlier 0.9950 level acted as resistance to the price through which the price could not get through for a long time. Now we expect the same effect from a given level only as of the level of support. Therefore, we can expect prices rebound from 0.9950 support.

Given the fact that the overall trend still is downward and indicator gives us sell signal transactions with the rebound from the level should be opened quite carefully. It is necessary to wait for confirmation of the rebound of at least two candles and only after this to open the transaction for the purchase.


Next few days
We recommend to open the transaction on buy after a rebound from 0.9950 support the target points of profit taking will be the moving average line (14) on the daily chart, as well as the level of 1.0060.

 

[SFX_Official]

USD/SEK – review and short term forecast.

As expected in the previous month, the upward trend finally ended and now the rates of USD/SEK is in the frames of the downtrend. during the week, the dollar was weakening against major currencies due to investors fearing the policy of D. Trump. In addition, the U.S. Federal reserve left rates unchanged and signaled that a rate won't be also changed in March. decreasing of the USD has been stopped yesterday and strengthened thanks to positive statistics from the USA about increase in jobs in the private sector, and obtained data about the growth of the business activity index. And it allowed the dollar to regain lost positions by the end of the week.
On the other hand, the Swedish economy demonstrates an enviable stability and in the near future, has good perspective. By the end of 2016, Sweden has the highest rates of return for households and private business sector at the peak of growth. the only fear is a promoting activity of some social and political organizations for the introduction of a 6 hour working day, which can lead to a wave of reductions due to high costing labor force, and higher unemployment then. But now things are going well for Sweden, and the Swedish Krona (SEK) continues strengthening.
At the moment MACD oscillator shows signal to BUY opening the deals against trend. Such deals can be effective upon short term trading. Upon middle and the long term trading the best solution is to open the deals to SELL as we can’t see any preconditions for new trend reversal.

 

[SFX_Official]

Technical analysis of the currency pair AUD/USD on 02/03/2017. The daily chart

General analysis
Currency pair Australian dollar / US dollar over the past few months shows a clear up trend without any significant corrections. Upward movement started from the beginning of 2017 and at present makes 600 points. However, last week the price reached the 0.7700 resistance level which for almost a year make a serious impact on the price movement.

A large number of times the price bounced back from this level and never being able to overcome.
At the moment, the price reached to the 0.7700 resistance level ones again and two indicators show a confirmation of a signal to sell at the same time - the Stochastic and moving average (14).

Stochastic shows a clear divergence for the last few price peaks, which is also a signal to sell short the AUD / USD.
Also, the price crossed the moving average (14) from top to bottom and successfully entrenched below the line, which also indicates a bearish trend.

We recommend to open short positions on the currency pair AUD / USD with the target points profit taking at levels 0.7570 and 0.7520.

 

[SFX_Official]

Daily analysis for the currency pair EUR/GBP on 07.03.2017.

General analysis
During the last 8 trading days, the EUR / GBP currency pair shows a clear growth absolutely without any correction. The growth value was about 280 points. At the moment, the price have closely approached to the resistance at around 0.8700 and the best solution is to take the current profit on long positions.
The further upwards movement is quite possible but you should receive a confirmation of the breakdown of the resistance level of 0.8700 before continuing to play long.
Over the past six months, the price has repeatedly demonstrated a retreat from this level and we can confidently expect a certain reaction in the movement of the price as it approach to this level again.
The most likely we will see a retreat from this mark as it also coincides a with the Fibonacci correction level of 61.8 percent of the last downward movement.
When receiving a confirmation of the release or level breakdown, we should play in the same direction.
The target profit-fixing points for EUR / GBP on a way down is 0.8550 and 0.8470.

 

[SFX_Official]

AUD/CAD: fundamental review and forecast

The rates of the AUD/CAD continue in the frames of uptrend which has been formed in the beginning of the year. The canadian dollar is under the pressure of the record low oil prices this year. The price of oil fell for the week from 54 to 48 dollars per barrel for CL/WTI, contrary the forecasts for further stabilization of the market amid reduction of oil production. OPEC continues to say that the countries who joined the Agreement on the reduction of oil abide it in 90%. However, this somehow allows Saudi Arabia to increase oil production. Signals about increasing of oil production coming to the market regularly, and investors react it. In any case, the USA not even going to reduce oil extraction: the number of drilling rigs increases, and hence the volume of oil production will only be increasing. In such conditions, whatever OPEC do, they will not be able to stabilize oil prices.
Positive employment data in Canada, in particular, the increasing of the number of jobs at 15300 against the forecasted 2500, the level of unemployment at 6.6%, against forecasted 6.8%, couldn't change the situation for CAD. The rapid decline in oil prices was too rapid for the canadian currency.
The Australian dollar feels against the canadian more confident.
The market reacted positively to the RBA's decision to leave interest rates unchanged. Yesterday, AUD was further supported by encouraging new statistics on the economy of China, where the volume of investment in basic capital was 8.9%, which is a very high and shows investor's confidence in China's economy, despite the negative aspects, such as data on the trade deficit of China for the first time in 3 years, and decreasing in exports.
On the AUD/CAD chart, we can't see the signs for trend reversal. Oscillator MACD is neutral. Stochastics expects a price correction, and offers to open a short deals against the trend. Such deals may be effective upon short-term trading. In addition, the price correction is expected on the oil market, which can support CAD. But upon the medium-term trading it is better in this situation to open the deals to BUY.

 

[SFX_Official]

The Euro on the Rise



The European currency seems to be on the rise, enjoying a positive economic outlook.

Here is something we didn’t think we’d be saying so soon: the euro is having a good time.

The currency of the European Union went through some serious hardship over the past decade – it suffered immensely in the global recession of 2008, the debt crisis in some EU countries such as Greece and Portugal, which eventually led to further internal conflicts and more trouble for Europe’s unity as the United Kingdom announced its intention to leave and the fear of losing more members spread as Italy and France held elections recently.

However, this bleak phase for the euro seems to be approaching an end. Despite small daily fluctuations, which occur naturally when there’s global activity on the financial markets, the euro was able to climb up and is currently in its strongest levels since 2011, according to Reuters.

Part of the reason why this is a little surprising is the fact that the European Central Bank, the EU’s organ for monetary policy, has been implementing a stimulus program to boost the European economy by encouraging inflation, something that logically decreases the value of the euro versus other major currencies. It has already been two years since the program began and investors as well as the ECB itself initially expected to continue with this approach for a few years. Nevertheless, recent data from the European Union shows the economy is doing quite well, which prompted ECB President Mario Draghi to show willingness to change the course of the current policy as early as September this year.

 

[SFX_Official]

EUR/USD Daily Analysis & Chart

A surprisingly stable euro is dominating the pair - we expect further bullishness.

Today we’d look into the EUR/USD trading instrument. The pair has had an interesting few months - 2017 began with widespread speculation that between the weakening euro and the strengthening dollar we’d meet in the middle and see perfect parity before the year’s end. However, this hasn’t been the case and lately we’ve seen the opposite, though in milder terms - a slight strengthening of the euro versus a somewhat weaker dollar.

Even though the euro lost some of its momentum over the weekend, our outlook for it remains positive. We might see some gains today as the markets in the United States are on a break for the Independence Day celebrations.

The euro is very close to the psychological level of 1.14. We have been getting data about the European economy that’s been consistently positive, including the most recent PMI report.

 

[SFX_Official]

USD/SEK: Review & Forecast

Riksbank supported the SEK while the USD was losing positions amid political tensions and investors' worries about the rate change by the FED.

The rates continue in the frames of a downward trend, although in the period from May 19 until June 27 the trend changed to a flat one. It seemed that the downward trend had been finally completed at the beginning of July. However, market volatility has suddenly increased, and the downward trend has been restored.

This week there were no significant factors that would affect the USD/SEK rates. The main factor that influence the value of the USD in recent weeks remains the political tension in the United States and investors' worries about the future for the FED rate hikes due to weak economic data in the United States. At the same time, Federal Reserve officials maintain the stance that the rates should be raised more before the end of 2017. Nevertheless, investors suppose that the Federal Reserve may delay increasing the interest rate if the situation in the U.S. economy changes in a positive way and if political tensions in the US grow. Based on this, the dollar lost positions against most currencies while investors prefer safe-haven instruments such as JPY and Gold.

 

[SFX_Official]

We forecast new growth for the USD/JPY and good buy opportunities.

Today we direct our attention to the USD/JPY currency pair. Yesterday the USD/JPY showed significant progress and was quite active during the day, but it eventually failed to overcome the 113.60 level and retracted. Still, we believe the pair would likely continue to test its resistances and make space for further upward movement, as long as the pair keeps trading above the level of 113.

To predict future highs, we can reliably use the guidance of the nearby resistance levels for the USD/JPY - we have resistances at 113.19, 113.41, and 113.63. We believe that overcoming these resistance levels is the most likely course for the pair as it stands now.

Still, it’s good to be prepared for the alternative scenario as well. On the downside, we have several nearby support levels such as 112.75, 112.50, and 112. If the first support is breached, likely we’d see the pair play around the other two supports as well.

At this point the movements of the USD/JPY largely depend on trader sentiment and market behavior. The level of 114 stands before us as a psychological barrier, and if the pair is pushed beyond it, we can see it grow further up to 115 even.

As of the moment of this article’s publication the USD/JPY is trading around the first level of resistance at 113.19. Most technical indicators agree that the best course of action is a strong buy stance.

 

[SFX_Official]

A New Hope for the Pound

The United Kingdom's currency seems to have finally slowed its descent - could it be ready to start recovering?

The future of the British currency became quite uncertain the weeks leading up to the Brexit vote last June, then slumped after the results came through. Now it seems that for the first time in 2017 investors are changing their views on the pound for the better. However, this pertains to the pound vs the dollar; where the euro is concerned, the situation is different.

This discrepancy could be easily explained. For one thing, investors expected a lot more from the US economy, mostly riding on Donald Trump’s promised goals as president, especially his vow to bring economic growth up to 3%. This is easier said than done, as we’ve seen. Lukewarm reports from the United States, as well as Trump’s general struggle to enact any kind of policy successfully have made investors lower their expectations. We’ve even seen the dollar drop against all major currencies in recent weeks.

The situation is pretty much the opposite with the eurozone. The European Central Bank is in the midst of a massive stimulus program to encourage healthy inflation and spending. Even though the expectation was to see it continue a bit longer, the program is already paying off and surprisingly good economic data from all around Europe has prompted the ECB to admit they may start phasing out the program before the year’s end and turn to a more hawkish policy on the euro. In addition, fears of further political unrest in the EU have been calmed by Macron’s victory in the French presidential elections in April. We still have to see what would happen in the German general elections this fall, but things seem promising for Angela Merkel. It was previously feared she might not gather enough support but after a successful equal marriage rights vote last week it seems likely that she would stay in power.

 

[SFX_Official]

GBP/USD Technical Overview


We predict a moderate volatility for the pair, with a bias in favor of the USD.


Today we would take a detailed look at the GBP/USD currency pair. It has been exhibiting bearish symptoms for a while now, failing to overcome the strong resistance region around 1.30.


The pound, of course, is still low. It dropped dramatically last year after the Brexit vote, and although its descent has slowed down, it’s still far away from its highs in 2015. Today we expect some news from the United Kingdom regarding interest rates (which the UK is expected to increase soon) and other issues pertaining to monetary policy. These could potentially give the GBP a long-awaited boost versus major currencies. Still, there is a lot of political uncertainty troubling the United Kingdom. The UK is in the first stages of Brexit negotiations with the European Union, a time that calls for strong leadership - but instead, British media are littered with speculation about the possible resignation of Theresa May. An inability to form a strong government with a well-supported Prime Minister would not bode well for the British pound.


On the other hand, last week produced some positive economic statistics about the United States, which gave the dollar a push. We’re also awaiting a new job openings report today, which is supposed to show a decrease from before. There will also be an important announcement by the Federal Reserve regarding interest rates (there are more increases expected, but their possible dates seem unpredictable to traders right now).

 

[SFX_Official]

AUD/CAD: Fundamental Review & Forecast


The CAD continues strengthening against the AUD. Investors expect an increase of the interest rate today.


The rates of the AUD/CAD continue in the frames of a downtrend. Last month the Canadian dollar successfully withstood the pressure due to low oil prices and strengthened against the Australian dollar. The Australian dollar continued decreasing even after the positive statistics about the trade balance, although this did support the AUD for a few days. Last week the RBA refused to raise the interest rate. Despite the positive economic data, the RBA supposes that the goals of its stimulus program haven't been achieved yet. In particular, the RBA is concerned about the situation on the labour market.



This week we do not expect important information about the AUD. The only thing that can have an impact on the value of the AUD is information about the Chinese economy. As for the CAD, we expect important information. In particular, this evening investors expect a decision from the Bank of Canada regarding raising the interest rate. Given the recent information about the PMI index and positive reports about the employment market, investors are sure that the Bank of Canada will raise the interest rate by 25 pips - up to 0.75%, for the first time since 2010. Thus, Canada will become the first country after the United States to tighten its monetary policy amid the good economic situation in the country. Another reason for the further strengthening of the CA, is a growth in oil prices, which have increased due to information about a reduction in the reserves of WTI crude oil by 2.1 million barrels for a week in the main oil storage reservoir of the United States. In addition, it was reported that OPEC can limit the volume of oil extraction in Nigeria and Libya, which were free from obligations to reduce the volume of oil production with the current agreement.


In this situation, the optimal decision is to open the deals on the trend. The Stochastic oscillator also gives a signal for short deals indicating the rates in the overbought zone.

 

[SFX_Official]

Qatar Crisis Continues


Qatar is still under blockade by Saudi Arabia, the UAE, and two other countries. Can Qatar's economy weather this storm?


A few weeks ago we shed a little bit of light on the current diplomatic crisis in Qatar. It has been essentially blockaded by its neighbouring countries on the grounds of supposedly promoting terrorism and destabilizing the Middle East. This has made it slightly more complicated for Qatar to import and export goods, but as we learned from Qatar’s finance minister, there was no need to worry too much. Or is there?


The countries opposing Qatar are Saudi Arabia, the United Arab Emirates, Egypt, and Bahrain. They made a list of demands that aim at making Qatar work for better stability in the region. However, the blockaded state has refused to comply, stating that the demands may constitute a violation of international law, reports CNN. In retaliation, the four countries which cut ties with Qatar have showed a determination to step up their measures and increase pressure on Qatar, though the meaning of this is yet unclear.

 

[SFX_Official]

EUR/JPY Technical Outlook before the Rate Decisions

The BOJ's policy rate will push the Yen to rise a little.

This week the markets are looking forward to the rate decisions of two important banks - the European Central Bank and the Bank of Japan. This will cause a huge volatility. We will take a look at the instrument most likely to be affected, the EUR/JPY currency pair, and hunt for good opportunities for this week.



The EUR/JPY pair recorded its highest levels in 17 months at 130.75 and then it bounced back to trade now at 129.00. It declined last week on the release front as the Eurozone Final CPI edged down to 1.3%, matching the forecast. On Tuesday Germany and the eurozone will release ZEW Economic Sentiments.


The pair broke an important support level at the moving average 50 and it’s trading now at an important key area at the upside trend line. We predict it will break the trend line and decline further but we have to wait to see where this candle will close exactly.

So, what can we do in the next hours?


As we mentioned above, we will wait for a candle close below the trend line below 128.70 and sell the pair, keeping our first target at 127.50 and the second one at 126.20; that's in case the pair breaks the second trend line.


This week we have to be careful in our trades because we have important events which will cause high volatility in the market such as a decision from the BOJ regading the policy rate and the press conference for Kuroda, as well as the minimum Bid Rate for the European Central Bank on Thursday.

 

[SFX_Official]

The Euro Back to 2015 Highs


The euro continues to take on the USD in a confident bullish movement.


This week we turn our eyes to Europe once more. The economic climate in the European Union seems to be quite heated these days: many reports coming from all around the eurozone are flooding in, and investors are paying close attention to the euro, particularly in the context of the much weaker dollar we’ve been seeing these days.


Earlier today the European Central Bank’s Survey of Professional Forecasters was published. The survey, which is quite important to the ECB and whose results always figure into the decision-making process of the ECB, showed that while there is stable economic growth and a decrease in the unemployment rate, the inflation rate still remains relatively low. As we’ve mentioned before on our blog, the ECB is currently in the midst of a massive stimulus program whose goal is to boost inflation to a healthy level. It appears this level still hasn’t been achieved, despite investors’ hopes that the ECB might be satisfied with the current progress and start turning towards more hawkish policies.

 

[SFX_Official]

USD/JPY Technical Overview ahead of the Fed Rate


The USD/JPY pair returned back to the channel and we expect further lows.


Last week the US Dollar was weaker against most of the majors, especially since there were few economic calendar events from the USA and investors focused instead on Washington’s rising political tensions. However, this week is different and trading will depend on fundamentals with the release of consumer confidence, the Fed’s July rate statement, and the preliminary second quarter gross domestic product (GDP).


The USD/JPY currency pair returned back to the price channel again after breaking it upward. We took a buy position and our first target was at 114.32 - the prices already hit it and returned again, then the pair broke the moving average last Friday. It has a key support area at 110.23, 50 pips down. The MACD indicator gave us the sell signal after the columns appeared below the zero level. It’s expected that the Fed will keep the interest rate unchanged this month and won’t increase it, so we predict the pair will decline further.


The Next Few Days


After we saw the prices back inside the channel again we can sell the pair from the current levels at 110.75 and keep our first target at 110.23, with a second one at 108.34 at this year’s low. Nevertheless, if the prices return back to 112.00 again we will change our vision to be bullish.


This week is overwhelming with much hot news from the United States which hold the potential to cause high volatility on the market: the CB Consumer Confidence, the FOMC statement, and the GDP for the second quarter.