Technical analysis on EU,GU and majors

[bhanu545]

GBP/USD Fractal 1.5956 - For August 31, 2012

The pound has a bullish outlook against the dollar in the short term, trading between 1.5910 and 1.5770, exceeding the 1.59. The currency can add upward force to the pair, although the indicators show depletion in the upward and overbought signal. So, I prefer to go in the direction of the correction to find trapped in a resistance level. Given that now everyone is wondering whether the Fed will implement a plan to stimulate the economy by buying cash bonds, which would, if carried out, result in a huge boost to equity markets, particularly currencies.
Therefore, we recommend selling at the resistance of 1.5956 (fractal) with objectives to 1.5801, this serves as a part of the downward correction.
Our outlook remains bullish above 1.5750.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Wave Analysis for September 3, 2012

Wave Analysis:
The GBP/USD pair started the Friday session with a rally until the publication of Ben Bernanke’s speech, having added about 120 points after that coming closer to 59 figure. After that the pair rebounded from this high which can be a sign (together with MACD indicator) that the second try to test 1.5900 level may result into market swing against the British pound in short term.
Target for Down Wave (probably 3 or c):
1.5858 – 23.6% Fibonacci
1.5823 – 38.2% Fibonacci
1.5795 – 50.0% Fibonacci
Targets for Correctional Up-wave (probably 2 or b, it is possible that it has already come to an end):
1.5886 – 11.4% Fibonacci
Summary and Trading Recommendations:
It is possible that now the pair continues its downtrend. The intermediate targets of the suggested decline are the levels of 1.5858, 1.5823, and 1.5795 which corresponds to 23.6%, 38.2%, and 50.0% of Fibonacci in the terms of wave 3 or c. Until that we can see a re3bound in the terms of wave 2 or b (not necessary) to the level of 1.5886 and higher which is equal to 11.4% of Fibonacci. But it is most likely that the wave has already finished its formation. It should be noticed that ambiguousness of wave marking may result in its reconsideration. The uptrend channel still indicates the upward area, in case the price is below it, we will get a confirmation that the new downtrend , in particular wave 3 or c, is formed.

Performed by Alexander Dneprovskiy, Analytical expert
InstaForex Companies Group © 2007-2012

 

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EUR/USD Intraday Technical Analysis and Trading Recommendations for September 3, 2012

The EUR/USD pair is demonstrating a strong bullish movement which was maintained within the depicted bullish channel. However, during the last week the market witnessed some bearish retracement in reaction to the upper limit of its movement channel around the price level of 1.2580.
Last week the EUR/USD pair managed to breakdown the short term uptrend line depicted on the chart after finding resistance around the price level of 1.2570. However, the pair came back to retest the backside of the broken trendline as depicted on the chart.
The most significant Resistance level is located around 1.2580. This price level was tested last week expressing a bearish engulfing 4H candlestick which pushed the EUR/USD pair to the downside.That's why a low risk SELL entry is suggested at retesting which is taking place now with a tight SL located above 1.2630.
The lower limit of the movement channel as well as SMA 100 are located between 1.2430-1.2400 where price action should be watched for a valid low risk BUY entry with SL located below 1.2370.

Performed by Mohamed Samy, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Sell Bellow 1.5905 for September 04, 2012

The pound sterling failed to exceed 1.59 area and had today a negative impact of the construction PMI index which was below 49 points.
This pair will continue demonstrating a strong upward trend, given that it is above the 200 day moving average. It is likely that many currencies are now closing their positions waiting for the meeting of the ECB. The daily close above 1.5900 will initiate an upward sequence until 1.61.
Furthermore, the pair is possible to demonstrate a pullback to 1.59 and then will fail to exceed it. In this case we recommend selling to strong support level 1.5780.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Sell Bellow 1.2558 For September 04 /2012

The EUR/USD pair could not overcome the strong resistance of 1.2630. At this moment it is showing a slight correction with the next target at weekly pivot of 1.2558, the break of this level will indicate the beginning of a new bearish sequence until the nearest support of 1.2480.
We, therefore, recommend selling below 1.2558 pivot, only if the pair closes the 4 hours charts with objectives to 1.2480 and 1.2390. The stop loss will place it above the high of 1.2630.
MACD indicator is entering an overbought area, bearish correction is imminent.
Given that this week there will be announced a lot of fundamental data, we recommend being careful with the size of our positions.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Intraday Technical Analysis 2012-09-05

The spot rate tested the intermediate resistance of its medium term bullish channel at 1.5920 and declined. It approaches now the lower limit of its channel at 1.5830 suggesting a rebound. However, a break of these levels will free a large potential and initiate a bearish channel.

Technical indicators do not provide clear signals but until the support is not broken, the assumption of a rebound is most likely. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement.

As the spot rate tests the lower limit of its channel, we recommend 2 scenarios: the first one is the hypothesis of a rebound where we suggest a buy at the level of 1.5830 with the 1st objective at 1.5890 and then at 1.5910. A breakthrough 1.5810 will invalidate this scenario. The second scenario is a break of its support where we advise a “sell stop” which means selling the spot rate as soon as it is broken through its support of 1.5830 with the 1st objective at 1.5770 and then at 1.5750. A breakthrough 1.5850 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Bearish Pattern - September 05, 2012

The Euro recovered again this morning and now is trading above 1.26. This optimism won’t last long though. If you've been reading my reports, you know that I find the level of 1.27 as a strong resistance zone for this currency pair. I remain bearish for this pair because the European Union is an absolute mess. If the two weeks close above 1.27, the rate could go upward to 1.30, at least.
On a technical level we note that the euro has formed a bearish roof, so we recommend selling at 1.26 until tomorrow, given that tomorrow will be a very volatile day, so we recommend be cautious. We will place our goal in the next fractal near 1.2512 support level, if this level is broken, our ultimate goal will be at 1.2380 dollars per euro.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Intraday Technical Analysis 2012-09-06

The spot bounced off yesterday to the lower limit of its medium term bullish channel at 1.5830 and tests now the intermediate resistance of this one at 1.5940 suggesting a decline. However, a break of these levels will free a large potential and enable the upper limit of its channel at 1.6050.

Technical indicators do not provide clear signals but approach an overbuy zone suggesting a decline and until the resistance is not broken, the assumption of a decline is most likely. Bollinger bands have stabilized showing a more regular volatility. Furthermore, the superior band strengthens the intermediate resistance supporting the hypothesis of a violent movement in case of failure.

As the spot rate is currently testing the intermediate resistance of its channel, we recommend 2 scenarios: the first one is the hypothesis of a decline where we suggest a sell on the level of 1.5940 with the 1st objective at 1.5880 and then at 1.5860. A breakthrough of 1.5960 will invalidate this scenario. The second scenario is a break of its resistance where we advise a “buy stop” that’s means to buy the spot rate as soon as it is broken through its resistance of 1.5940 with the 1st objective at 1.6000 and then at 1.6020. A breakthrough of 1.5920 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Intraday Technical Analysis 2012-09-06

The spot rate bounced off to the lower limit of its medium term bullish channel and broke the intermediate resistance of this one at 1.2580 leading to an acceleration. A pull back on these levels is expected before reach the upper limit of its channel at 1.2660.

Technical indicators provide sell signals but until the support is not broken, the assumption of a pull back is most likely. Bollinger bands have stabilized showing a more regular volatility. Furthermore, the spot rate evolves at the levels of superior band supporting the hypothesis of a pull back in short-term.

As the spot rate tests the lower limit of its channel, we recommend 2 scenarios: the first one is the hypothesis of a pullbakc where we suggest a buy at the level of 1.2580 with the 1st objective at 1.2640 and then at 1.2660. A breakthrough of 1.2550 will invalidate this scenario. The second scenario is a break of its support where we advice a “sell stop” which means to sell the spot rate as soon as it is broken through its support of 1.2580 with the 1st objective at 1.2520 and then at 1.2500. A breakthrough of 1.2600 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Intraday Technical Analysis 2012-09-07

As we expected yesterday, the spot rate made a pull back on the intermediate support of its medium term bullish channel and approached the upper limit of this one at 1.2670. A break of these levels will release good potential and initiate a more violent bullish channel.

Technical indicators do not provide clear signals but approache overbuy zone and until the resistance is not broken, the assumption of a decline is most likely. Bollinger bands have stabilized showing a more regular volatility. Furthermore, the spot rate evolves at the levels of superior band supporting the hypothesis of a decline in short-term.

As the spot rate approaches the upper limit of its channel, we suggest 2 scenarios: the first one is the hypothesis of a decline where we recommend a sell at the level of 1.2670 with the 1st objective at 1.2610 and then at 1.2590. A breakthrough of 1.2690 will invalidate this scenario. The second scenario is a break of its resistance where we advise a “buy stop” that means to buy the spot rate as soon as it is broken through its resistance of 1.2670 with the 1st objective at 1.2730 and then at 1.2750. A breakthrough of 1.2650 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Intraday Technical Analysis and Trading Recommendations for September 7, 2012

GBP/USD Hourly chart on the basis of the Linear Regression Channels of three different time periods:

This week the GBP/USD pair expressed a strong bullish rejection towards the lower limit of the Yellow & Blue channels around 1.5835 which pushed the pair towards 1.5930 corresponding to the upper limit of the Yellow one where bearish domination was expressed failing to record a higher swing.

The GBP/USD pair has been consolidating almost sideways trapped between the price levels of 1.5850 - 1.5930 untill yesterday when the pair broke through the price level of 1.5930 reaching the upper limit of the Yellow channel at 1.5970.

The GBP/USD pair seems to be finding Intraday Resistance at the upper limit of the channel around 1.5970. That's why breakdown of the mid-line of the Yellow channel and the lower limit of the Violet one around 1.5925 opens the way directly towards the lower limit of the channels around 1.5880.

Performed by Mohamed Samy, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD. Forecast for September 10, 2012

We received important data on the real economic sector of the UK on Friday. The indicators were above expectations: industrial output increased 2.9%, consensus 1.6$. Manufacturing production gained 3.2% against 2.1%. The GDP outlook from NIESR for August was 0.2% in contrast to 0.3% in July. As the result, the pound grew at a slower pace amid the market optimism and closed the day at the level of 77 points.
Today there is no news from Great Britain and the investors will be with the market tendency which is going to be neutral today. Industrial production in China was below expectations: 8.9% y/y against 9.0% while trade balance demonstrated a surplus of 26.7 bn against 18.9 bn. Japanese GDP for the second quarter dropped to 0.2% in contrast to 0.3%, while balance of payment made up 625.4 bn yen against 485.6 bn yen.
Technically, we are anticipating the trading to be in the sideways channel of 1.5975 – 1.6034.

Performed by Yuriy Zaycev, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Wave Analysis, Weekly Review 2012-09-10

Wave Analysis:
The slow growth of EUR/USD which started last week, finished with a significant rally which allowed the pair to fix above 28 figure. The quotes’ upward move started from August 16 low still looks like the inner wave structure of wave with the extension in the wave 5. If it is so and taking into account the ratio between wave a (or wave 1) and (or wave 3), we can expect a noticeable price rebound from the reached high or from the level of 1.2940 – 1.2950. At the same time, the fact that there is still a divergence between the direction of the main trend and MACD despite strong growth of the pair, we can expect the situation will turn against the euro in any moment.
Target for correctional upward move in the terms of wave 5 in or 3:
1.2937 – 61.8% Fibonacci
1.3148 – 76.4% Fibonacci
Targets for down wave (probably 1 or a):
1.2595 – 38.2% Fibonacci
1.2384 – 23.6% Fibonacci
Summary and Trading Recommendation:
Last week the euro rate continued its correctional upward trend. Thus, the quotes rise in the terms of wave 5 in or 3 is possible towards the levels of 1.2937 and 1.3148 which is equal to 61.8% and 76.4% of Fibonacci. MACD divergence is indicative of the down wave formation. In the terms of this wave, the pair may head to the levels of 1.2595 and 1.2384 which correspond to 38.2% and 23.6% of Fibonacci. However, the ascending channel demonstrates that the upward channel is still valid.

Performed by Alexander Dneprovskiy, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Bullish Outlook for September 11, 2012

The EUR/USD pair fell during the European session below the 200 period moving average, which is around 1.2835. If the pair exceeds this level and closes above it, the road will be free until the 1.2956 fractal level and even more up to the psychological level of 1.30. Furthermore, it is likely that some weak data will put additional pressure to the euro, in particular to the fractal support around 1.2679. We recommend buying at this level with objectives at the 200 day moving average periods and objective end at the fractal formed at 1.2945.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Intraday Technical Analysis and Trading Recommendations for September 11, 201

GBP/USD Hourly chart on the basis of the Linear Regression Channels of three different time periods:

The GBP/USD pair expressed a strong bullish rejection towards the lower limit of the Yellow & Blue channels around 1.5920 which pushed the pair towards 1.6030 corresponding to the upper limit of the Yellow one where bearish domination was expressed during the last few hours of Friday.

The GBP/USD was trading within the depicted Yellow channel although Yesterday's Violet channel is slightly bearish due to the expected bearish movement towards 1.5960 which was expected Yesterday.

The GBP/USD pair seems to be finding intraday Resistance at 1.6030. That's why breakdown of the lower limit of the Yellow channel around 1.5990 opens the way directly towards 1.5955 then probably 1.5910.

Breakthrough above intraday Resistance 1.6030 opens the way towards the upper limit of the channel around price level of 1.6095.

Performed by Mohamed Samy, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Intraday Technical Analysis 2012-09-12

As we expected yesterday, the spot rate bounced off to the intermediate support of its medium term bullish channel at 1.2880 suggesting a decline. However, a break of these levels will free a large potential and initiate more violent bullish channel.

Technical indicators provide sell signals and evolve in overbuy zone. Moreover, until the resistance is not broken, the assumption of a decline is most likely. Bollinger bands are much discarded as a result of a strong increase these days. Stabilization is expected in a short-term.

As the spot rate is currently testing the upper limit of its channel, we suggest 2 scenarios: the first one is the hypothesis of a decline where we recommend a sell at the level of 1.2880 with the 1st objective at 1.2820 and then at 1.2800. A breakthrough of 1.2900 will invalidate this scenario. The second scenario is a break of its resistance where we advise a “buy stop” which means buying the spot rate as soon as it is broken through its resistance at 1.2880 with the 1st objective at 1.2940 and then at 1.2960. A breakthrough of 1.2860 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Technical Correction for September 12, 2012

The pound sterling recorded a maximum level of 1.6130 which coincides with the daily fractal of 1.6129, the second weekly resistance is placed 33 pips above at 1.6163. Given that the markets are bullish, the pair may find a strong resistance at these levels. We, therefore, recommend selling below the 1.6129 fractal, with objectives at the nearest support of 1.5958.

The MACD indicator is showing an imminent correction in the price of the pound.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

EUR/USD Intraday Technical Analysis 2012-09-13

The spot rate has been testing since yesterday the intermediate resistance of its medium-term bullish channel at 1.2930 suggesting a decline. However, a break of this level will release a good potential and enable the upper limit of its channel at 1.2990.

Technical indicators provide sell signals and approach overbuy zone. Moreover, until the resistance is not broken, the assumption of a decline is most likely. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement. Furthermore, the superior band strengthens the intermediate resistance supporting the assumption of a violent movement in case of failure.

As the spot rate is currently testing the intermediate resistance of its channel, we suggest 2 scenarios: the first one is the hypothesis of a decline where we recommend a sell at the level of 1.2930 with the 1st objective at 1.2870 and then at 1.2850. A breakthrough of 1.2950 will invalidate this scenario. The second scenario is a break of its resistance where we advise a “buy stop” which means buying the spot rate as soon as it is broken through its resistance of 1.2930 with the 1st objective at 1.2990 and then at 1.3010. A breakthrough of 1.2910 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Intraday Technical Analysis 2012-09-13

The spot rate has been testing since yesterday the intermediate support of its medium term bullish channel at 1.6110 suggesting a rebound. However, a break of these levels will release a large potential and enable the lower limit of its channel at 1.6070.

Technical indicators provide sell signals but approach an overbuy zone supporting the assumption of a decline in a short-term. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement. Furthermore, spot rate evolves at the level of the superior band supporting the assumption of a violent movement in case of failure.

As the spot rate is currently testing the intermediate support of its channel, we suggest 2 scenarios: the first one is the hypothesis of a rebound where we recommend a buy at the level of 1.6110 with the 1st objective at 1.6170 and then at 1.6190. A breakthrough of 1.6090 will invalidate this scenario. The second scenario is a break of its support where we advise a “sell stop” which means selling the spot rate as soon as it is broken through its support of 1.6110 with the 1st objective at 1.6050 and then at 1.6030. A breakthrough of 1.6130 will invalidate this scenario.

Performed by Albert Fitoussi, Analytical expert
InstaForex Companies Group © 2007-2012

 

[bhanu545]

GBP/USD Bullish Outlook for September 14, 2012

Amid the Fed’s announcement about monetary easing program expansion, the British pound gained strength.
As the currency was appreciated yesterday, it reached the record high of 1.6250. According to Fibonacci sequence, we expect a decline to 23.6%; buy when the level of 1.6012 is met. Indicators are showing an overbought position. The targets are to be placed at 1.6250 and higher at 1.65.

Performed by Gerardo Porras, Analytical expert
InstaForex Companies Group © 2007-2012