this currency trading instrument, there are mixed signals. The Williams’ % Range
period 20 is inot far from the oversold region while the EMA 11 is above the
EMA 56. It is most likely that the Williams’ % Range would slope upwards to agree
with the positions of the EMAs, forming a clean bullish signal as bulls begin
to target the resistance lines at 1.1300 and 1.1350. This is the expectation for
USD/CHF: There is a bullish
signal on the USD/CHF, which would also lead to a Bullish Confirmation Pattern
in the 4-hour chart as soon as price goes above the resistance level at 0.9750,
which is the most probable line of action when momentum returns to the market.
GBP/USD: Since this market
tested the distribution territory is at 1.3250, price has been corrected lower a
bit. However, the outlook on the market is still bullish in the near term.
Although the Williams’ % Range period 20 is sloping downwards in conjunction
with the extant shallow bearish correction, the EMA 11 remains above the EMA
56. It is possible that price would go back upwards, even beyond the
distribution territory at 1.3250.
USD/JPY: The bias on the USD/JPY
has turned neutral. A further sideways movement for more several trading days
would eventually lead to a tighter condition in the market, as shown by the low
volatility across the markets. However, there is going to be a breakout next week,
which would most possibly favor bears.
EUR/JPY: This is a flat market and the bias has really
turned neutral. It is better to stay out of the market right now (unless one is
a scalper). However, a breakout would happen next week, which would most probably
favor bears. For a breakout to be valid, price needs to go below the demand
zone at 112.00 or above the supply zone at 114.50.
The material has been provided by InstaForex Company – www.instaforex.com