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Re: Instaforex Analysis

PostPosted: Mon Mar 26, 2018 2:19 am
by IFX Gertrude
Daily analysis of EUR/JPY for March 26, 2018

EUR/JPY
The conditions in the market is quite choppy. Although the market is choppy, the bearish trend has been maintained.Price has been going southward since February 5, having lost almost 800 pips since then. Last week, there was a rally attempt in the context of an uptrend, which was halted once the supply zone at 131.50 had been tested.

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Further upward movement was effectively prevented. The market shed 250 pips following that, to test the demand zone at 129.00, and closed below the supply zone at 129.50. The expected weakness in EUR, as well as the bearish outlook on the market, may enable the demand zones at 129.00, 128.50, and 128.00 to be tested this week.

Analysis are provided byInstaForex.

Re: Instaforex Analysis

PostPosted: Tue Mar 27, 2018 1:17 am
by IFX Gertrude
Daily analysis of GBP/USD for March 27, 2018

The pair stays strong in the short-term as the price action is consolidating above the support zone of 1.4136. Currently, GBP/USD is facing off the resistance level of 1.4225, which is the last hurdle ahead of the 1.4269 level and if it manages to break above such area, the bulls could strengthen in the short-term. MACD indicator remains in the positive territory, favoring to the bulls.

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H1 chart's resistance levels: 1.4225 / 1.4269
H1 chart's support levels: 1.4136 / 1.4061

Trading recommendations for today: Based on the H1 chart, buy (long) orders only if the GBP/USD pair breaks a bullish candlestick; the resistance level is at 1.4225, take profit is at 1.4269 and stop loss is at 1.4185.

Analysis are provided byInstaForex.

Re: Instaforex Analysis

PostPosted: Wed Mar 28, 2018 1:48 am
by IFX Yvonne
Technical analysis: Intraday level for USD/JPY, March 28, 2018

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Today Japan will not release any Economic Data, but the US will release some Economic Data such as Crude Oil Inventories, Pending Home Sales m/m, Prelim Wholesale Inventories m/m, Goods Trade Balance, Final GDP Price Index q/q, and Final GDP q/q. So, there is a probability the USD/JPY will move with a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 106.13.
Resistance. 2: 105.92.
Resistance. 1: 105.72.
Support. 1: 105.45.
Support. 2: 105.25.
Support. 3: 105.04.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all Traders or Investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Re: Instaforex Analysis

PostPosted: Mon Apr 02, 2018 2:04 am
by IFX Gertrude
Technical analysis: Intraday Level For EUR/USD, April 02, 2018

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When the European market opens, the US will release the Economic Data such as ISM Manufacturing Prices, Construction Spending m/m, ISM Manufacturing PMI, and Final Manufacturing PMI, so amid the reports, EUR/USD will move in a low to medium volatility during this day.

TODAY'S TECHNICAL LEVEL:

Breakout BUY Level: 1.2372.
Strong Resistance:1.2365.
Original Resistance: 1.2353.
Inner Sell Area: 1.2341.
Target Inner Area: 1.2312.
Inner Buy Area: 1.2283.
Original Support: 1.2271.
Strong Support: 1.2259.
Breakout SELL Level: 1.2252.

Analysis are provided byInstaForex.

Re: Instaforex Analysis

PostPosted: Tue Apr 03, 2018 1:23 am
by IFX Gertrude
Pound - The Dark Horse of G10

In the first quarter, the British pound added 4 percent against the US dollar due to a reduction in political risks and an increase in the likelihood of a continuation of the cycle of normalization of the monetary policy of the Bank of England in May, above 80 percent. Slowing inflation from 3 percent to 2.7 percent and increasing wages to 2.8 percent can be expected to bolster the purchasing power of the population and the acceleration of GDP. As a result, the factor of underestimation can play on the side of the pound.

While the OECD claims that the economy of the United Kingdom will show the slowest growth rates among developed countries, a pleasant surprise is able to help the "bulls" in the GBP/USD to restore an upward trend. For example, you do not need to go far: at the end of 2016, Bloomberg experts gave modest estimates of the eurozone's GDP for 2017 at + 1.7%. In fact, the indicator was received positively with the 2.5% rally, which became one of the key drivers of strengthening the euro by 14%. As a clue to the future dynamics of the economy of the United Kingdom can serve as evidence from business activity. The statistics on purchasing managers' indices adds saturation to the economic calendar and pushes the pound for the most interesting currency of the first week of April.

Dynamics of PMI in services and GDP in Britain

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Source: Trading Economics.

Moderately negative PMI forecasts in production (54.7 versus 55.2 in February) and construction sectors (50.8 against 51.8), as well as in services sector (54 versus 54.5) may become a kind of rehearsal, what will happen to the pound for the rest of the year. Strong factual data inspire "Bulls" for GBP/USD to take advantage of.

Positive from macroeconomic statistics, coupled with the decision on the transition period for Britain until 2019, which should be interpreted as a reduction in political risks, untie the hands of the Bank of England. The Committee on Monetary Policy has plenty of "hawks" who were waiting for clues from Brussels. The futures market expects an increase in repo rates in May and November, the normalization cycle may continue in February 2019. Adjustments to this trajectory can be made by politics and the economy. In particular, "bears" for the sterling pound say that it is too early to speak about certainty with regard to Brexit and refer to volatility growth from 7.8% in October-December to 8.3% in January-March. ING, on the other hand, claims that the pound's violent response to a transitional report indicates its underestimation.

When predicting the future dynamics of GBP/USD, one should not forget about such a factor as trade wars. The exchange of import duties between the US and China worsens the global appetite for risk, which negatively affects the desire of investors to invest in financial markets in Britain and is a deterrent for sterling.

Technically, the necessary condition for the recovery of the "bullish" trend for GBP/USD is a breakthrough resistance at 1.425. In this case, the child pattern AB=CD with a target of 200% will be activated. While the pair's quotes are above 1.3705, the situation is controlled by buyers.

GBP/USD, daily chart

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*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Analysis are provided byInstaForex.

Re: Instaforex Analysis

PostPosted: Wed Apr 04, 2018 12:51 am
by IFX Gertrude
RBA leaves rates unchanged, and China is in charge of the US

The Australian dollar managed to strengthen its positions against the US dollar after the decision of the Reserve Bank of Australia to leave the key interest rate unchanged. However, there are a number of points that indicate a tightening of conditions in the short-term financing markets in US dollars.

According to yesterday's decision, the Reserve Bank of Australia left the key interest rate unchanged at 1.50%, while stating that the rates correspond to the target level of inflation and economic growth. Despite this, a number of commercial banks have resorted to raising the cost of short-term financing, which also led to an increase in mortgage rates.

The RBA also expects further progress in reducing unemployment, as leading indicators show a strong increase in employment. Despite this, the regulator expects that the growth of salaries, most likely, will remain low for some time.

As for economic forecasts, experts in the RBA continue to project faster growth of GDP this year, which in the future will lead to a gradual return of inflation to the target level.

As for the technical picture of the AUD/USD pair, there are still no major changes. The small short-term growth of the Australian dollar is likely to be temporary, as the US-China trade war, which is only gaining momentum, could negatively affect the Australian economy.

Considering short positions in the AUD/USD pair would be best done after a correction to the areas of resistance at 0.7750 and 0.7780, and the breakthrough of current support levels in the area of 0.7640 will lead to another wave of selling in the trading instrument with the output towards new lows of 0.7560 and 0.7500.

On Sunday, it became known that the US and China could not negotiate on trade tariffs, although last week there were clear "glimpses" in the negotiations. The Chinese authorities imposed duties on the import of a number of goods from the United States, claiming retaliatory measures, after the administration of Donald Trump had imposed levies on the supply of steel and aluminum from China. As noted in the report of the Ministry of Finance of China, duties are raised by 25% of the tariff for American pork and a number of other commodity items, as well as 15% of the tariff for fruits and 120 commodities from the US.

As a result of such protectionist measures, investors once again turned their attention to gold, which yesterday rose strongly in price. Many traders are afraid of a more protracted trade war between the US and China, as well as the fact that a number of retaliatory measures with all the ensuing consequences of the European Union. This will necessarily lead to an increase in the costs of manufacturing companies and adversely affect the growth rate of the economy.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Analysis are provided byInstaForex.

Re: Instaforex Analysis

PostPosted: Thu Apr 05, 2018 12:42 am
by IFX Gertrude
Gold answers with tooth for tooth

Gold quite rapidly responded to the United States and China's transition from a conflict to massive military action. China is ready to to retaliate in the "tit for tat", answering exactly the same way as its opponent. If the introduction of Washington's import duties on steel and aluminum on Beijing is estimated at $3 billion, then $50 billion was announced to match it for the Washington's allegations of violation of intellectual property rights along with duties for the supply of 106 US products, including soybeans, chemicals, airplanes and cars. According to China, the accusations are unproven, unilateral protectionism is flourishing, and the beast must be planted back into the cage.

It seems that Donald Trump has found a worthy opponent capable of putting an end to his desire to reduce the negative balance of foreign trade from the current $375 billion to a hundred billion. China is ready to defend its own interests, but the trade war does not bring anything good. Like any war, in principle. The slowdown in global GDP as a result of supply chain disruption, the acceleration of inflation under the influence of rising import prices and the aggressive monetary tightening of the Fed are bringing the US economy closer to a recession. The situation is aggravated by the growth of the national debt, which must be financed, and the problems in this area put serious pressure on the US dollar.

Indeed, if we assume that the United States will not stop at this and will pay all Chinese import duties, then China will have to take other measures, since supplies from the United States are less than its own in the opposite direction. An adequate response will require the sale of treasury bonds, rumors about it a few weeks ago, the dollar dropped. The greenbacks weakness can push gold to around $1,400 an ounce and higher, which significantly exceeds the median forecast of Bloomberg experts.

Forecasts and dynamics of gold

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Traders with 40-year experience note that for several decades, precious metal has been sensitive to the USD index and the yield of US bonds. In this regard, its limited sensitivity to the trade war looks logical: despite the collapse of the stock indices, the dollar has remained stable. Perhaps the reason should be sought in the fact that the duties are not yet in effect, or that they may not do so at all. It is likely that Beijing and Washington will sit at the negotiating table, and their constructive nature will allow investors to turn their heads again towards the Fed. Thus, BNP Paribas claims that gold will close the year in the red zone, and IHS Markit expects prices to fall below $1200 on the background of four increases in the federal funds rate.

Unlike "bears" in precious metals, central banks continue to believe in its bright future. Thus, the Russian regulator in February added 22.8 tonnes to gold and currency reserves after 18.9 tonnes in January and 224 tonnes in 2017. The growth rate is the 11th consecutive month.

Technically, a breakthrough in resistance at $1357-1362 per ounce will open the way for bulls to target 127.2% and 161.8% for the AB = CD pattern. They are located near the marks of $1390 and $1405.

Gold, daily chart

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Re: Instaforex Analysis

PostPosted: Fri Apr 06, 2018 3:17 am
by IFX Yvonne
Intraday level for USD/JPY, April 06, 2018

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In Asia, Japan will release the Leading Indicators, Average Cash Earnings y/y, and Household Spending y/y data, and the US will release some Economic Data, such as Consumer Credit m/m, Unemployment Rate, Non-Farm Employment Change, and Average Hourly Earnings m/m. So, there is a probability the USD/JPY will move with a medium to high volatility during this day.

TODAY'S TECHNICAL LEVEL:

Resistance. 3: 107.65.
Resistance. 2: 107.44.
Resistance. 1: 107.23.
Support. 1: 106.97.
Support. 2: 106.76.
Support. 3: 106.55.

Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all Traders or Investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Re: Instaforex Analysis

PostPosted: Tue Apr 10, 2018 12:09 am
by IFX Gertrude
Sensation from North Korea

AUD / USD
On Friday, the Australian dollar did not give rise to the speculative sentiment of the European and American traders and was fundamentally declined by 10 points on the general unfavorable background of foreign markets. Oil lost in price slightly more than 2%, iron ore -0.08%, copper -0.7%.

This morning, investors were satisfied with the growth in the construction sector activity from AIG in the March assessment, the growth came in from 56.0 to 57.2 points. The NAB business confidence index will be release tomorrow, as the March forecast showed results of 12 against 9 in February. Also, the stock markets of the APR failed to grow badly today despite the Friday drop in the US market, with the Nikkei 225 + 0.68%, S & P / ASX 200 + 0.37%, and China A50 + 0.26%. The possible optimism is related to Kim Jong-un's statement about the readiness to test the nuclear weapons and to conduct a denuclearization of the Korean Peninsula. The "Australian" currency could possibly grow in the range of 0.7760 / 75.

* The presented market analysis is informative and does not constitute a guide to the transaction.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Analysis are provided byInstaForex.

Re: Instaforex Analysis

PostPosted: Wed Apr 11, 2018 12:52 am
by IFX Gertrude
Producer prices in the US have grown significantly

Data released in the first half of the day, slightly supported the European currency, which formed a new uptrend yesterday.

Positively, euro buyers responded to the growth of industrial production in France and Italy in February of this year after more than a sharp decline in the beginning of the year.

According to the report of the statistics agency, industrial production in France in February this year grew by just 1.2% after falling 1.8% in January. Economists predicted that industrial production will grow by 1.3%.

In Italy, the indicator that was mentioned above also added 1.0% after a drop of 1.8% in January of this year. Economists were less upbeat and expected a decline in production in February by 0.5%. Compared to the same period in 2017, the industry in Italy grew by 2.5%, while economists were confident in growth of 4.8%.

The euro has grown well after weak data, which pointed to a decrease in the optimism level of the leaders of small companies in the US in March this year. It is logical to assume that the trade war unleashed by the White House administration negatively affects entrepreneurs who are expecting an improvement of the state of the economy and further develop their business.

According to the report of the National Federation of Independent Business, the optimism index of small business in March dropped to 104.7 points against 107.6 points in February. As noted in the NFIB, despite the decline in the overall index, hiring of employees and spending on the acquisition of new real estate remain at high levels.

Without attention, buyers of the US dollar left the fact that producer prices in the US in March of this year showed a significant growth, which will necessarily create a good overall inflationary pressure in the US economy, as expected by the Federal Reserve.

According to the US Department of Labor, the producer price index rose by 0.3% in March compared to the previous month. The tank index, which does not take into account volatile categories, especially energy prices, rose by 0.3% in March, compared with the previous month.

Economists had expected that the overall index would show an increase of 0.1%, and the base index will grow by 0.2%. Compared to the same period of the previous year, the overall index rose in March by 3.0%, the index excluding food and energy increased by 2.7%.

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The British pound disregarded the speech of the representative of the Bank of England Andy Haldane, who said that monetary policy had not had a significant impact on income inequality in the UK. However, without stimulation, unemployment would be higher and GDP would be lower.

So far, demand for the pound remains on the back of a lack of new conversations related to Brexit. UK economic indicators also point to a positive scenario for the economy, which could lead to further hikes in interest rates by the Bank of England. *The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Analysis are provided byInstaForex.