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EUR/USD: PULLBACK FROM 2/8 MM LEVEL

16:25 22.06.2017

 

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We've got a pullback from 4/8 MM Level, so wave 2 may have been formed. Also, wave (i) is about to end, so if we have a pullback from 3/8 MM Level, there'll be a green light for wave (ii).

 

1498137880-19b39919ea3548c61354bc34688ed

 

There's a pullback from 2/8 MM Level, so wave iv of (i) may have been ended. Therefore, bears are likely going to deliver wave v of (i). The main intraday target is 0/8 MM Level, which could be a departure point for an upward correction.

 

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CAD/JPY REVERSED SUPPORT ZONE

20:56 22.06.2017

 

CAD/JPY reversed support zone

Next buy target - 85.00

CAD/JPY today reversed up sharply from the support zone lying between the support level 83.70 (previous buy target and the strong resistance level which reversed the pair in May) and the 38.2% Fibonacci correction of the previous sharp downward impulse from the start of June. If the price today closes near the current levels it will form the daily Japanese candlesticks reversal pattern Bullish Engulfing – in line with the active minor impulse waves (iii) and 3. CAD/JPY is expected to rise to the next buy target at the next resistance level 85.00.

 

j919h4Bm.png

 

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AUD/NZD FALLING INSIDE MINOR IMPULSE WAVE (III)

20:58 22.06.2017

 

AUD/NZD falling inside minor impulse wave (iii)

Next sell target - 1.0350

AUD/NZD continues to fall inside the minor impulse wave (iii), which started earlier from the resistance zone lying between the resistance level 1.0550 and the 38.2% Fibonacci correction of the previous sharp downward impulse from the middle of May. AUD/NZD is expected to fall to the next sell target at the next strong support level 1.0350 (former strong support level which reversed the price in January and February). Expect the price to correct up after reaching this support level.

 

j7OKyR7M.png

 

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EUR/USD: EURO HUNG ON TENKAN-KIJUN

08:56 23.06.2017

 

Technical levels: support – 1.1150; resistance – 1.1190, 1.1210.

 

Trade recommendations:

 

Buy — 1.1150/60; SL — 1.1130; TP1 — 1.1190; TP2 – 1.1210.

Reason: narrowing bearish Ichimoku Cloud with rising Senkou Span A; a dead cross of Tenkan-sen and Kijun-sen, but rising Tenkan-sen; the bulls could breakout the Kijun’s resistance.

 

1498197373-5974574d0f06c411e972e24d898d2

 

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GBP/USD: POUND IN CORRECTION TO CLOUD

08:57 23.06.2017

 

Technical levels: support – 1.2670; resistance – 1.2765.

 

Trade recommendations:

 

Buy — 1.2700; SL — 1.2680; TP1 — 1.2765; TP2 — 1.2800.

Reason: narrowing bearish Ichimoku Cloud; rising Senkou Span A; a dead cross of Tenkan-sen and Kijun-sen with rising Tenkan-sen; the local market in a correction phase and the bulls may go higher.

 

1498197447-5838ef800660551113de2aff99712

 

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EUR/USD: MARKET GOING TO REACH NEXT RESISTANCE

10:20 23.06.2017

 

1498202323-9df60f984519bf5407deaaff09a59

 

The price is consolidating near the 55 Moving Average. It seems like bulls are going to test the 34 MA, which could be a departure point for a decline towards the nearest support at 1.1108.

 

1498202323-8eb3de93d7e014b7f0453e137c38c

 

Bulls faced resistance at 1.1165. However, the market is likely going to reach the next resistance at 1.1181 - 1.1193 in the coming hours. If a pullback from this area happens, there'll be an opportunity to have a downward price movement in the direction of support at 1.1131 - 1.1118.

 

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GBP/USD: PRICE NEAR THE LAST HIGH

10:38 23.06.2017

 

1498202323-b6795d47d4dcbebf64af14454b117

 

There's a consolidation, which is taking place below resistance at 1.2705. So, the pair is likely going to achieve the 34 Moving Average in the short term. If we have a pullback from this line, bears will have a green light to reach the closest support at 1.2634 - 1.2581.

 

1498202323-ea0289c6a8b96d43103f538fa3fa0

 

The price is near the last high. Considering that there isn't any reversal pattern so far, the pair is likely going to test the next resistance at 1.2722 - 1.2757. If a pullback from these levels happens, we should keep an eye on the nearest support at 1.2643 - 1.2581 as an intraday bearish target.

 

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USD/CHF: BULLS SHOWED WEAKNESS

10:41 23.06.2017

 

Recommendation

 

BUY 0.9770

 

SL 0.9715

 

TP 0.9925

 

On the daily chart, bulls didn’t manage to push USD/CHF above resistance at 0.9770 and this is the sign of their weakness. A successful test of the diagonal support in the form of the lower border of the uptrend channel will lead to the resumption of the bearish trend. On the contrary, the bounce up from this level will create a base for consolidation in the 0.9675-0.9775 area.  

 

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On H1, bulls still retain hopes for the “Crab” pattern. To reach 161.8% target the pair has to overcome resistance at 0.9770 and 0.9805.

 

1498203589-351a015a31e5fdb2fee97b43bc66a

 

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EUR/USD: EURO RESISTS CORRECTION

10:48 23.06.2017

 

Recommendation

 

BUY 1.1175

 

SL 1.112

 

TP1 1.1235 TP2 1.1285

 

On the daily chart, EUR/USD is undergoing short-term consolidation in the 1.1110-1.1180 area. Bears try to return inside the previous rising channel. If they fail, risks of the uptrend’s resumption will increase.

 

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On H1, EUR/USD formed “Wolfe waves” pattern. The break of resistance at 1.1175 will trigger 1-2-3 and “Crab” patterns. The 161.8% target of the latter is at 1.1275. Together with the historic resistance, it allows distinguishing convergence area of 1.1275-1.1285.

 

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EUR/USD: "SHOOTING STAR" ON MOVING AVERAGE

14:02 23.06.2017

 

1498215680-b6dad00596857a6ea7ff3994ac88c

 

 

The lower "Window" acted as support once again. However, we've got a "Shooting Star" on the 55 Moving Average. So, the market is likely going to test the nearest support.

 

1498215679-5e7a7e931da7b93e8cc25fc3f4d67

 

We've got a "Shooting Star" on the 144 Moving Average. This pattern has been confirmed, so bears are likely going to reach the closest support, which could be a departure point for another upward price movement.

 

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USD/JPY: "TWEEZERS" AND "HAMMER" ON THE TABLE

14:06 23.06.2017

 

1498215680-e56e1fca1b97a7199500dfc532aaa

 

The last "Tweezers" and "Hammer" are still on the table. However, the 55 Moving Average could act as support once again. If so, bulls are likely going to deliver a new local high.

 

1498215679-b05f67a125ed1086e0d25c5bc1cb7

 

We've got a bearish "Tweezers", which has been confirmed enough. Therefore, the pair is likely going to test the lower "Window". If we have a pullback from this level, there'll be an option to have another bullish rally.

 

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EUR/USD: BEARS GOING TO DELIVER ANOTHER IMPULSE

14:11 23.06.2017

 

1498216183-845baede8b86727b1ff8358f62ce6

 

The price is still consolidating under 4/8 MM Level. The main target for wave (i) is 3/8 MM Level, which could be a departure point for wave (ii). Anyway, bears are likely going to deliver wave (iii) afterwards.

 

1498216183-31e51449aaf85c546675e1267ab17

 

There's a pullback from 2/8 MM Level, so wave iv of (i) may have been formed. Therefore, we could have wave v of (i) in the coming hours. However, if a pullback from 0/8 MM Level happens, there'll be an opportunity to have wave (ii).

 

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EUR/USD REVERSED FROM SUPPORT AREA

19:26 23.06.2017

 

EUR/USD reversed from support area

Next buy target - 1.1270

EUR/USD recently reversed up from the support area lying between the support levels 1.1160 (which was set as the sell target in our previous forecast for this currency pair) and 1.1100 (which reversed the price with the daily Hammer in May, as can be seen below). This support area was further strengthened by the lower daily Bollinger Band and by the upper trendline of the recently broken daily up channel (acting as support after it was broken). The upward reversal from this support area started the active minor impulse wave (v). EUR/USD is expected to rise to the next buy target at the resistance level 1.1270.

 

G1vyj5OV.png

 

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CAD/JPY REVERSED SUPPORT ZONE

20:35 23.06.2017

 

CAD/JPY reversed support zone

Next buy target - 85.00

CHF/JPY continues to rise inside the minor impulse wave 3, which started earlier from the support area lying between the key support level 113.00 (previous sell target), lower daily Bollinger Band and the 38.2% Fibonacci correction of the upward price impulse 1 from the middle of April. The upward reversal from this support zone created the daily Japanese candlesticks reversal pattern Bullish Engulfing. CHF/JPY is expected to rise to the next buy target at the next resistance level 115.15 (top of impulse 1)

 

HhcX19gs.png

 

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AUD/USD APPROACHES A POSSIBLE BUY ZONE BETWEEN 0.7500 AND 0.7460

01:32 26.06.2017

 

AUD/USD is starting to retrace from June 14th highs and it’s now heading to a key demand zone established by the 50% Fibonacci retracement level, given that it reached an extreme zone in the upside which coincides with the 100% Fibonacci expansion level. If the pair manages to break below 0.7535, the doors are opened for a testing in the 0.7489 (61.8% Fibo extension zone). Around that area, we should expect a rebound to take place, targeting the 0.7697 level (-23.6%).

 

To the downside, if Aussie manages to consolidate below the 200 SMA at H4 chart, it can reach the support level of 0.7371, followed by the May 9th lows around 0.7327. RSI indicator remains flat.

 

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MORNING BRIEF FOR JUNE 26

09:32 26.06.2017

 

In the absence of the news catalysts over the weekend, the market moves were subdued in Asia today. In the early hours of the session, the focus was on the Bank of Japan's summary of opinion - the info from the last bank's meeting. It did the i's and crossed the t's and made clear that policymakers have no thoughts of tapering any time soon. Despite upbeat growth data, inflation is still far below the target. So, there is still lots of bond purchases going forward. USD/JPY ticked a little bit higher to 111.30 in the Asian session. There is a scope for a further surge towards 111.80. A failed test of this level may result in a rollback towards 111.00, 110.90.

 

USD/CAD rose to 1.3260. The Loonie still needs time to recover from Friday's losses. It weakened significantly at the end of the past week following the extremely poor Canadian CPI. The headline fell to 1.3% from 1.5% and in doing called a halt to the discussion of an imminent rate hike. It seems that the US dollar still has some strength to test the resistance of 1.3340. If the Loonie takes its heart again we will be waiting for its return to 1.3250/1.3210 levels.

 

EUR/USD slipped a few points today and reached 1.1190. German Ifo Business Climate is about to come out at 12:00 GMT+3. An upbeat headline indicating Germany's economic health will push the euro higher towards the nearest resistance at 1.1205 or even higher. A missing print would trigger EUR selling - EUR/USD falling towards the supports at 1.1175/1.1165.

 

Much more interesting than the economic data this week/today will be the number of central banks' head on the speaking roster. The ECB President Mario Draghi and former Fed's Chair Bernanke are set to kick off Sinatra's proceedings with the speeches later this day. In the upcoming three days there will a panel on Wednesday featuring Mark Carney, Mario Draghi, Haruhiko Kuroda and Stephen Poloz. Janet Yellen will be speaking on Wednesday.

 

The British pound increased to 1.2742 in the Asian session. Aussie also made some gains today against USD. It rose to 0.7575 from 0.7600/0.7625. Brent oil futures jumped above $46.20 after having fallen for almost 5 weeks in a row on concerns OPEC-led production cuts may fail to ease a global glut.

 

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EUR/USD: EURO BOUNCED FROM SENKOU SPAN B

09:41 26.06.2017

 

Technical levels: support – 1.1150; resistance – 1.1200.

 

Trade recommendations:

 

Sell — 1.1180/90; SL — 1.1210; TP1 — 1.1150; TP2 – 1.1110.

Reason: narrow bearish Ichimoku Cloud with horizontal Senkou Span A and B; a golden cross of Tenkan-sen and Kijun-sen, but the lines are horizontal; the market bounced from the top border of the Cloud and Bears may continue selling.

 

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GBP/USD: POUND IS UNDER CLOUD’S RESISTANCE

09:42 26.06.2017

 

Technical levels: support – 1.2670; resistance – 1.2765.

 

Trade recommendations:

 

Sell — 1.2740; SL — 1.2460; TP1 — 1.2670; TP2 — 1.2630.

Reason: narrowing bearish Ichimoku Cloud; rising Senkou Span A; a golden cross of Tenkan-sen and Kijun-sen with falling Kijun-sen; the market is under strong resistance of the 4H-Cloud.

 

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NZD / USD: KIWI SETS NEW TARGETS

09:58 26.06.2017

 

Recommendation: BUY 0,7297 SL 0,7242 TP 0,7445.

 

On the NZD/USD daily chart, the correction has finished at the level 23,5% of the CD wave of the Shark patter. This is a signal of the bulls’ strength. If they manage to update June high, the target 88,6% will be no longer relevant; there will be another target 113%.

 

1498460216-82e79d9119e7ff031f103157a40bc

 

On the NZD/USD hourly chart, the quotes went beyond the limits of the triangle. New Zealand dollar tested the upper border of the consolidation in the Splash and ledge pattern on the basis of 1-2-3. Then, there was a rollback. Another test of the resistance at 0.7297 will increase the risks for the continuation of the rally.

 

1498460234-3cc370c82f533116eb1d9caa1f525

 

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GBP/USD: POUND RESTORES THE TREND

10:01 26.06.2017

 

On the GBP/USD daily chart, there is a realization of the Wolfe Waves pattern. The breakout of the diagonal resistance will be a signal for the start of the rally towards $ 1,305. A prerequisite for the implementation of the target is the successful break of the ?1.28-1.2815 area.

 

1498460364-c00c38ed857d1817d5fd8a12a8a39

 

On the GBP/USD hourly chart, the "Expanding Wedge" pattern has been formed. For its activation, point 3 needs to be updated. A successful test of the resistance 1.2815 will allow us to do this. Once the resistance is tested and point 3 is updated there might be a continuation of the rally towards the target 88.6% of the inverted Shark pattern.

 

1498460381-e172bfb48bf4994c714be75e99582

 

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EUR/USD: BULLISH "PENNANT"

10:43 26.06.2017

 

1498462909-3be55f273f28227e6f38029ab03bc

 

The price is consolidating above the 55 Moving Average. Therefore, the market is likely going to reach the nearest resistance at 1.1204 - 1.1232 in the short term. If a pullback from this area happens, there'll be an opportunity to have a decline towards the 89 Moving Average.

 

1498462908-a70610e2a8275bc1080a721f5342d

 

Bulls faced resistance at 1.1212, so the price is consolidating. Also, we've got a "Pennant" pattern, so the pair is likely going to achieve resistance at 1.1227 during the day. However, if we see a pullback from this level, bears will probably try to test support at 1.1165 - 1.1137.

 

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GBP/USD: RESISTANCE WAITING FOR BULLS

10:46 26.06.2017

 

1498462908-95053ac0e856381cf589a05a5fb67

 

The price found resistance at 1.2757, but bulls are likely going to reach the next resistance at 1.2817 in the short term. Meanwhile, if a pullback from this level arrives afterwards, there'll be an option to have a local decline in the direction of the closest support at 1.2678 - 1.2634.

 

1498462908-f2bdb49f769afceda14efa3da1441

 

We've got a consolidation, which is taking place under resistance at 1.2757. In this case, the market is likely going to test the nearest resistance at 1.2793 in the coming hours. If we see a pullback from this level, bears will have a green light to achieve support at 1.2690 - 1.2643.

 

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EUR/USD: BEARISH "HIGH WAVE" AND "ENGULFING"

14:55 26.06.2017

 

1498478036-a6eb6a5d9349a7824add3a7fe10db

 

The price tested the nearest resistance once again, so we've got a bearish "Tweezers" on this level. Considering a confirmation of this pattern, bears are likely going to test the 89 Moving Average in the short term. If a pullback from this line happens, there'll be an opportunity to have another upward price movement.

 

1498478036-f0e61a6838a9d50a5988ffc1f4e57

 

There're bearish patterns, such a "High Wave" and an "Engulfing", which both have been confirmed. Therefore, the market is likely going to test the nearest support level, but bulls will probably try to achieve the Moving Averages afterwards.

 

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USD/JPY: "WINDOW" ACTED AS SUPPORT FOR THE SECOND TIME

14:58 26.06.2017

 

1498478037-2334eecb3dbac4bf67f0073e3e60a

 

The 21 Moving Average has acted as support, so we've got a "Tweezers" and a "Hammer", which all have been confirmed. In this case, the pair is likely going to test the nearest resistance level. If any bearish pattern arrives later on, there'll be an option to have a bearish correction.

 

1498478036-606391f5c1fc8e8800d33c0f424e0

 

The lower "Window" has acted as support for the second time. Also, there isn't any bearish pattern so far, which means the pair is likely going to continue moving up.

 

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EUR/USD: DEVELOPING WAVE (II)

17:09 26.06.2017

 

1498486082-4cc0a2a1ed0cd811740b21f45a399

 

There's developing wave (ii), which is taking place under 4/8 MM Level. Previously, we've got a triangle in wave (iv). If a pullback from 4/8 MM Level happens afterwards, bears are likely going to deliver wave (iii).

 

1498486082-3cf777901ff867474d4341bcc42b2

 

As you can see on the one-hour chart, there's a possible flat pattern in wave (ii). Also, we've got a developing diagonal triangle in wave c of (ii). Therefore, if a pullback from 4/8 MM Level happens, there'll be a green light to have another decline and a new local low.

 

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