Technical analysis of NZD/USD for July 9, 2014 2014-07-09 1404901915_nzdusdweekly.png Overview: The NZD/USD pair is in the short term. The last double top had already set at the price of 0.8846 in the weekly chart. Moreover, it should be noted that the level of 0.8856 is representing the highest price. So, the market will turn to the bearish sentiment from the level of 0.8846. Additionally, support has reached 0.8725 and resistance is going to set at the spot of 0.8850. Hence, we expect a new range of 121 pips this week. Therefore, it will be a good sign to sell at the 0.8846 price with the first target of 0.88. Furthermore, it will continue in the downtrend in order to keep its bearish movement towards 0.8725 (it should be also noticed that the level of 0.8725 is going to form a strong support on July 9, 2014). Notwithstanding, the stop loss should never exceed your maximum exposure amounts. Accordingly, the stop loss should be placed above the double top (0.8846) at the level of 0.8880. nzdusdh4.png GBP/USD intraday technical levels and trading recommendations for July 9, 2014 2014-07-09 gbpdaily.jpggbp4h.jpg Bullish breakout above the depicted bearish channel took place exposing price levels around 1.6985 as a projection target. Simultaneously, daily closure above 1.6820 took place enhancing a bullish impulse towards 1.6900 and 1.7000. The GBP/USD pair managed to break through the psychological resistance around 1.7000 which provided extensive bearish pressure during the last visit on May 6. Bullish pressure was applied at retesting the bullish channel lower limit depicted on the 4H chart. This pushed the pair towards 1.7150 where the upper limit of the depicted channel is located. Bullish pressure was applied to break through the upper limit of the 4H movement channel. However, lack of follow-through is now witnessed on the chart as bullish pressure being applied is not enough to ensure success of the bullish breakout. On the other hand, intraday resistance is being exercised. A short-term SELL position can be taken at the current prices with SL located just above 1.7190. Breakdown of 1.7120 - 1.7100 ensures a deeper bearish correction towards 1.7050 initially. Price levels of 1.7050 constitutes a significant support level to meet the pair on its way downwards. Its also a key-level to determine how deep bearish correction can go before resuming the bullish momentum. USD/CAD intraday technical levels and trading recommendations for July 9, 2014 2014-07-09 caddaily.jpgcad4h.jpg Since the USD/CAD bulls failed to show enough momentum above 1.1200 during the last visit on March 20, the pair has been downtrending within the depicted bearish channel, which managed to push towards the price zone of 1.0910-1.0850 (50-61.8% Fibonacci levels on the daily chart) where the pair has established a prominent congestion zone. The USD/CAD pair found solid resistance around 1.0910-1.0950 that were able to resume the ongoing bearish momentum. The pair was trapped within the depicted congestion zone between two very important Fibonacci Levels until bearish breakout turned to the bearish side. Bearish projection targets got visited at 1.0725 and 1.0685 respectively (the lower limit of the ongoing bearish channel). Bullish price action originated quite obviously when retesting of 1.0655-1.0630 which is the origin of the previous bullish impulse initiated in December 2013. Please, also note the steep bearish channel depicted on the 4H chart. The price keeps respecting its limits at retesting. The pair is currently retesting the backside of the broken upper limit. Thats why, price action should be watched for a possible BUY entry. SL should be set as daily closure below 1.0600. Note the state of indecision taking place around the current prices. This should render the bulls conservative with the mentioned Stop Loss and their potential targets around 1.0790-1.0800. Technical analysis of EUR/USD for July 9, 2014 2014-07-09 eurusdh1.png Trading recommendations: According to the previous events, the price of the EUR/USD pair is still between the levels of 1.3585 and 1.3625. Moreover, it should be noted that the market was quite stable and the downward trend was also obvious. Futhermore, likewise, the range was around 130 pips last week. Additionally, the value of 38.2% Fibonacci retracement levels is 1.3629 for that the key level of 1.3626, is available for a downtrend to confirm the bearsh market. Therefore, sell deals are recommended below the 1.3626 level with targets at 1.3585 (the double bottom) as it will resume towards 1.3552 in order to test weekly support 1. It should be noted the descending movement will probably be lower than 1.3511 level (it will form a new double bottom). Please check out the market volatility before investing, because the sight price may have already been reached and the scenarios would become invalidate.
Posted on: Wed, 09 Jul 2014 14:29:27 +0000
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