Daily Analysis of Major Pairs for April 26, 2016
EUR/USD: On April 25, 2016, this pair bounced upwards in the context of a downtrend. The downtrend is still a valid thing, therefore the upwards bounce could be seen as a selling opportunity, if the price does not go above the resistance line at 1.1400. Bears might target the support line at 1.1200 and 1.1150 this week.
USD/CHF: The market came down slightly yesterday in the context of an uptrend. The uptrend is supposed to continue today or tomorrow, turning the current price action into a buying opportunity. As it was said earlier this week though, there is a possible obstacle in the way of this uptrend, and stamina in the Swiss franc is expected. It would also be visible in other CHF pairs.
GBP/USD: The GBP/USD pair was able to move upwards on Monday, following the rally that started last week. The price is now moving towards the distribution territory at 1.4500, trying to break it to the upside. The distribution territory could be broken to the upside today, owing to the Bullish Confirmation Pattern on the chart, targeting another distribution territory at 1.4550.
USD/JPY: Yesterday, this currency trading instrument dipped slightly in the context of an uptrend. The uptrend is still a valid thing, therefore the upwards dip could be seen as a buying opportunity, if the price does not go below the demand level of 109.00. The bulls might target the supply levels at 112.00 and 112.50 this week. However, it should be kept in mind that the Japanese yen could gain stamina before the end of this month, which would cause other JPY pairs to trend downwards.
EUR/JPY: This is a bull market in the near-term. The EMA 11 is above the EMA 56, and the RSI period 14 is above the level of 50. It is possible that the price goes further upwards from here, reaching the supply zone at 126.00; the only obstacle in the way is the expected stamina in the Japanese yen.
The material has been provided by InstaForex Company - www.instaforex.com