EUR/USD: general review
 
Current trend
The pair continues growing amid some weakening in the USD.
The American currency remains under pressure prior to the Fed Interest Rate Decision that is due today. Experts predict that monetary policy will stay unchanged. Furthermore, due to problems in China and falling oil prices the regulator might delay the next rate hike until summer that would significantly support the pair.
 
Support and resistance
Support levels: 1.0787 (active trade), 1.0820.
Resistance levels: 1.0977, 1.1370.
 
Trading tips
Long positions can be opened from the level of 1.0820 with the target at 1.1370 and stop-loss at 1.0780.

XAG/USD: technical analysis
 
XAG/USD, D1
On the daily chart, the pair is trading above the upper MA of Bollinger Bands. The price remains below the EMA100 and EMA144, both directed horizontally. MACD histogram is in the positive zone, its volumes are insignificant. The DI lines are directed down; ADX is growing.
 
XAG/USD, H4
On the 4-hour chart, the pair is trading in the area of the upper MA of Bollinger Bands. The price remains above the EMA50, EMA100 and EMA144, all directed up. MACD histogram is in the positive zone. The DI lines are moving in different directions; ADX is falling.
 
Support and resistance
Support levels: 14.37, 14.25, 13.99, 13.78, 13.68.
Resistance levels: 14.52, 14.70, 14.95, 15.28, 15.51, 16.13, 16.34.
 
Trading tips
Long positions can be opened from the level of 14.52 with targets at 14.70, 14.95 and stop-loss at 14.37.
Short positions can be opened from the level of 14.37 with targets at 14.25, 14.00 and stop-loss at 14.50.
Validity – 1-2 days.

EUR/USD: general review

Current trend
Today the pair continued growing despite the publication of mixed data in the eurozone. The Producer Price Index for December fell to -0.8% that was substantially worse than forecasts of economists. At the same time, the Unemployment Rate slightly fell as well, from 10.5% to 10.4%. Therefore, continuous decline in prices could force the ECB to expand its stimulation program or cut interest rates further, either of which would significantly pressure the Euro.

Support and resistance
Support levels: 1.0894.
Resistance levels: 1.0943.

Trading tips
Short positions can be opened from the level of 1.0943 with the target at 1.0890 and stop-loss at 1.0955.

USD/CAD: pair is falling

Current trend
Yesterday the pair significantly declined amid growing oil prices that were supported by strong data on the Caixin China Services PMI.
In addition, the pair was pressured by mixed data from the US. The ADP Employment Change for January came out at 205 thousands that was better than forecasts but substantially worse than the previous figure. The Markit Services PMI for January fell from 53.7 to 53.2 points, which did not match the expectations.
Tomorrow attention needs to be paid to labour market data from the US and Canada.

Support and resistance
Bollinger Bands on the daily chart is moving down while the price range is slowly widening. MACD continues growing. Stochastic is in the oversold zone and trying to turn up.
The indicators recommend waiting for clearer trading signals.
Support levels: 1.3780 (local low), 1.3700, 1.3650, 1.3622 (10 December 2015 low), 1.3554, 1.3500.
Resistance levels: 1.3850 (local high), 1.3900, 1.3947, 1.4000 (psychologically important level), 1.4050, 1.4100 (local high), 1.4169, 1.4200, 1.4325 (26 January high).

Trading tips
Long positions can be opened after the breakout of the level of 1.3780 with the target at 1.4000 and stop-loss at 1.3700. Validity – 2-3 days.
Short positions can be opened after the breakdown of the level of 1.3700 with targets at 1.3550, 1.3500 and stop-loss at 1.3760. Validity – 2-3 days.

EUR/USD: general analysis

Current trend

The European currency was strengthening against the US Dollar. The pair gained support from Iran’s decision to replace the US Dollar with the Euro in its oil sales. Moreover, Teheran has required buyers of its oil to pay their debts in euros as well. Thus, India, which owes about $6 billion, has already reached an agreement on this issue with Iran. In this situation, the demand for the Euro might increase, and the currency is likely to continue strengthening.

Support and resistance

Support level: 1.1105.
Resistance level: 1.1246.

Trading tips

Long positions can be opened from the level of 1.1246 with the target at 1.1370 and stop-loss at 1.1200.

AUD/USD: technical analysis

Current trend

This week, the AUD/USD pair was falling and reached its three week low at 0.6972. However, a correction started, the level of 0.7078, where the middle MA of Bollinger Bands and the 38.2% Fibonacci correction have concentrated, was broken out. At present, the pair is likely to strengthen to 0.7136 (23.6% Fibonacci correction) and 0.7160 (upper MA of Bollinger Bands). At the same time, the Head and Shoulders pattern seems to be forming that indicates a possibility of a fall from 0.7136 and 0.7160 to 0.7032 (50.0% correction), 0.6986 (61.8% correction) and 0.6937.

Support and resistance

Technical indicators are giving mixed signals. Bollinger Bands are turning down, limiting a growth in the pair. MACD histogram is about to enter the positive zone and form a buy signal. Stochastic lines have started turning down near the overbought zone.

Support levels: 0.7078, 0.7032, 0.6986, 0.6937.
Resistance levels: 0.7136, 0.7160, 0.7229, 0.7300.

Trading tips

Short positions are preferable but can be opened below the level of 0.7078 with targets at 0.7032, 0.6986 and stop-loss at 0.7110.
Long positions would become valid in case of the consolidation above the level of 0.7160 with targets at 0.7229, 0.7300 and stop-loss at 0.7130.

EUR/USD: general review

Current trend

The pair continues strengthening amid falling stock markets and weakening in the US Dollar. The Dollar was pressured by Fed Chair Janet Yellen testimony before the US Congress, after which the probability of further rate hikes significantly decreased. In addition, the head of the regulator stated that rate cuts remain a possibility if the situation requires this measure. And considering declining major macroeconomic indices and low inflation in the country, and the slowing Chinese economy, a possibility of this scenario exists.

Support and resistance

Support levels: 1.1224.
Resistance levels: 1.1321.

Trading tips

Long positions can be opened from the level of 1.1224 with the target at 1.1380 and stop-loss at 1.1185.

GBP/USD: triangle has been formed; breakout of the upper border is expected

Current trend

During several months, the British Pound was falling against the US Dollar. However, at the beginning of February, the GBP/USD pair started growing within a narrow ascending channel and reached the key resistance level of 1.4670. For the last few days, the pair has been trading in a sideways channel and forming a triangle pattern.

Today, ahead of the macroeconomic releases, the Pound gained support and strengthened to the upper border of the triangle. However, later on, amid negative data on Consumer Price Index and Retail Price Index, released in the UK, the pair fell to the lower border. Key statistics for the UK and the US which might influence dynamics in the pair are due tomorrow and at the end of the trading week.

Support and resistance

If the lower border of the triangle is broken down, the pair would fall to 1.4180. In case of favorable data on the UK, the price might overcome the upper border and continue growing to 1.4670 and 1.4775.

According to technical indicators, the pair is likely to keep moving up. The price reached the middle MA of Bollinger Bands. MACD shows that volumes of short positions are falling.

Support levels: 1.4425, 1.4335, 1.4285, 1.4180, 1.4100, 1.4050, 1.3970.
Resistance levels: 1.4510, 1.4565, 1.4600, 1.4670, 1.4740, 1.4775, 1.4915, 1.5020.

Trading tips

Pending sell orders can be placed at the level of 1.4390 with the target at 1.4290 and stop-loss at 1.4420.
Pending buy orders can be placed at the level of 1.4530 with the target at 1.4630 and stop-loss at 1.4500.

AUD/JPY: Australian Dollar resumed growth

Current trend

Yesterday the pair strengthened amid growing prices for commodities.
Supportive news that hit the markets yesterday were that Iran agreed to the proposal by few OPEC member-countries to freeze current output levels of oil. The country, however, did not specify the dates when restrictions will come into effect.
At the same time, the Yen remains under pressure after the last week’s rally as investors are worrying that the Bank of Japan may intervene in the market should the Yen continues strengthening.

Support and resistance

Bollinger Bands on the daily chart is moving down while the price range is narrowing. MACD is growing and giving a quite strong buy signal. Stochastic reached the overbought zone and trying to turn down.
The indicators recommend waiting for clearer trading signals.
Support levels: 81.00 (local low), 80.34 (local low), 80.00, 79.20, 77.57 (11 February low).
Resistance levels: 82.06 (local high), 82.41 (16 February high), 83.00, 83.62, 84.46, 85.00 (4 February high), 85.69, 86.00, 86.35 (29 January high).

Trading tips
Long positions can be opened after the price consolidation above the level of 82.06 (with the appropriate indicators signals) with targets at 83.50, 84.50, 85.00 and stop-loss at 81.00. Validity – 2-4 days.
Short positions can be opened after the breakdown of the level of 80.34 with targets at 78.00, 77.50 and stop-loss at 81.00. Validity – 2-4 days.

EUR/USD: general analysis

Current trend

The EUR/USD pair continues falling. The European currency is under pressure from Germany’s macroeconomic releases. IFO Expectations indicator came below the forecast, having fallen to 98.8 points. The statistics have raised concern that the eurozone’s largest economy is experiencing a slowdown.
Today, attention needs to be paid to data on Consumer Confidence, due in the US. If the indicator exceeds 97 points, the Euro is likely to continue its decline.

Support and resistance

RSI has reached the 30 level, indicating the price is approaching the overbought zone and can turn down from the current levels 1.0990-1.0970.
The nearest support level is 1.0991.
The nearest resistance level is 1.1052.

Trading tips

Short positions can be opened from the level of 1.0980 with the target at 1.0950 and stop-loss at 1.1000.

EUR/JPY: pair remains under pressure

Current trend

The European currency is losing positions against the Japanese Yen amid a very low appetite for risk. On Wednesday, the pair reached its lows since April 2013, having fallen to the level of 122.45.
The Euro came under moderate pressure from recent macroeconomic data. In particular, France’s Consumer Confidence fell to 95 in February from 97 that is the lowest reading for the last six months.
At the same time, Japan’s statistics did not manage to support the national currency. Thus, Coincident Index was down to 110.9 points in December from 111.9 points.

Support and resistance

Bollinger Bands indicator on the daily chart is directed down. The price range tends to narrow down reflecting correctional dynamics in the pair. MACD has started growing but is still keeping a sell signal. Stochastic is in the oversold zone and trying to turn up indicating an upward correction in the pair.
The indicators recommend waiting for clearer trading signals.
Support levels: 123.57, 123.06 (23 February low), 122.45 (24 February low).
Resistance levels: 124.22, 125.00, 125.77, 126.16, 126.62 (18 February level), 127.30, 128.17 (16 February high), 128.75, 129.13.

Trading tips

Long positions can be opened after the consolidation above the level of 125.00 with targets at 126.60, 127.00 and stop-loss at 124.20. Validity – 2-3 days.
Short positions can be opened if the price turns down at the level of 125.00 with the target at 122.45 and stop-loss at 125.50. Validity – 2-3 days.

GBP/USD: general review

Current trend
Last week the pair significantly fell having lost around 400 points and reached its March 2009 lows.
The pair was substantially pressured by strong data from the US on the GDP for the fourth quarter of 2015 and Personal Consumption Expenditure – Price Index. Furthermore, UK’s data on the Total Business Investment and Consumer Confidence came out worse than expectations, which added to the pressure on the pair.
Today attention needs to be paid to data on Pending Home Sales for January from the US.

Support and resistance
On the 4-hour chart, the pair is trading near the lower MA of Bollinger Bands. Moving averages with 50, 100 and 144 periods remain above the price and directed down. MACD histogram is in the negative zone and its volumes are barely changing. ADX indicates a fall in the price, while DI lines are crossing each other and heading in opposite directions.
Support levels: 1.3841.
Resistance levels: 1.3878, 1.3923, 1.3965, 1.4025, 1.4070, 1.4107.

Trading tips
Short positions can be opened from the level of 1.3840 with targets at 1.3800, 1.3760 and stop-loss at 1.3870. Validity – 1-2 days.
Long positons can be opened from the level of 1.3920 with the target at 1.3960 and stop-loss at 1.3900. Validity- 1-2 days.