FX.co ★ Daily analysis of major pairs for March 29, 2017

EUR/USD: The EUR/USD opened this week with a minor gap-up. Price went upwards in conjunction with the extant bullish outlook, testing the resistance line at 1.0900, and then pulling back. It is possible that price would rally from here; although a movement below the support line at 1.0650 would mean the end of the current bullish outlook.

USD/CHF: The USD/CHF went sideways on Monday and then rallied on Tuesday. Although that rally was not significant enough to render the current bearish bias invalid. The EMA 11 remains below the EMA 56 (though the Williams' % Range period 20 is heading into the overbought region, which would harbinger a stall in the current rally). Whatever happens, today would determine the next direction in the market.

GBP/USD: The Cable trudged upwards and tested the distribution territory at 1.2600 and pulled back. The pullback has not been strong enough to override the extent bullish outlook on the market: unless the price goes below the accumulation territories at 1.2400 and 1.2350. From this point, there is a possibility that price could try to recover the recent short-term losses.

USD/JPY: This pair consolidated on Monday and then bounced upwards on Tuesday. There remains a Bearish Confirmation Pattern in the market, and unless the price goes upwards by at least, 200 pips, there would not be a threat to the extent bearish bias. The bearish bias would hold until there is a strong rally in the market.

EUR/JPY: The EUR/JPY has consolidated so far this week – in the context of a downtrend. There would soon be some momentum in the market, and while the demand zones at 120.00 and 119.50 could be tested, it is expected that there would be some rally before the end of the week.