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FX.co ★ Daily analysis of major pairs for August 26, 2016

Daily analysis of major pairs for August 26, 2016

EUR/USD: On this currency trading instrument, there are mixed signals. The Williams' % Range period 20 is inot far from the oversold region while the EMA 11 is above the EMA 56. It is most likely that the Williams' % Range would slope upwards to agree with the positions of the EMAs, forming a clean bullish signal as bulls begin to target the resistance lines at 1.1300 and 1.1350. This is the expectation for next week.

Daily analysis of major pairs for August 26, 2016

USD/CHF: There is a bullish signal on the USD/CHF, which would also lead to a Bullish Confirmation Pattern in the 4-hour chart as soon as price goes above the resistance level at 0.9750, which is the most probable line of action when momentum returns to the market.

Daily analysis of major pairs for August 26, 2016

GBP/USD: Since this market tested the distribution territory is at 1.3250, price has been corrected lower a bit. However, the outlook on the market is still bullish in the near term. Although the Williams' % Range period 20 is sloping downwards in conjunction with the extant shallow bearish correction, the EMA 11 remains above the EMA 56. It is possible that price would go back upwards, even beyond the distribution territory at 1.3250.

Daily analysis of major pairs for August 26, 2016

USD/JPY: The bias on the USD/JPY has turned neutral. A further sideways movement for more several trading days would eventually lead to a tighter condition in the market, as shown by the low volatility across the markets. However, there is going to be a breakout next week, which would most possibly favor bears.

Daily analysis of major pairs for August 26, 2016

EUR/JPY: This is a flat market and the bias has really turned neutral. It is better to stay out of the market right now (unless one is a scalper). However, a breakout would happen next week, which would most probably favor bears. For a breakout to be valid, price needs to go below the demand zone at 112.00 or above the supply zone at 114.50.

Daily analysis of major pairs for August 26, 2016

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
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