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1 EUR/USD: plan for the European session on 12 December. Breakthrough of important support levels
EUR/USD: plan for the European session on December 12. Breakthrough of important support levels
To open long positions on EURUSD you need: Euro buyers are in a very difficult situation. To maintain any hope for an upward movement, it is necessary to stay above the support level of 1.1320-1.1310 and form a false breakout there, which will lead to an increase in the area of intermediate resistance of 1.1341, where the upward potential will be limited. Only a consolidation above 1.1341 will lead to the formation of a larger upward wave in the euro with an update of the high of 1.1370,...

To open long positions on EURUSD you need:

Euro buyers are in a very difficult situation. To maintain any hope for an upward movement, it is necessary to stay above the support level of 1.1320-1.1310 and form a false breakout there, which will lead to an increase in the area of intermediate resistance of 1.1341, where the upward potential will be limited. Only a consolidation above 1.1341 will lead to the formation of a larger upward wave in the euro with an update of the high of 1.1370, where I recommend taking profits. If the data on the volume of industrial production in the euro area will come out bad, it is best to count on new purchases of the EUR/USD after updating the low of 1.1293 or a rebound from 1.1268.

To open short positions on EURUSD you need:

Bears need to break below the support of 1.1310, which has repeatedly saved buyers from a major sale. Another test can lead to a breakdown and the formation of a new downward movement in the area of lows 1.1293 and 1.1268, where I recommend to lock in the profit. In the event of a good fundamental statistics in the first half of the day, only the formation of a false breakout at the level of 1.1341 will be a signal to the sell the euro. In another scenario, you can open short positions on the rebound from the high of 1.1370.

Indicator signals:

Moving averages

Trading is below the 30-day and 50-day moving averages, which indicates the continuation of the downward trend. 30-day average acts as a resistance, where you can watch short positions on the euro.

Bollinger Bands

The upward correction in the pair will be limited by the upper limit of the Bollinger Bands indicator in the area of 1.1378, the test of which will be a signal to sell. In case the euro declines, long positions can be seen at a rebound from the lower border, which is located in the area 1.1290.

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Description of indicators

  • MA (moving average) 50 days - yellow
  • MA (moving average) 30 days - green
  • MACD: fast EMA 12, slow EMA 26, SMA 9
  • Bollinger Bands 20
Forex analysis 12 Dec 2018, 05:49 UTC+00
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2 EUR and GBP: How long is the correction of the euro and pound?
How long is the correction of the euro and pound? British Prime Minister Theresa May went to negotiate with European...
The British pound regained some positions after a major drop yesterday in the news about the postponement of the Brexit vote in the British Parliament. Meanwhile today, British Prime Minister Theresa May went to negotiate with European leaders, on which she will try to convince them to make concessions under the terms of Brexit. European Commission President Jean-Claude Juncker has already said that a guarantee of the absence of a rigid border in Ireland is necessary, and therefore...

The British pound regained some positions after a major drop yesterday in the news about the postponement of the Brexit vote in the British Parliament.

Meanwhile today, British Prime Minister Theresa May went to negotiate with European leaders, on which she will try to convince them to make concessions under the terms of Brexit.

European Commission President Jean-Claude Juncker has already said that a guarantee of the absence of a rigid border in Ireland is necessary, and therefore there is no space left to review the deal. The only solution is to offer more clarity and interpretation of the Brexit transaction.

Let me remind you that the European court allowed the UK to remain in the EU customs zone indefinitely, which will eliminate the need for customs control. However, the Prime Minister of Great Britain considers this as a temporary solution, as he is rejected by hard supporters of Brexit. Secondly, it cannot please one, as well as, PM May, which slows down the signing of the agreement. Supporters of the break in relations with the EU are confident that the further presence of Great Britain in the customs union with the EU will limit the possibility of entering into new trade agreements and establish their own immigration and environmental regulations.

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The UK has already announced that it is not going to revise the withdrawal agreement. The same attitude of officials to the political declaration, which was recently signed and which has no legal force.

The situation gets confused more and more.

Today's data on wage growth in the UK supported the British pound, which corrected after yesterday's fall in tandem with the US dollar but the labor market has failed to please investors.

According to a report, wages in the UK rose from August to October of this year. he report of the National Bureau of Statistics states that in the aforementioned period, the average earnings in the UK grew by 3.3% compared with the previous year, after growing by 3.1% from July to September.

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As I noted above, the number of unemployed for the period from August to October. On the contrary, increased by 20,000 people and the unemployment rate rose to 4.1% from 4%. The number of applications for unemployment benefits in November increased by 11,800.

As for the technical picture of the GBP/USD pair, only a breakthrough of resistance in the 1.2620 area will be able to form a new wave of purchases along with the demolition of a number of stop orders, which will lead to an update of the maximum of 1.2675 and 1.2720. However, any negative news from Brexit will bring pound sellers back to the market. Therefore, it will not be entirely correct to expect a larger upward correction in the current conditions.

The European currency also recovered from yesterday's decline amid a positive report from the Economic Research Institute ZEW. According to the data, the index of economic expectations rose to -17.5 points in December against -24.1 points in November of this year. Economists predicted that the index will be -24.0 points. ZEW noted that the rise in the economic expectations index is a positive development, but it should not be given too much importance. The index of current conditions in Germany in December fell by 12.9 points, to 45.3 points.

As for the technical picture of the EUR/USD pair, buyers managed to stay above the level of 1.1355, which indicates the presence of large players in the market. The current situation allows us to build a lower border of the ascending channel and count on a breakthrough of resistance 1.1390 with further growth in the area of 1.1415 and 1.1450. In the event of a decline in the euro in the afternoon, amid a good report on producer prices in the United States, support can only be expected from the large range 1.1320-1.1310.

Forex analysis 11 Dec 2018, 12:47 UTC+00
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3 GBP/USD. December 11th. Results of the day. The British pound requires any decision on Brexit
On the second trading day of the week, the British pound sterling corrected slightly against the previous decline and...
4-hour timeframe The amplitude of the last 5 days (high-low): 182p - 126p - 112p - 80p - 253p. Average amplitude for the last 5 days: 151p (125p). On the second trading day of the week, the British pound slightly adjusted against the previous day's decline and is trying to resume the downward movement. It even makes no sense now to say that the bulls have little strength. The fact is that now none of the major or small players simply have a desire to buy the British currency. The...

4-hour timeframe

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The amplitude of the last 5 days (high-low): 182p - 126p - 112p - 80p - 253p.

Average amplitude for the last 5 days: 151p (125p).

On the second trading day of the week, the British pound slightly adjusted against the previous day's decline and is trying to resume the downward movement. It even makes no sense now to say that the bulls have little strength. The fact is that now none of the major or small players simply have a desire to buy the British currency. The situation on Brexit is not only not being solved, but is also being dragged out, now by British Prime Minister Theresa May. The refusal to vote in Parliament on Tuesday only means that May is not ready to lose, but understands that it is unlikely she will be able to collect the necessary votes to approve her Brexit plan. On the other hand, it is unclear what the prime minister expected earlier? The fact that the "Chequers" plan has a lot of opponents, like Brexit itself, has been clear since a long time ago. From our point of view, Mrs. May is preparing some unusual move. The second option - the time for which the vote on Brexit is postponed, will be spent to lure as many politicians as possible, tritely agreeing with them. Therefore, we believe that the probability of adopting the Chequers plan remains 50/50. But the pound does not understand this. For several days, the currency of Great Britain was trampled in one place, as if making it clear what awaits the results of the vote. However, when it became clear that the decision of the key issue for the country was again postponed, the pound fell again. Now it doesn't even matter, what options are there in the UK. For the pound sterling, salvation will come only from making at least some decision on Brexit as quickly as possible. Without this, we risk seeing the British pound rate par with the US dollar.

Trading recommendations:

The GBP/USD currency pair slightly adjusted, but now it can resume a downward movement with targets at 1.2463 and 1.2422. There was no rebound from the Kijun-sen line, and with the downward turn, the MACD indicator can be very late. Therefore, the signal as such to sales yet.

Longs can be considered, from a technical point of view, after the traders overcome the moving average line. However, from a fundamental point of view, this option is extremely unlikely in the near future.

In addition to the technical picture, fundamental data and the timing of their release should also be taken into account.

Explanation of illustration:

Ichimoku Indicator:

Tenkan-sen-red line.

Kijun-sen – blue line.

Senkou span a – light brown dotted line.

Senkou span B – light purple dotted line.

Chikou span – green line.

Bollinger Bands Indicator:

3 yellow lines.

MACD:

Red line and histogram with white bars in the indicator window.

Forex analysis 11 Dec 2018, 21:39 UTC+00
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4 Fundamental Analysis of GBP/USD for December 11, 2018
GBP/USD has been quite impulsive under the bearish pressure recently. The pair is expected to extend its decline much...
GBP/USD has been quite impulsive under the bearish pressure recently which pushed the price below 1.2600 area with a daily close. As the UK is facing headwinds due to the BREXIT deal, GBP has lost momentum, plummeting to a 20-month low against USD. British Prime Minister Theresa May has postponed a parliamentary vote on her Brexit deal to look for more concession, but the European Union refused to renegotiate. British PM Theresa May is still trying quite hard right now, asking for support...

GBP/USD has been quite impulsive under the bearish pressure recently which pushed the price below 1.2600 area with a daily close. As the UK is facing headwinds due to the BREXIT deal, GBP has lost momentum, plummeting to a 20-month low against USD.

British Prime Minister Theresa May has postponed a parliamentary vote on her Brexit deal to look for more concession, but the European Union refused to renegotiate. British PM Theresa May is still trying quite hard right now, asking for support to fine-tune her Brexit deal in a last ditch bid to save it. The Brexit deal is getting more and more puzzled as the countdown is going on until the deadline of March 29, 2019. Today UK Average Earning Index report was published with an increase to 3.3% from the previous value of 3.1% which was expected to decrease to 3.0%, Unemployment Rate remained unchanged as expected at 4.1%, and Claimant Count Change disappointed with increasing to 21.9k from the previous figure of 20.2k which was expected to decrease to 13.2k.

On the other hand, USD has been struggling with the worse-than-expected economic reports and FED's softer rhetoric on monetary tightening. The Federal Reserve's plans to continue raising interest rates next year were met with more skepticism on Wall Street on Monday. Though FED unveiled its plan to raise the funds rate at least 3 times in 2019, the regulator is currently turning to a pause and indecision due to sharp tightening of financial conditions. In light of the recent downbeat nonfarm payrolls, the economic situation in the US is currently quite uncertain. Ahead of probable rate hike decision this month, the pair is set to trade with higher volatility. Today US PPI report is going to be published which is expected to decrease to 0.0% from the previous value of 0.6% and Core PPI is also expected to decrease to 0.1% from the previous value of 0.5%. Moreover, tomorrow CPI report is expected to reveal a decrease to 0.0% from the previous value of 0.3% and Core CPI is expected to be unchanged at 0.2%.

Meanwhile, future of GBP is currently quite uncertain amid sound economic data but poor fundamentals due to the BREXIT jitters which might lead to severe downward momentum against USD. Traders are cautious to express sentiment on USD amid Fed indecision about a pace of monetary tightening. Nevertheless, traders have optimistic expectations for the nearest economic reports and events that might lead to stable gains in the future.

Now let us look at the technical view. The price has pushed quite impulsively higher today. This led the price to retest 1.2600 area from where it is expected to push lower towards 1.2500-50 support area in the coming days. As the price remains below 1.2700 area with a daily close, further bearish pressure is expected in this pair.

SUPPORT: 1.2500-50

RESISTANCE: 1.2600, 1.2700

BIAS: BEARISH

MOMENTUM: NON-VOLATILE

analytics5c0f9f471855c.png

Forex analysis 11 Dec 2018, 10:28 UTC+00
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5 EUR / USD pair: plan for the US session on December 11. Euro Buyer Returns To Market
Euro buyers coped with the task of returning and fixing above the resistance level of 1.1384. This happened due to...
To open long positions on EUR / USD pair, you need: Euro buyers coped with the task of returning and fixing above the resistance level of 1.1384. This happened due to good fundamental statistics, which indicated an increase in activity in the business sphere of Germany and the eurozone. While trading is above the support of 1.1384, the demand for the euro will continue and the main goal will be to update the maximum in the area of 1.1412, where I recommend taking profits. The Breakthrough...

To open long positions on EUR / USD pair, you need:

Euro buyers coped with the task of returning and fixing above the resistance level of 1.1384. This happened due to good fundamental statistics, which indicated an increase in activity in the business sphere of Germany and the eurozone. While trading is above the support of 1.1384, the demand for the euro will continue and the main goal will be to update the maximum in the area of 1.1412, where I recommend taking profits. The Breakthrough at this level will lead the euro to the maximum of the month 1.1443. In case of a decrease in EUR / USD in the afternoon, long positions can only be returned from the support level in the region of 1.1355.

To open short positions on EUR / USD pair, you need:

The bears need to return to the level of 1.1384, which will lead to the closure of a number of long positions in euros and a decrease to the support area of 1.1355, where I recommend taking profits. In the case of weak data on the producer price index in the US, which is scheduled for the second half of the day, it is best to consider short positions in EUR / USD after forming a false breakdown in the 1.1412 resistance area or rebound from the 1.1443 maximum.

Indicator signals:

Moving averages

Trade returned to the area of 30- and 50-day moving averages, which indicates the formation of a side channel.

Bollinger bands

In the event of a decline in the euro in the afternoon, a good support will be provided by the average Bollinger Bands indicator around 1.1365, from where you can open long positions immediately to rebound.

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Description of indicators

MA (moving average) 50 days - yellow

MA (moving average) 30 days - green

MACD: fast EMA 12, slow EMA 26, SMA 9

Bollinger Bands 20

Forex analysis 11 Dec 2018, 12:07 UTC+00
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6 Intraday technical levels and trading recommendations for GBP/USD for December 11, 2018
During Friday's consolidations, the GBP/USD pair failed to maintain bullish closure above 1.2780 (79.6% Fibonacci)....
Since mid-November, the GBP/USD pair failed to establish a successful bullish breakout above the price level of 1.2880 (the upper limit of the depicted consolidation range). On the other hand, two unsuccessful bearish breakout attempts were demonstrated below 1.2720 during last week's consolidations. During Friday's consolidations, the GBP/USD pair failed to maintain bullish closure above 1.2780 (79.6% Fibonacci). That's why a significant decline below 1.2700-1.2660 (Historical bottoms)...

analytics5c0fb5ad7380e.png

Since mid-November, the GBP/USD pair failed to establish a successful bullish breakout above the price level of 1.2880 (the upper limit of the depicted consolidation range).

On the other hand, two unsuccessful bearish breakout attempts were demonstrated below 1.2720 during last week's consolidations.

During Friday's consolidations, the GBP/USD pair failed to maintain bullish closure above 1.2780 (79.6% Fibonacci). That's why a significant decline below 1.2700-1.2660 (Historical bottoms) was demonstrated yesterday.

The current scenario could pursue as a bearish flag continuation pattern provided that bearish persistence below 1.2660 (corresponding to a prominent daily low) is maintained on a daily basis.

Any bullish pullback towards the price zone of 1.2660-1.2700 should be watched for a valid SELL entry. S/L should be set as daily closure above 1.2750.

A projected target for the bearish flag continuation pattern is located around 1.2300. Initial bearish destination is located around 1.2580.

Forex analysis 11 Dec 2018, 12:04 UTC+00
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7 Will gold succeed in overcoming the "curse" of December?
According to experts, in December, the situation on the gold market, as a rule, is not in the best way, but the end...
According to experts, in December, the situation on the gold market, as a rule, is not in the best way, but the end of this year may be an exception. After reaching the minimum value in August of this year (at the level of $ 1,180 per 1 ounce), the cost of the precious metal began to grow gradually, even despite the strengthening of the American currency. Meanwhile, over the past few weeks, the gold exchange rate has been under pressure. Despite the fact that there were more than enough...

analytics5c0f8fc3b59e0.jpg

According to experts, in December, the situation on the gold market, as a rule, is not in the best way, but the end of this year may be an exception.

After reaching the minimum value in August of this year (at the level of $ 1,180 per 1 ounce), the cost of the precious metal began to grow gradually, even despite the strengthening of the American currency.

Meanwhile, over the past few weeks, the gold exchange rate has been under pressure. Despite the fact that there were more than enough reasons for the decline, the price managed to gain a foothold at the level above $ 1225 per 1 ounce.

Today, the precious metal traded near annual highs for the first time since July.

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Strengthening the position of gold occurs against the background of increasing tensions in the world. However, indulge in euphoria is still not worth it.

In the near future, the determining factor for the precious metal rate will be the decision of the US Federal Reserve regarding its monetary policy, which the regulator will take at the end of the next meeting scheduled for December 19.

If the fact that next week the Fed will raise the interest rate is no longer in doubt, then the prospects for further tightening of monetary policy are still in question.

It is assumed that in the event of a slowdown in the rate of increase in the rate of gold will receive an excellent chance to continue growth.

News 11 Dec 2018, 09:26 UTC+00
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8 EUR/USD analysis for December 11, 2018
Stable recovery after the yesterday's drop. Watch for buying opportunities. The first upward target is set at the...
Recently, the EUR/USD pair has been trading downwards. The price tested the level of 1.1350. Anyway, according to the M15 time – frame, I found that EUR/USD is trading above the Ichimoku cloud and above the daily pivot (1.1382), which is a sign that buyers are today in control. After the yesterday's sell off, I found the stable recovery. There is also a double top (bullish pattern) on the point and figure chart, which is another sign of the strength. My advice is to watch for buying...

analytics5c0f9a3a68995.png

Recently, the EUR/USD pair has been trading downwards. The price tested the level of 1.1350. Anyway, according to the M15 time – frame, I found that EUR/USD is trading above the Ichimoku cloud and above the daily pivot (1.1382), which is a sign that buyers are today in control. After the yesterday's sell off, I found the stable recovery. There is also a double top (bullish pattern) on the point and figure chart, which is another sign of the strength. My advice is to watch for buying opportunities. The upward targets are set at the price of 1.1413 and at the price of 1.1430.

Forex analysis 11 Dec 2018, 10:07 UTC+00
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9 GBP / USD pair: plan for the US session on December 11. Strong demand for the pound is unlikely to continue
Buyers tried to gain a foothold above the resistance in the area of 1.2614 but failed to do so in the morning. Good...
To open long positions on the GBP / USD pair, you need: Buyers tried to gain a foothold above the resistance in the area of 1.2614 but failed to do so in the morning. Good data on wage growth in the UK supported the pound. However, only a real breakthrough of the area of 1.2614 will lead to a further upward correction in the pound to the area of resistance 1.2662, where I recommend taking profits today. In the case of a decrease in the pound in the afternoon, long positions can be...

To open long positions on the GBP / USD pair, you need:

Buyers tried to gain a foothold above the resistance in the area of 1.2614 but failed to do so in the morning. Good data on wage growth in the UK supported the pound. However, only a real breakthrough of the area of 1.2614 will lead to a further upward correction in the pound to the area of resistance 1.2662, where I recommend taking profits today. In the case of a decrease in the pound in the afternoon, long positions can be considered to rebound from the support area of 1.2569, below of which the sellers could not leave today.

To open short positions on the GBP / USD pair, you need:

The formation of a false breakdown in the area of resistance at 1.2614 was the first signal to sell the pound but to confirm the bearish signal requires a good report on producer prices in the US, which is scheduled for the second half of the day. The main purpose of the bears will be to return to the area of a large support level of 1.2569, where I recommend taking profits. In the case of growth of the pound, you can count on short positions from the resistance of 1.2662 and 1.2714.

Indicator signals:

Moving averages

Trade is conducted under the 30- and 50-day moving averages, which indicates a continued decline in the pound.

Bollinger bands

In the case of a decrease in the pound in the afternoon, long positions can be considered immediately to rebound from the middle border of the Bollinger Bands indicator around 1.2575, which acts as a support.

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Description of indicators

MA (moving average) 50 days - yellow

MA (moving average) 30 days - green

MACD: fast EMA 12, slow EMA 26, SMA 9

Bollinger Bands 20

Forex analysis 11 Dec 2018, 12:23 UTC+00
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10 Technical analysis: Intraday Level For EUR/USD for December 12, 2018
When the European market opens, some economic data will be released such as Industrial Production m/m, and Italian...
When the European market opens, some economic data will be released such as Industrial Production m/m, and Italian Quarterly Unemployment Rate. The US will also publish the economic data such as Federal Budget Balance, 10-y Bond Auction, Crude Oil Inventories, Core CPI m/m, and CPI m/m, so amid the reports, the EUR/USD pair will move in a low to a medium volatility during this day. TODAY'S TECHNICAL LEVEL: Breakout BUY Level: 1.1385. Strong Resistance: 1.1378. Original Resistance: 1.1367....

analytics5c108349aefd0.jpg

When the European market opens, some economic data will be released such as Industrial Production m/m, and Italian Quarterly Unemployment Rate. The US will also publish the economic data such as Federal Budget Balance, 10-y Bond Auction, Crude Oil Inventories, Core CPI m/m, and CPI m/m, so amid the reports, the EUR/USD pair will move in a low to a medium volatility during this day. TODAY'S TECHNICAL LEVEL: Breakout BUY Level: 1.1385. Strong Resistance: 1.1378. Original Resistance: 1.1367. Inner Sell Area: 1.1356. Target Inner Area: 1.1329. Inner Buy Area: 1.1302. Original Support: 1.1291. Strong Support: 1.1280. Breakout SELL Level: 1.1273. Disclaimer: Trading Forex (foreign exchange) on margin carries a high level of risk, and may not be suitable for all Traders or Investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange, you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Forex analysis 12 Dec 2018, 02:41 UTC+00
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