16.04.201402:48 Forex Analysis & Reviews: Daily analysis of major pairs for April 16, 2014

EUR/USD: This pair still remains in bulls' market, although the situation now is precarious. The support line at 1.3800 has already been tested by the pullback that has been happening so far this week. The price did not close below the support line; otherwise the bullish outlook on the market would have been rendered useless. The price may make an attempt to reach the resistance line at 1.3850. Should the resistance line be broken to the upside, the bullish outlook would be renewed.

USD/CHF: The corrective rally on the USD/CHF is nearly becoming a threat to the recent bearish outlook in the market. Any movement above the resistance level at 0.8850 would mean the end of the bearish outlook. Really, one does not need to wait for the price to cross that resistance level to the upside, before one judges the bearish outlook to be over, because as soon as the price closes above the EMA 56, it would not be logical again to open short trades.

GBP/USD: There has not been any significant directional movement in the market this week. The market was able to reject any bearish pullback below the accumulation territory at 1.6700: the price may rally from that point.

USD/JPY: The USD/JPY remains in bear market, unless the price crosses the EMA 56 to the upside and the RSI period 14 crosses the level 50 to the upside. Then, the market would have turned northwards.

EUR/JPY: In spite of the current volatility in the market, the bulls have failed to have an upper hand. For the bulls to have an upper hand, the price would need to cross the supply zone at 141.00 to the upside and close above it.