06.01.201501:17 Forex Analysis & Reviews: Daily analysis of major pairs for January 6, 2015

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EUR/USD: This currency pair broke below the resistance line at 1.2100 at the beginning of this week. Since then, the price has moved lower, threatening to test the support line 1.1850. Should the price break that line to the downside, the next target to be reached would be the support line at 1.1800.

USD/CHF: Since the USD reached parity with the CHF at the support level of 1.0000, the USD/CHF pair has moved upwards by another 100 pips, hitting the resistance level at 1.0100 (before the price retraced a little lower). With further strength in the market, the resistance level would be hit again.

GBP/USD: The Cable fell along the EUR/USD in the continuation of the bearish trend that started last Friday. The accumulation territory at 1.5200 has already been tested, followed by the current upwards bounce in the market. That accumulation territory may be tested again.

USD/JPY: In the meantime, the Yen has gained serious stamina and bearish movements can be seen on other JPY pairs – just like the USD/JPY pair. This pair was unable to move upwards last week and it is now moving downwards gradually this week. The demand level at 119.00 can soon be attained by the bears.

EUR/JPY: There is now a serious weakness in this currency trading instrument, resulting in a Bearish Confirmation Pattern in the market. Since the bearish trend started last Friday, the cross has dived by over 400 pips, and there is a great possibility that the demand zone at 142.00 would be challenged.

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