07.12.201505:41 Forex Analysis & Reviews: Daily analysis of major pairs for December 7, 2015

EUR/USD: There is a Bullish Confirmation Pattern in the market now, which has overturned the recent bearish bias abruptly. This market should trend further upwards this week; otherwise what happened last week would turn out to be a false breakout. More fundamental figures are expected this week and they could have impact on the markets.

USD/CHF: This pair dropped by 400 pips last week, turning bearish abruptly. There is now a clear Bearish Confirmation Pattern in the chart, because the price has already gone below the great psychological resistance level of 1.0000. It might require some difficulty for the USD/CHF pair to go above the great resistance level again, owing to its negative correlation in the EUR/USD pair, and the fact that CHF itself might rally in the middle of December.

GBP/USD: The GBP/USD pair rose from the accumulation territory at 1.4900, to test the distribution territory of 1.5150 (a movement of 250 pips). However, the price needs to move further upwards by 150 pips before the extant bearish outlook can be rendered invalid. Really, the outlook for GBP pairs remains gloomy.

USD/JPY: Despite strong movements of major pairs last week, this currency trading instrument merely moved sideways. There were short-term upswings and downswings in the market, which made the market condition great for scalpers and intraday traders. The bias is neutral, and it may continue as such until there is a movement of at least 200 pips upwards or downwards.

EUR/JPY: Last week, the EUR/JPY pair rose from the demand zone of 130.00 testing the supply zone of 134.50. This was a movement of 450 pips, which was an exponential movement brought about by the great stamina in the EUR. The price is currently consolidating, but we might witness a further bullish breakout in the market, since the outlook for JPY pairs is bright for December 2015.