27.05.201612:53 Forex Analysis & Reviews: Daily analysis of major pairs for May 27, 2016

EUR/USD: This is a bear market, which would remain bearish as long as the EUR/USD pair is bullish. When momentum returns to the market (the market lacks momentum right now), it would most probably be in favor of bears. Then, the price might reach the support lines at 1.1150 and 1.1100.

USD/CHF: The USD/CHF pair has gone flat this week, though the outlook is bullish. The EMA 11 is above the EMA 56; whereas the Williams' % Range period 20 is sloping towards the oversold area. This is a threat to the existing bullish bias, and bulls need to keep the price from falling below the support level at 0.9800; otherwise, things could turn vividly downwards.

GBP/USD: The Cable moved upwards by 230 pips this week, but the price was unable to stay above the distribution territory at 1.4700. There was a slight correction, which is not serious enough to override the current bullish outlook. Only a movement below the accumulation territory at 1.4450 would result in a bearish signal – something that requires a strong selling pressure.

USD/JPY: The bias on this market turned neutral, though a closer look at the price reveals that bulls are still willing to push the price higher, if they would be freed from bears' clutches. There are currently mixed signals in the market, and swing traders might want to stay off until there is a directional movement. However, this is a wonderful opportunity for scalpers.

EUR/JPY: The EUR/JPY cross has moved sideways so far this week, and thus, hope for a serious breakout today is very weak. However, there may be a strong breakout next week, which would push the price below the demand zone at 122.00 or above the supply zone at 124.00.