20.01.201712:54 Forex Analysis & Reviews: Daily analysis of major pairs for January 20, 2017

EUR/USD: There is a bullish signal on the EUR/USD. The EMA 11 is above the EMA 56 and the Williams' % Range period 20 is trying to slope upwards, after just leaving the overbought region. Further upwards movement is anticipated and the resistance lines at 1.0650, 1.0700 and 1.0750 would soon be tested.

USD/CHF: There is a Bearish Confirmation Pattern on the USD/CHF 4-hour chart. The price has been going downwards since last week, and the support level at 1.0000 has been tested this week. That support level is important because it needs to be tested again and get breached to the downside. Price must go below it so that the current bearish signal can be saved; otherwise a strong rally would occur.

GBP/USD: The GBP/USD pair is now in a bullish mode, and bulls have been able to hold price above the accumulation territory at 1.2250. The EMA 11 is above the EMA 56 and the RSI period 14 is above the level 50. The bullish mode would hold out as long as price does not go below the accumulation territory at 1.2100.

USD/JPY: The USD/JPY pair has rallied this week, following the bearish attempt that was seen at the beginning of the week. There is still a Bearish Confirmation Pattern in the market, which would be rendered invalid only when price goes above the supply level at 116.50.

EUR/JPY: This cross pair has already generated a strong bullish signal, for the EMA 11 has crossed the EMA 56 to the upside as the RSI period 14 is above the level 50. The recent rally has already overturned the bearish signal that used to be in the market. Now, the supply zones at 123.00, 123.50 and 124.00 could be tested.