Bitcoin analysis for January 07, 2019

Trading 07 jan 2019 Commentaire »

analytics5c33526393279.png

Trading recommendations:

According to the 30M time - frame, I found strong demand in the background and a bullish flag pattern in progress, which is a sign of potential upward continuation. My advice is to watch for a potential breakout of the bullish flag to confirm a further upward movement. The upward targets are set at the price of $4.087 and at the price of $4.184.

Support/Resistance

$4.050 – Intraday resistance

$3.926– Intraday support

$4.087 – Objective target 1

$4.184 – Objective target 2

With InstaForex you can earn on cryptocurrency's movements right now. Just open a deal in your MetaTrader4.

The material has been provided by InstaForex Company - www.instaforex.com

BITCOIN Analysis for January 7, 2019

Trading 07 jan 2019 Commentaire »

Bitcoin has been quite impulsive with the recent bullish momentum which nudged the price to reside above $4,000 area recently. The price bounced off the 200 EMA recently while being supported by the dynamic levels of Tenkan, Kijun, and 20 EMA. The price recently retested off the $4,000 area with a retracement. The price is now consolidating above $4,000 area which indicates further bullish pressure in the coming days. Moreover, the increased thickness of Kumo Cloud below the price line also signals further bullish pressure in the making while being retraced in the process. As the price remains above $3,500-600 area, the bullish bias is expected to continue further in the coming days.

SUPPORT: 3,500, 3,600, 4,000

RESISTANCE: 4,250, 4,500, 5,000

BIAS: BULLISH

MOMENTUM: VOLATILE

analytics5c334fb9c13a7.png

The material has been provided by InstaForex Company - www.instaforex.com

EUR/USD analysis for January 07, 2019

Trading 07 jan 2019 Commentaire »

analytics5c33505a5f9d6.png

Recently, the EUR/USD pair has been trading upwards. The price tested the level of 1.1444. According to the H1 time – frame, I have found that price is trading above the Ichimoku cloud and above the daily pivot (1.1386), which is a sign that buyers are in control. I also found a breakout of the resistance cluster on the P&F chart, which is another confirmation of strength. Watch for buying opportunities. The upward target is set at the price of 1.1500.

The material has been provided by InstaForex Company - www.instaforex.com

Good news for the euro. In the eurozone, retail sales have noticeably jumped.

Trading 07 jan 2019 Commentaire »

GGGtfaPvLN_KN8ZZGwFoi4AdaMPSdbap5Zu0jcoC

Sales in the eurozone rose in November more than expected, consumers bought more clothes and equipment, official data showed, this was another positive sign of the growth of the regional economy in the last quarter

Retail sales increased by 0.6 percent on a monthly basis, which is much higher than the growth forecast by 0.1 percent; on an annualized basis, retail trade grew by 1.1 percent. Eurostat also revised upward data for October - 0.6 percent compared with the previous month and 2.3 percent on an annualized basis instead of 0.3 percent and 2.3 percent, respectively. The data indicate a stronger economic growth in the last quarter. Prior to the publication of data on retail sales, the dismal mood of purchasing managers in December led some economists to predict weak growth.

mf-WBLfEGMd87Dv6r0NPBK5u3udLZtuz-n_-cn-O

The retail trade in November received an impetus due to the high demand for clothing and footwear, whose sales grew by 2.7 percent over the month. Electronics sales also rose, by 1.5 percent compared with the previous month. At the same time, a decline of 0.9 percent in sales of beverages, food, and tobacco was recorded.

The material has been provided by InstaForex Company - www.instaforex.com

German Construction Growth At 7-month High

Trading 07 jan 2019 Commentaire »

Germany's construction sector expanded at the fastest pace in seven months in December, led by strong growth in housing activity.

The German Construction Purchasing Managers' Index, or PMI, rose to 53.3 from November's 51.3, survey data from IHS Markit showed on Monday.

A PMI reading above suggests growth in the sector.

Activity and new orders grew at faster rates, thanks to milder-than-usual weather in some areas.

Housing activity rose at the fastest pace since last May. Civil engineering work decreased for the second month running, but to a smaller extent compared to November.

Constructors reported that strongest rise in order books for 11 months. Consequently, employment rose at the fastest pace in eight months.

Use of sub-contractors saw a renewed increase and purchasing activity rose at the fastest pace in four months.

Capacity pressures eased across the sector with the incidence of input delivery delays sinking to the lowest since last May.

However, cost pressures persisted with input prices inflation remaining among the strongest seen over the past seven years, despite easing slightly from November's 13-month high.

Sub-contractor rates grew at the fastest pace since last May.

The survey also showed that confidence among constructors rebounded further from October's three-year low, but remained modest than earlier in 2018.


The material has been provided by InstaForex Company - www.instaforex.com

EUR / USD: The euro rose amid good retail sales. Trump did not agree with the Democrats.

Trading 07 jan 2019 Commentaire »

The European currency is gradually strengthening its position against the US dollar against the background of good data on retail sales in the eurozone, which was mainly provided by Germany. Regular unsuccessful negotiations between Donald Trump and the leaders of the Democratic Party on the issue of resuming the work of the government are putting pressure on the US dollar.

As it became known today, President Donald Trump, after meeting at the White House, did not find a common language with the leaders of the Democratic Party. The main problem in coordinating government spending is financing the construction of a wall on the border with Mexico.

Donald Trump said that the work of the government will not resume until the issue of building a wall is resolved. Let me remind you that the activities of state structures were completely suspended at the end of last year, and already this week a number of officials may remain without paying wages.

Donald Trump also noted that he and the Democrats are on the same side in discussions regarding the suspension of government work, expressing the hope that the suspension will last no more than a few days.

The US President also created a special group responsible for the construction of the wall at the border, which will hold a meeting at the weekend.

As I noted above, retail sales data supported the euro.

According to the report, the strongest growth in November 2018 was observed in Germany, where retail sales rose immediately by 1.4%, which supported the overall growth rate in the eurozone at a fairly high level. This suggests that the pace of the bloc's economy at the end of last year may be better than forecasted.

As stated in the official report, retail sales in the eurozone in November increased by 0.6% compared with October. Compared to November 2017, sales increased by 1.1%. Economists had expected that in November, compared with October, sales will show an increase of only 0.2%.

tVF97Pp6XRYdZDN6i0_flfmzBUYOTlRq49fG7DV5

Report on a sharp decline in orders in the manufacturing sector in Germany remained unattended market. According to the data, in November 2018, compared with October, orders decreased by 1% immediately, while economists expected them to decrease by 0.4%.

As indicated in the report, the main reduction was due to a fall in export orders by 3.2%, which was partially offset by an increase in orders in the domestic market by 2.4%.

The technical picture in the EUR / USD currency pair remained unchanged compared with the morning forecast. A further upward trend is limited by the intermediate resistance level in the region of 1.1450, a breakthrough of which will strengthen the demand for the euro, which will lead to a test of new highs in the 1.1480 and 1.1520 regions. Also, we should not forget about the downward correction, to work out the lower boundary of the ascending channel, which is located in the area of 1.1370.

The British pound, meanwhile, is aiming for its monthly highs, but the upward trend will clearly depend directly on Brexit news. Let me remind you that this week the British Parliament will begin a discussion of the Brexit plan proposed by Prime Minister Theresa May. Any negative news that lawmakers remain against this plan could again lead to a big sale of the pound.

The material has been provided by InstaForex Company - www.instaforex.com

Analysis of Gold for January 07, 2019

Trading 07 jan 2019 Commentaire »

analytics5c33496e3685b.png

Recently, Gold has been trading sideways at the price of $1,290.00. According to the H1 time – frame, I have found that price breached the Keltner's lower band, which is a sign that there is potential for a change in trend behavior from bullish to bearish. I also found a potential bearish flag in creation and a hidden bearish divergence on the LBR oscillator, which is another sign of weakness. My advice is to watch for selling opportunities. The downward targets are set at the price of $1,276.40 and at the price of $1,264.55.

The material has been provided by InstaForex Company - www.instaforex.com

Intraday technical levels and trading recommendations for EUR/USD for January 7, 2019

Trading 07 jan 2019 Commentaire »

analytics5c3347ad9431b.png

On the weekly chart, the EUR/USD pair is demonstrating a long-term Head and Shoulders reversal pattern where the right shoulder is currently in progress.

On the Daily chart, the pair has been moving sideways with slight bearish tendency. Narrow sideway consolidations have been maintained within the depicted daily movement channel since June 2018.

On November 13, the EUR/USD demonstrated recent bullish recovery around 1.1220-1.1250 where the lower limit of the channel as well as the depicted demand zone came to meet the pair.

Bullish fixation above 1.1420 was needed to enhance further bullish movement towards 1.1520. However, the market has demonstrated significant bearish rejection around 1.1420 few times so far.

That's why, the EUR/USD pair has been trapped below the price level of 1.1420 waiting for bullish breakout since November 5.

Today, another attempt of bullish breakout above 1.1420 is being executed. Bullish persistence above 1.1420 enables further bullish advancement towards 1.1520 (the upper limit of the daily channel) and 1.1600 (October's High) as initial targets.

On the other hand, any bearish decline below the key-level of 1.1420 brings more sideway consolidations down to 1.1260 again.

The material has been provided by InstaForex Company - www.instaforex.com

Intraday technical levels and trading recommendations for GBP/USD for January 7, 2019

Trading 07 jan 2019 Commentaire »

analytics5c3347d18286b.png

Since Mid-November, Successive Lower Highs were demonstrated around the price levels of 1.3060, 1.2920 and 1.2800 maintaining movement within the depicted H4 bearish channel

Shortly after, a quick bearish decline was demonstrated towards the price level of 1.2500 before bullish recovery could take place on December 12.

A bullish Head & Shoulders pattern was demonstrated on the H4 chart with neckline located around 1.2650-1.2680. Hence, a successful bullish breakout above the depicted bearish channel was demonstrated on December 24.

On December 31, early bullish breakout attempt above 1.2720 was demonstrated on the H4 chart. However, the market failed to maintain sufficient bullish momentum above 1.2800 (mid-range of the depicted consolidation range).

That's why, another bearish pullback was executed towards 1.2500 (backside of the broken channel) where significant bullish recovery was demonstrated during last Thursday's consolidations.

Another bullish breakout above 1.2720 is mandatory to resume the bullish scenario of the market towards 1.2800, 1.2880 and 1.3000. Otherwise, the pair remains trapped within the previous consolidation range (1.2500-1.2720).

Bullish persistence above 1.2550 is mandatory for buyers. Any bearish decline below 1.2600 invalidates the bullish scenario suggesting further bearish decline towards 1.2440.

The material has been provided by InstaForex Company - www.instaforex.com

Australian and New Zealand dollars are rising on a wave of risk appetite

Trading 07 jan 2019 Commentaire »

On Monday, the Australian and New Zealand dollars kept close to the weekly highs, as risky assets came back in demand amid expectations that politicians around the world would take action to support economic growth.

lEeJl-3eH85bHs0i6EiRHA-MsucBNTjBmxqsdp_N

Immediately, three events on Friday gave support to risky currencies. First, Beijing announced a new round of trade negotiations with Washington which noticeably weakened monetary policy and reduced the requirements for bank reserves in order to support the country's economy. In addition, investors were delighted by Fed Chairman Jerome Powell, saying that he would be patient with regard to raising interest rates. These events gave an impetus to the stock market and helped risk-sensitive currencies to update their highs.

PhX4v6MHD9UEnPfz6-9sv1uehcSjAOMMgJXwt2ny

However, traders should pay attention to the fact that the short-term impulse helped these currencies to be at the top but the risks that previously sent them to ten-year lows remain. In particular, any further slowdown in production in the United States or China could put pressure on the Australian dollar.

Recall that New Zealand and Australian dollars went into a tailspin last week, amid growing concerns about a possible recession in the United States, which called into question the further increase in the Fed rate. The uncertainty resulting from the trade war between the United States and China also became a burden for the market after the disappointing production data in both countries.

ABnHXDZx0-CLKlH04VirgrZpPoeUGqPSaCw_EHzB

The material has been provided by InstaForex Company - www.instaforex.com