Daily analysis of major pairs for June 2, 2017

EUR/USD: The EUR/USD went
upwards to test the resistance line at 1.1250 several times, but unable to
break it to the upside. The bullish bias still holds for now; though there
could be a major pullback in the market sometime this month. The resistance
line would eventually be broken, as price targets another resistance line at
1.1300.

USD/CHF: Here, price continues
to consolidate in the context of a downtrend, and that is the situation in the
market right now. Further bearish movement is possible, especially as long as
the EUR/USD goes upwards. The EUR/USD would eventually go downwards, and that
is when the USD/CHF would rally.

GBP/USD: The Cable has become
a very volatile market, with no clear direction in the short-term. The EMAs 11
and 56, and the RSI period 14 are giving conflicting signals. Thus, it is OK to
stay away from the market right now, until there is a clear directional
movement, which would be established before the end of this week or early next
week.

USD/JPY: This pair consolidated from Monday to Wednesday
and then went upwards on Thursday. That was no big breakout, but it would lead
to a bullish bias, provided the market goes upwards by another 200 pips. The
RSI period 14 is already above the level 50 and the EMA 11 may cross above the
EMA 56, forming a bullish signal. However, the bullish movement would
eventually be rejected sometime in June as a major pullback occurs in the
market.

EUR/JPY: A bullish signal has
appeared on the EUR/JPY, as price goes upwards by 180 pips after testing the
demand zone at 123.50. Price is now above the demand zone at 125.00, going
towards the supply zone at 125.50. Another supply zone at 126.00 may even be
tested before the anticipated pullback in the market.

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

Source:: Daily analysis of major pairs for June 2, 2017