Daily analysis of major pairs for March 16, 2017

EUR/USD: As it was expected, the EUR/USD trended seriously upwards on Wednesday, resulting in a Bullish Confirmation Pattern in the market. This week, the price moved slightly downwards on Monday and Tuesday and has now broken upwards. The next target for bulls is located at the resistance line of 1.0750.

USD/CHF: The USD/CHF went
sideways on Monday and Tuesday, and then broke southwards on Wednesday. This is
partly due to the fact the EUR/USD went upwards (and the weakness in USD was
well anticipated). The price has already tested the support level at 1.0000 – yet to
settle below it – and a continuous selling pressure is required to achieve that
goal.

GBP/USD: The weakness in
Greenback has brought about some rally on the Cable. GBP is not strong in its
own right, but it is only being helped by the weakness in Greenback. The rally
has not brought about any change in the bearish bias; unless the price goes upwards
by another 300 pips. It is possible for the market to be corrected a bit
downwards.

USD/JPY: A “sell” signal has almost been brought about
by the large pullback that occurred on Wednesday. The EMA 11 has almost crossed
the EMA 56 to the downside. The RSI period 14 has crossed the level 50 to the
downside. The price could reach the demand levels at 113.00 and 112.50 before it
reverses upwards. A reversal would happen sometime before the end of March
2017.

EUR/JPY: In the 4-hour chart,
the EMA 11 is still above the EMA 56, though the RSI period 14 is almost below
the level 50. The position of the RSI was brought about by the short-term
weakness in the market. Further bearish movement would result in a bearish
signal; while a rally would result in another affirmation of the recent bullish
outlook.

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

Source:: Daily analysis of major pairs for March 16, 2017