Daily analysis of major pairs for May 22, 2018
Daily analysis of USD/CHF for May 22, 2018
A short-term bearish signal has been generated on the USD/CHF. The recent 2-week consolidation has threatened the last bullish bias, and price has started going downwards, thus bringing about a “sell” signal. Price is expected to go further and further southwards, reaching the demand levels at 0.9950 and 0.9900.
There is a Bearish Confirmation Pattern in the 4-hour chart, and that has brought about a short-term bearish signal. Further bearish movement can eventually invalidate the long-term bullishness in the market.
Daily analysis of USD/JPY for May 22, 2018
The market got corrected lower on Monday, in the context of an uptrend. The correction may be an opportunity to enter the market at better prices, for price could still go further upwards, thus saving the extant bullishness in the market. Only a large pullback could threaten the current bias on the market.
There is a Bullish Confirmation Pattern in the market, which makes short trades not yet advisable, unless the bias on the market turns bearish. This week, there is a high probability that the market would continue going upwards, reaching the supply levels at 111.00, 111.50 and 112.00.
Daily analysis of EUR/JPY for May 22, 2018
The situation on the EUR/JPY remains clearly unchanged, for price did not do anything serious on May 21. The bias on this cross is bearish, but it is a precarious bias. What the market did last week was a zigzag movement without a clear directional propensity.
Last week, price moved upwards, downwards, and upwards again, within the supply zone at 131.50 and the demand zone at 129.50. A 200 –pip movement to the upside or to the downside would easily change the bias to bullish or bearish, and that is exactly what is expected this week. A breakout can happen this week.
Performed by Azeez Mustapha,
InstaForex Companies Group