EUR/USD:

Weekly Timeframe: Not a lot of movement has been seen on the weekly timeframe since the previous analysis, and as such, price remains trading around the Weekly demand swap area coming in at 1.26591-1.28010.

Daily Timeframe: A positive close above the 1.26837 level has recently been seen on the daily timeframe. This move has in our opinion confirmed buying strength from the daily demand area below at 1.24642-1.25616. With this is mind, we feel there is a good chance the market will eventually see further buying up to at least the daily supply area coming in at 1.29001-1.28453. However, before higher prices are seen, we have to be prepared for the possibility that price may retest the 1.26837 level as support.

Taking all of the above into consideration. The price action on the daily timeframe may well be giving us an early indication that the weekly demand swap area mentioned above at 1.26591-1.28010 could fail to hold the market lower.

4hr Timeframe: While on the daily timeframe, things are looking good for higher prices to be seen, the 4hr timeframe on the other hand is currently showing price trading just within a fresh 4hr supply area at 1.27636-1.27268.  We feel the market will trade lower from here, possibly faking out below the 1.27 level into active buy orders that are likely located just above a 4hr decision-point area (1.26509-1.26766) at 1.26817.  We fully expect a nice bullish reaction from here due to the fact that price would then also be trading around the daily level (support) mentioned above at 1.26837.

However, before a bearish move is seen from the current 4hr supply area, we have to be prepared for a possible fakeout above towards a small 4hr decision-point area coming in at 1.27894-1.27731. This would likely provide well-funded traders the liquidity (sell orders for their buy orders) to push prices south.

EURUSD 4HR

Buy/sell levels:

  • Buy orders: 1.26817 (Predicative stop-loss orders seen at: 1.26485).
  • Sell orders: N/A (Predicative stop-loss orders seen at: N/A).

 

GBP/USD:

Weekly Timeframe: There is clear buying interest being shown on the weekly timeframe at the moment, as price is currently trading out of a weekly demand area at 1.58533-1.60157. Could we be seeing the beginnings of higher prices from here?

Daily Timeframe: With the weekly timeframe showing bullish activity around a weekly demand area (levels above) at the moment, it is very likely that this may encourage price to continue rallying up to a daily support flip level seen at 1.62503. It is at this point where we will be expecting some serious selling interest to come into the market.

4hr Timeframe: The 4hr timeframe shows that the buyers aggressively broke above a small 4hr decision-point supply area at 1.61416-1.61237, only to be met by active sellers around the 1.61831 level.  Even with the weekly and daily timeframes indicating higher prices are likely going to be seen (see above), we feel there is a good chance that price may trade down to the 1.61 level (active buy orders likely set just above at 1.61057) before continuing north. The reason for this is simply because well-funded traders may need to accumulate extra liquidity, in this case sell orders for their buy orders.

Assuming the above takes place, a nice target for any longs in our opinion would be a small 4hr supply area coming in at 1.62509-1.62350, since this level lines up perfectly with the daily support flip level mentioned above at 1.62503.

GBPUSD 4HR

Buy/sell levels:

  • Buy orders: 1.61057 (Predicative stop-loss orders seen at: 1.60280).
  • Sell orders: N/A (Predicative stop-loss orders seen at: N/A).

 

AUD/USD:

Weekly Timeframe: With regards to the spike/tail that was seen below the weekly demand area at 0.86591-0.88247 last week, we was not sure whether this was a consumption tail for lower prices, or a fakeout to push higher. However, with the recent bullish activity being seen at the moment, we are for the time being favoring a fakeout.

Daily Timeframe: The daily timeframe on the other hand shows that the buyers have a potential obstacle in their way in the form of a daily supply area coming in at 0.88961-0.88302. Assuming that the buyers can overcome any selling opposition that may present itself here, the fakeout scenario seen around the weekly demand area mentioned above at 0.86591-0.88247 would very likely be confirmed.

4hr Timeframe: A beautiful bullish reaction was seen off of a 4hr decision-point area a few hours ago, which consequently pushed price that much closer to an important 4hr supply area coming in at 0.88961-0.88629. We do expect some selling interest to come into the market here around the 0.88574 level, since this is supported by the higher-timeframe daily supply area mentioned above at 0.88961-0.88302. That being said though, a close above here would potentially attract further buying up to at least the 0.89826 4hr support flip level, since most of the supply to the far left has already likely been consumed.

AUDUSD 4HR

Buy/sell levels:

  • Buy orders: N/A (Predicative stop-loss orders seen at: N/A).
  • Sell orders: 0.88574 (Predicative stop-loss orders seen at: 0.89055).

 

USD/JPY:

Weekly Timeframe: The weekly timeframe shows that selling interest is beginning to come into the market within a weekly supply area seen at 110.652-108.123. Assuming further selling is seen, we can likely expect prices to trade down to at least the weekly resistance flip level coming in at 105.432.

Daily Timeframe: A significant close below the 108.575 level has recently been seen on the daily timeframe, and with that in mind this likely confirms selling strength from the weekly supply area mentioned above at 110.652-108.123.  Overall, we are expecting lower prices now down to at least the daily decision-point area coming in at 106.799-107.383, as in our view price has successfully retested the 108.575 level as resistance already.

4hr Timeframe: The 4hr timeframe shows that the 108 level is likely weakening with every test, and as such we feel a break below in our opinion is imminent. As a consequence, this would likely attract further selling into the market potentially pushing price down towards the combined 4hr demand/round-number area at 106.799-107.048/107. It would be at this point where we would expect active buyers to come into the market around the 107.126 level, since this area sits deep within the daily decision-point area mentioned above at 106.799-107.383. The above should not come as any surprise really considering where price is currently trading around on the higher-timeframe charts (Weekly supply: 110.652-108.123, Daily resistance: 108.575).

However before prices break below the 108 level, a second test of the small 4hr support flip level may well be seen around the 108.770 level (active sell orders likely set just below at 108.691). This, in our opinion will only be seen if well-funded traders require extra liquidity (sell orders for their buys) to push lower.

USDJPY 4HR

Buy/sell levels:

  • Buy orders: 107.126 (Predicative stop-loss orders seen at: 106.737).
  • Sell orders: 108.691 (Predicative stop-loss orders seen at: 108.879).

 

EUR/GBP:

Weekly Timeframe: The weekly timeframe is currently showing bullish interest within a monster weekly demand area at 0.76931-0.78623.

Daily Timeframe: The current trading action seen on the daily timeframe shows that the buyers and sellers remain battling it out around a daily support flip level at 0.78729. A break above here would likely encourage further buying up to a daily supply area coming in at 0.80084-0.79702. Furthermore, this would also possibly confirm buying strength from the weekly demand area mentioned above at 0.76931-0.78623. However, if active sellers come into the market here, we see very little on this timeframe that would likely stop prices from trading back down towards daily demand seen at 0.77507-0.77772.

4hr Timeframe: A nice bullish reaction has been recently seen off of the 4hr demand area at 0.78271-0.78399. This move consequently saw prices rally towards the 4hr Quasimodo resistance level at 0.78777, where at the time of writing active sellers seem to be coming into the market. A close below the 0.78654 level marked in pink will likely attract further selling back down towards the 4hr demand area mentioned above at 0.78271-0.78399.

However, we mustn’t forget that price is currently trading around a huge weekly demand area at 0.76931-0.78623, and as such a close above the 0.78777 level is more favorable for the time being, which in turn would likely attract further buying up to at least the 0.79 level.

EURGBP 4HR

Buy/sell levels:

  • Buy orders: N/A (Predicative stop-loss orders seen at: N/A).
  • Sell orders: N/A (Predicative stop-loss orders seen at: N/A).

 

USD/CAD:

Weekly Timeframe: It seems for the time being active selling has come into the market around a major weekly high seen at 1.12775, and as such a double-top formation may be in the process of forming. Assuming further selling is seen from here, the sellers could very well bring prices down to a weekly support flip level at 1.09645, where active buyers are likely waiting.

Daily Timeframe: There were clearly active sellers seen within daily supply (1.12775-1.12361) during Monday’s trading sessions, just look at that (near-perfect) full-bodied bearish candle dropping a little over 150 points, beautiful! However, selling momentum seems to have stagnated for the time being with neither side seen taking control. Assuming further selling is seen from here, price will likely trade towards a daily decision-point demand area coming in at 1.10521-1.10826. On the other hand, if buying interest comes into the market here, price will likely once again trade back up to the daily supply area mentioned above at 1.12775-1.12361.

4hr Timeframe: The recent price action seen on the 4hr timeframe is very interesting indeed. Price has not moved much since the previous analysis, but what it has done is given us a subtle clue that a move south is likely going to happen.

To begin with, check out the pink line and take note of the possible demand consumption tails seen at 1.11304/1.11432/1.11479. These tails were likely caused by well-funded traders collecting unfilled buy orders to push prices higher, however at the same time this also cleared the path south for any future selling. Only recently, price was seen attempting to trade up to the psychological number 1.12, but was quickly rejected a few pips below at 1.11949. Could this be all the liquidity the sellers needed to push prices further south? With that being said, we still have our eye on the 4hr demand area coming in just below the 1.11 level at 1.10521-1.10758. We feel this area will likely see a bounce at the very least (active buy orders potentially set above around the 1.10794 level), our reasons for why are below:

  1. This 4hr demand area was able to hold prices up once already on the 02/10/2014 at 1.10704 – just look at that reaction! There was clearly buying strength there!
  2. The psychological 1.11 level is 20 or so pips above the 4hr demand area. Why is that important? Well, these round-number levels tend to get tested, and at times these tests can be extremely deep! Assuming this level does indeed get tested, where is the likely place price will travel to next looking for buy orders? It will most probably be the aforementioned 4hr demand area below!
  3. This 4hr demand area also sits nicely within a daily decision-point area seen at 1.10521-1.10826 giving this area extra strength.

However, before this area of 4hr demand gets hit, we still have to be prepared for a small rally higher to be seen up to the 1.12 level to collect any unfilled sell orders that may remain (1.11957).

USDCAD 4HR

Buy/sell levels:

  • Buy orders: 1.10794 (Predicative stop-loss orders seen at: 1.10476).
  • Sell orders: 1.11957 (Predicative stop-loss orders seen at: 1.12266).

 

USD/CHF:

Weekly Timeframe: The weekly timeframe shows selling interest is currently being seen out of a weekly supply area coming in at 0.98378-0.95895. Assuming this selling momentum continues, it is very likely prices will trade down to at least the 0.94546 level, where at which point we expect active buyers to come into the market.

Daily Timeframe: Taking into consideration that the weekly timeframe is showing selling activity within a weekly supply area (levels above) at the moment. The daily timeframe on the other hand is showing a potential road bump (daily decision-point demand area seen at 0.95163-0.95581) that could temporarily stop prices trading lower. In the event that the sellers can overcome any potential buying opposition that may reside here; this would likely attract further selling down to yet another daily decision-point demand area coming in at 0.93522-0.93970, which is a little less than 60 points below the weekly (0.94546) level mentioned above.

4hr Timeframe: The 4hr timeframe shows that price successfully retested the 0.96 level as resistance, and as a result saw active selling coming into the market.

Assuming further selling is seen, this will likely fill any active buy orders set just above the 4hr demand area (0.95163-0.95432) at 0.95496. That being said though, any long trades that are executed will have to be done so with caution in our opinion, for the simple reason that price is currently trading out of a weekly supply area at the moment (0.98378-0.95895).

However, if a strong close above the 0.96 level is seen, and price successfully retests this level as support, there is a good chance we could see price rally back up to the 4hr stacked supply area formation (0.97152-0.96744/0.97505-0.97153). Under those circumstances, we feel that price would likely trade up to the higher supply area of the two coming in at 0.97505-0.97153 (active sell orders likely set just below at 0.97106), since price has already tested the lower supply area (0.97152-0.96744) at the beginning of the week. From here, there is a good chance a nice sell off will be seen, as we believe this would likely be the work of pro money coming back to fill any unfilled sell orders before continuing south.

USDCHF 4HR

Buy/sell levels:

  • Buy orders: 0.95496 (Predicative stop-loss orders seen at: 0.95077).
  • Sell orders: 0.97106 (Predicative stop-loss orders seen at: 0.97592).

 

XAU/USD (GOLD):

Weekly Timeframe: The weekly timeframe shows active buying interest is currently being seen out of a weekly demand area at 1156.70-1194.45. Could this be the right time to be looking for buying opportunities?

Daily Timeframe: Price has now broken into a zone where we believe most of the selling opposition has already been consumed (prominent consumption wicks seen at 1222.41/1231.18). With this in mind, we see very little stopping price from trading up to at least the daily supply area coming in at 1241.95-1235.34. However, as always, before this area of supply is hit, we must be prepared for a reversal down to around the 1206.49 area, which if we’re not mistaken is now a Quasimodo support area. This will very likely become much clearer once we move on to the 4hr timeframe.

4hr Timeframe: The recent developments on the 4hr timeframe show that the small 4hr supply area seen at 1215.24-1211.29 has been well and truly consumed now. This in our opinion clears the path north up to the 4hr supply area seen at 1239.37-1233.79 (active sell orders are likely set just below at 1233.01), which is conveniently located just within the daily supply area mentioned above at 1241.95-1235.34. The reason for price being able to trade that high is simply because (exactly the same as the daily timeframe analysis) history shows that supply has already likely been consumed. The consumption wicks however are far clearer on this timeframe (shown with blue arrows at 1222.41/1231.18) than on the daily timeframe.

As already pointed out in the daily-timeframe analysis, we have to be prepared for a reversal before higher prices are seen. On the 4hr timeframe this could down to as far as the 4hr Quasimodo support area coming in at 1204.42-1206.24 (active buy orders likely set just above at 1207.01).  We very much doubt this will happen, and the only reason it will do in our opinion is if the buyers run out of sellers to buy into!

GOLD 4HR

Buy/sell levels:

  • Buy orders: 1207.01 (Predicative stop-loss orders seen at: 1202.18).
  • Sell orders: 1233.01 (Predicative stop-loss orders seen at: 1240.71).