Trading Plan for EUR/USD and GBP/USD for August 17, 2017 888011000 110888 Technical outlook: We have actually again presented the everyday chart here to remind you of the bigger picture in EUR/USD. It has actually been two weeks because we discussed EUR/USD potential drop from 1.1910 levels and the set has actually dropped practically 300 pips since then. Even now, the downside needs to stay intact to 1.1600 and 1.1400 levels going forward. Please keep in mind that the pair looks to have actually completed waves 1,2 and 3 because the beginning of 2017 now, and might be dealing with wave 4. Furthermore, wave 4 can take a complicated sideways structure since wave 2 was rather sharp as seen on the chart here. The short-term outlook will exist tomorrow to overtake pattern and counter pattern motions but overall bearish position stays till mid 1.1300 levels, which is 38%fibonacci retracement of wave 3. Immediate assistance is seen near 1.1600 levels, while resistance is discovered at 1.1840/ 50 levels.Please anticipate short-term pullback rallies and take it as chances to go brief again.Trading strategy: Please remain short, stop 1.1915,target 1.1600 and 1.1400.GBP/USD chart setups: Technical outlook: We have presented the bigger image again to reconfirm long-lasting trading strategy in GBP/USD. Since the beginning of August 2017, we have actually stayed brief and prices have actually now dropped from 1.3267 through 1.2840 levels broadly. It already plannings to have finished the very first leg(impulse, 5 waves )as talked about and traded because last 2 weeks. As depicted here, a counter trend rally could be seen emerging anytime now, which might terminate around 1.3100 levels, which is fibonacci 0.618 resistance of the current drop. Immediate assistance is seen through 1.2800 levels for now while major resistance stays at 1.3267 levels. Please be prepared for a counter pattern rally through 1.3100 levels and takeit as yet another opportunity to go brief to the bigger down trend. Drawback targets stay at 1.2600 and 1.2300 levels subsequently.Trading strategy: Please stayflat in the meantime and sell again around 1.3100 levels, stop at 1.3270, with target at 1.2600 and lower.Fundamental outlook: No significant occasions lined up for the day. Great luck!The material has been offered by InstaForex Business-www.instaforex.com

By | August 17, 2017

analytics59959e8d5bc57.jpg

Technical outlook:

We have again presented the daily chart here to remind you of the bigger picture in EUR/USD. It has been two weeks since we discussed EUR/USD potential drop from 1.1910 levels and the pair has dropped almost 300 pips since then. Even now, the downside should remain intact towards 1.1600 and 1.1400 levels going forward. Please note that the pair looks to have completed waves 1,2 and 3 since the beginning of 2017 now, and might be working on wave 4. Furthermore, wave 4 can take a complex sideways structure since wave 2 was quite sharp as seen on the chart here. The short-term outlook will be presented tomorrow to catch up with trend and counter trend movements but overall bearish stance remains until mid 1.1300 levels, which is 38% fibonacci retracement of wave 3. Immediate support is seen close to 1.1600 levels, while resistance is found at 1.1840/50 levels. Please expect short-term pullback rallies and take it as opportunities to go short again.

Trading plan:

Please remain short, stop 1.1915, target 1.1600 and 1.1400.

GBP/USD chart setups:

analytics5995a9e7d9734.jpg

Technical outlook:

We have presented the bigger picture again to reconfirm long-term trading strategy in GBP/USD. Since the beginning of August 2017, we have remained short and prices have now dropped from 1.3267 through 1.2840 levels broadly. It already looks to have completed the first leg (impulse, 5 waves) as discussed and traded since last two weeks. As depicted here, a counter trend rally could be seen materializing anytime now, which could terminate around 1.3100 levels, which is fibonacci 0.618 resistance of the recent drop. Immediate support is seen through 1.2800 levels for now while major resistance remains at 1.3267 levels. Please be prepared for a counter trend rally through 1.3100 levels and take it as yet another opportunity to go short towards the larger down trend. Downside targets remain at 1.2600 and 1.2300 levels subsequently.

Trading plan:

Please remain flat for now and sell again around 1.3100 levels, stop at 1.3270, with target at 1.2600 and lower.

Fundamental outlook:

No major events lined up for the day.

Good luck!

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

Jonathon Alexander

Technical analysis of USD/CHF for August 17, 2017 888011000 110888 USD/CHF is under pressure and anticipated to trade with bearish outlook. The set turned bearish as the rates broke listed below the rising pattern line on August 15. The down momentum is further reinforced by both declining 20-period and 50-period moving averages. The relative strength index reveals disadvantage momentum. On the political front, Trump dissolved two organisation advisory councils after numerous business chief executives stopped, triggering worries over the administration’s agenda of financial measures.Meanwhile, minutes of the U.S. Federal Reserve’s latest financial policy meeting showed that policymakers appeared increasingly careful about recent weak inflation and some were reluctantto raise rate of interest further.To conclude, as long as 0.9700 holds on the upside, look for another drop to 0.9595 as well as to 0.9550 in extension. Chart Explanation: The black line shows the pivot point. The present rate above the pivot point indicates the bullish position, and the rate listed below the pivot points indicates the brief position. The red lines reveal the support levels and the green line shows the resistance levels. These levels can be used to get in and exit trades.Strategy: OFFER, Stop Loss: 0.9700, Take Earnings: 0.9595 Resistance levels: 0.9755, 0.9780, and 0.9815 Support levels: 0.9595, 0.9550, and 0.9500 The product has actually been provided by InstaForex Company-www.instaforex.com

By | August 17, 2017

USDCHFM30.png

USD/CHF is under pressure and expected to trade with bearish outlook. The pair turned bearish as the prices broke below the rising trend line on August 15. The downward momentum is further reinforced by both declining 20-period and 50-period moving averages. The relative strength index shows downside momentum.

On the political front, Trump dissolved two business advisory councils after several corporate chief executives quit, causing worries over the administration’s agenda of financial measures.

Meanwhile, minutes of the U.S. Federal Reserve’s latest monetary policy meeting showed that policymakers appeared increasingly wary about recent weak inflation and some were hesitant to raise interest rates further.

To conclude, as long as 0.9700 holds on the upside, look for another drop to 0.9595 and even to 0.9550 in extension.

Chart Explanation: The black line shows the pivot point. The present price above the pivot point indicates the bullish position, and the price below the pivot points indicates the short position. The red lines show the support levels and the green line indicates the resistance levels. These levels can be used to enter and exit trades.

Strategy: SELL, Stop Loss: 0.9700, Take Profit: 0.9595

Resistance levels: 0.9755, 0.9780, and 0.9815

Support levels: 0.9595, 0.9550, and 0.9500

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

Jonathon Alexander

U.S. Weekly Jobless Claims Drop More Than Anticipated

By | August 17, 2017

Newbie claims for U.S. welfare fell by more than expected in the week ended August 12th, inning accordance with a report released by the Labor Department on Thursday.

The report stated initial jobless claims dropped to 232,000, a decrease of 12,000 from the previous week’s unrevised level of 244,000. Economists had actually expected unemployed claims to edge down to 240,000.

The product has actually been provided by InstaForex Business – www.instaforex.com

Jonathon Alexander

Basic Analysis of AUD/JPY for August 17, 2017 888011000 110888 AUD has actually been more powerful than JPY recently with positive economic reports and market belief. AUD made headway on the back of the employment information. On the other hand, JPY had actually been quite neutral with the economic reports which result in further weak point of the currency. Today the Australian Work Change report showed an increase to 27.9 k from the previous value of 20.0 k which was expected to decrease to 19.8 k. Besides, the joblessness rate likewise decreased as anticipated to 5.6% which formerly was at 5.7%. At the very same time, Japan’s Trade Balance report was likewise favorable and revealed an increase to 0.34 T which previously was at 0.09 T versus the expected reading of 0.20 T. Both currencies had favorable reports released today which result in a restorative structure presently as the market belief has actually ended up being neutral for both currencies now. The indecision after excellent financial reports from Australia is suggesting that JPY is currently en route for some gains in the coming days as Japan posted a much better than expected trade balance report.Now let us take a look atthe technical view. The cost is currently residing at the edge of 87.50 resistance level which is in indecision now. It has actually already rejected both purchasers and sellers by now which does indicate a high likelihood of counter relocation in this pair. A day-to-day close above 87.50 will enclose the bullish move towards 89.50 whereas a daily close listed below 87.50 will indicate further bullish relocation with a target towards 86.30-00 support location. The product has actually been offered by InstaForex Company-www.instaforex.com

By | August 17, 2017

AUD has been stronger than JPY recently with positive economic reports and market sentiment. AUD gained ground on the back of the employment data. On the other hand, JPY had been quite neutral with the economic reports which lead to further weakness of the currency. Today the Australian Employment Change report showed a rise to 27.9k from the previous value of 20.0k which was expected to decrease to 19.8k. Besides, the unemployment rate also decreased as expected to 5.6% which previously was at 5.7%. At the same time, Japan’s Trade Balance report was also positive and showed a rise to 0.34T which previously was at 0.09T versus the expected reading of 0.20T. Both currencies had positive reports published today which lead to a corrective structure currently as the market sentiment has become neutral for both currencies now. The indecision after good economic reports from Australia is indicating that JPY is currently on the way for some gains in the coming days as Japan posted a better than expected trade balance report.

Now let us look at the technical view. The price is currently residing at the edge of 87.50 resistance level which is in indecision now. It has already rejected both buyers and sellers by now which does indicate a high probability of counter move in this pair. A daily close above 87.50 will enclose the bullish move towards 89.50 whereas a daily close below 87.50 will signal further bullish move with a target towards 86.30-00 support area.

analytics599589e66ef90.jpg

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

Jonathon Alexander

Essential Analysis of EUR/CAD for August 17, 2017 888011000 110888 EUR/CAD has actually been impulsively bearish just recently regardless of the bad Canadian financial reports released just recently. EUR has actually been quite neutral with the financial reports today which lead to further weakness of the currency with no favorable gains. Today EUR Final CPI report was released as anticipated with a the same value at 1.3%, Last Core CPI likewise followed the very same path and published with a the same value at 1.2% but Trade Balance revealed an increase to 22.3 B from the previous figure of 19.0 B which was anticipated to be at 20.4 B. Currently, ECB Monetary Policy Fulfilling accounts are going on which is expected to be neutral also since of no possible rate hike choices are in sight. On the CAD side, today Manufacturing Sales report is going to be published which is expected to be negative at -1.0% which formerly was positive at 1.1%. Prior to the CAD news gets released CAD has gotten rather impulsively which is expected to continue further if CAD report comes out better than anticipated today. As the CAD remains hawkish with the belief more gains on the bearish pressure is expected in this pair.Now let ustake a look at the technical view, the price has been quite impulsively bearish because the other day which is anticipated to continue even more if rate breaks listed below 1.4720 level with a daily close. As the cost remains below 1.50 level the bearish predisposition is expected to continue further with a target towards 1.4500-1.4450 location. The material has been provided by InstaForex Business -www.instaforex.com

By | August 17, 2017

EUR/CAD has been impulsively bearish recently despite the bad Canadian economic reports published recently. EUR has been quite neutral with the economic reports this week which lead to further weakness of the currency without any favorable gains. Today EUR Final CPI report was published as expected with an unchanged value at 1.3%, Final Core CPI also followed the same path and published with an unchanged value at 1.2% but Trade Balance showed an increase to 22.3B from the previous figure of 19.0B which was expected to be at 20.4B. Currently, ECB Monetary Policy Meeting accounts are going on which is expected to be neutral as well because of no possible rate hike decisions are in sight. On the CAD side, today Manufacturing Sales report is going to be published which is expected to be negative at -1.0% which previously was positive at 1.1%. Before the CAD news gets published CAD has gained quite impulsively which is expected to continue further if CAD report comes out better than expected today. As the CAD remains hawkish with the sentiment further gains on the bearish pressure is expected in this pair.

Now let us look at the technical view, the price has been quite impulsively bearish since yesterday which is expected to continue further if price breaks below 1.4720 level with a daily close. As the price remains below 1.50 level the bearish bias is expected to continue further with a target towards 1.4500-1.4450 area.

analytics599586e4eb28d.jpg

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

Jonathon Alexander

Euro, Pound, Oil: Markets Pending Chauffeur

By | August 17, 2017

Eurozone

The GDP development in the euro location for the second quarter was slightly greater than anticipated. the adjusted annual development quote increased from 2.1% to 2.2%, which supports the euro.

According to the released report in August from the financial bulletin, there was a downturn in the inflation for the second quarter however it makes certain that the issue is just in the decrease of energy rates and partially in food products. The fundamental level of inflation remains confidently high, although this point seems rather questionable. As can be plainly seen in the graph below, the prices of the services sector were the primary factor. The cost characteristics of the group of commercial items in the non-energy sector has an obvious lower price growth compared with the period of 2011/13 when the deflationary pressure on still quite strong.

Analytics59952c077bb80.png

The volume of imports of goods has declined and has become noticable in the 2nd quarter that has decreased the international trade. This increases the possibility of the publication these days’s report on inflation from the euro area to reveal a more considerable rate deceleration than the marketplace expectation and start a sell-off of the euro.

The ECB minutes of the meeting is likewise anticipated to be released today, which will be thought about by the traders to search for possible tips in the internal discussion concerning the timing of the easing of the reward program. Current trends show that the concern of the ECB might even increase, as the industry and the export-oriented sector of the economy are under risk since of synchronised pressure from several sides. In these conditions, there is no have to wait on hints to reduce the incentive program since the protocol will assist to weaken the euro.

The likelihood of a correctional decrease in EUR/USD pair is growing. Following the results of the week, the set might be up to 1.1650 in the middle of a minimized geopolitical risks and weak stats from the USA.

United Kingdom

The British pound has actually declined in response to weaker than expected data on customer inflation. The price decrease in July was 0.1% with a year-on-year growth of 2.6%. Both indications are even worse than forecast.

At the very same time, there are some positive points. The index of list prices rose more than anticipated while the report on the labor market, published on Wednesday, showed a favorable pattern in most parameters. Applications for benefits have decreased in number and the unemployment rate also reduced from 4.5% to 4.4%. On the other hand, the average wage increased by 2.1%, which was much better than forecasts and the level achieved in June.

Analytics59952c23ed183.png

The latter parameter can act as the basis for optimism considering that it will contribute to the development of inflation, which likewise increases the probability of a rate walking by the Bank of England. This element will provide some assistance to the pound.

The information on retail sales for the month of July will be released today which can cause the marketplace to move in any instructions. Expectations are reasonably negative, professionals expect weaker signs than a month ago.

The pound continues to be under pressure, despite the truth that bulls on the dollar will not get together for a full-fledged offensive. The relocation to 1.28 followed by a slide to 1.25 will most likely occur than the resumption of development.

Oil

Commercial petroleum inventories from the U.S. fell by 1.9%, or 8.9 million barrels. The decline has actually significantly exceeded the forecasts of professionals. Oil responded with development but a number of other indicators had a noticable bearish sentiment, which ultimately caused a decline in quotations. At this time, the primary forecast is the next boost in production total up to 79 thousand barrels each day, or 0.84%. Next month, oil production in the U.S. could reach a record level, which could ultimately cause the blocking of OPEC steps and will even more decrease quotes. Moreover, the cost of production in the United States is increasing, that leaves the production development to be doubtful in the coming months.

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

Jonathon Alexander

European Economics Preview: Eurozone Inflation, Foreign Trade Data Due

By | August 17, 2017

Final customer rates and foreign trade figures from euro area and retail sales from the UK are due on Thursday, headlining a light day for the European financial news.

At 1.30 am ET, France’s statistical workplace Insee is scheduled to release the joblessness information. The out of work rate is anticipated to be up to 9.5 percent in the 2nd quarter from 9.6 percent in the first quarter.

At 3.00 am ET, Austria’s consumer costs are due for July. Costs had actually advanced 1.9 percent yearly in June.

At 4.30 am ET, the Office for National Data launches UK retail sales for July. Economic experts anticipate retail sales to grow 0.2 percent on month in July, following a 0.6 percent increase in June.

At 5.00 am ET, Eurostat releases Eurozone last consumer prices and external trade data. Inflation is seen at 1.3 percent in July, in line with flash price quote.

The euro area trade surplus is anticipated to increase to EUR 20.3 billion in June from EUR 19.7 billion in Might.

At 7.30 am ET, the European Central Bank is set to provide the accounts of the financial policy meeting of the Governing Council held on July 19 and 20.

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

Jonathon Alexander

Dutch Jobless Rate Falls For Second Month

By | August 17, 2017

Dutch unemployment rate reduced for the 2nd succeeding month in July, though somewhat, figures from the Central Bureau of Data showed Thursday.

The seasonally adjusted unemployed rate dropped to 4.8 percent in July from 4.9 percent in the previous month.

In the corresponding month in 2015, the joblessness rate was 6.0 percent.

There were 436,000 jobless people in June, down from 446,000 in the previous month. A year previously, the unemployed figure totaled 541,000.

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

Jonathon Alexander

Gold retreats, but does not quit

By | August 17, 2017

Leaving the shadow of geopolitical risks and the growing United States dollar has actually required investors to turn their backs on gold. Inning accordance with TD Securities, in order to continue the rally above$1,300 an ounce, it is required to see a revival of the dispute on the Korean Peninsula along with low inflation in the United States. In this case, the precious metal would have the ability to increase around$ 1375. On the other hand, the lack of such motorists would increase the risk of a return of the prices towards the instructions of $1200 per ounce.Pyongyang’s intentions to assault Guam ended up being far from the only consider the XAU/USD rally. Investors moved to concerns of some Fed representatives on the slowdown of inflation, which puts the sticks in the wheel of the process of stabilizing financial policy. As an outcome, the inability of July customer costs to reach the typical forecast of Bloomberg professionals (1.7%) has reduced the chances of a financial constraint in December to 36%, which is a bullish aspect for gold. The success of precious metals on this matter is over.

President of the Federal Reserve Bank of New york city, William Dudley is all set to choose a rate hike in 2017, given that the brand-new macroeconomic data will match his expectations. In this respect, the fastest development in retail sales in July (+ 0.6% m/m) made the leading sign from the Atlanta Federal Reserve Bank to raise GDP growth approximates in the third quarter to 3.7% q/q, which positively affected the trading instruments market. CME futures raised the probability for a December rate walking by the Fed to 53%, which denied the rare-earth element of the ground underneath.

Strong data, the development of the Citigroup U.S. Economic Surprise Index, as well as the “hawkish” rhetoric of Federal Reserve agents extends an assisting hand to the United States dollar. In this context, the reverse correlation of gold with the USD index has actually become a strong argument in favor of selling.

Characteristics of the USD and gold index

analytics599431b66ee87.png

Source: Trading Economics. That during the 2nd quarter the inflow of capital into SPDR Gold Shares amounted to about $870 million does not especially assist the bulls in XAU/USD. The properties of the fund have grown to $34 billion. Their dynamics in August was behind the prices, which is a verification of the speculative nature of the rally.

Pressure on gold might increase if at the conference of the heads of central banks in Jackson Hole on August, regulators will offer preference to the same rhetoric that was made at a comparable conference in Sintra, Portugal back in the end of June. At that time, expectations of the normalization of monetary policy have actually inflated financial obligation market rates around the world, which has actually dealt a major blow to the positions of XAU/USD bulls. In July, investors recognized that the procedure of monetary tightening will likely be sluggish, which raised the volume of bonds with unfavorable yield to $8.6 trillion (+ 25% m/m) and permitted gold to search for the bottom.Technically, the failure of bulls to return costs to the levels of the previous rising channel shows their weak point. If the”bears”manage to conquer support at$1,250 per ounce, triggering the “Shark”pattern will raise the threat of continuing the coming down pattern. Gold, daily chart The material has actually been supplied by InstaForex Business-www.instaforex.com

Jonathon Alexander