Analysis for July 25th, 2014
AUD USD, “Australian Dollar vs US Dollar”
Australian Dollar broke H4 Super Trend downwards during correction. If price is able to break it upwards again and stay above, market will start new ascending movement towards the 8/8 level, where I placed take profit on my buy order.
As we can see at H1 chart, pair may rebound from trend line. I’m planning to increase my long position as soon as Super Trends form “bullish cross”. Most likely, in the beginning of the next week market will enter “overbought zone” and then continue moving towards the +2/8 level.
GBP JPY, “Great Britain Pound vs Japanese Yen”
Pair rebounded from H4 Super trend and I decided to open sell order. Stop loss is placed above the 6/8 level. In the near term, price is expected to reach the 4/8 level and rebound from it.
As we can see at H1 chart, market made several unsuccessful attempts to enter “oversold zone”. However, price rebounded from the 2/8 level, which means that it may start falling down again. If later pair breaks the -2/8 level, lines at the chart will be redrawn.
XAG USD, “Silver vs US Dollar”
Silver successfully reached the 4/8 level and take profit on my sell order worked. During correction, I opened new sell order with stop loss placed above Super Trend. In the near term, instrument is expected to continue falling down and reach the 3/8 level, at least.
More detailed structure of current correction is shown on H1 chart. Possibly, price may test the 2/8 level in the nearest future. If price rebounds from it, instrument will start falling down again and break the 0/8 level.
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