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Daily analysis of major pairs for December 4, 2014

EUR/USD: It was mentioned that the bearish outlook on EUR/USD would be strengthened further after it broke the support line at 1.2400 to the downside. That is exactly what has happened. After the downside breakout of the line at 1.2400 (which has now become a resistance line), price went further downwards by another 100 pips. The bearish outlook is so strong that the support line at 1.2300, which has already been tested, could also be breached to the downside.


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USD/CHF: Our long-term target at 0.9750 has been exceeded, and price is now trending further upwards. The Bullish Confirmation Pattern in the chart is very strong, and the next target to be reached is the resistance line at 0.9800.


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GBP/USD: The bearish trend on EUR/USD is now stronger than the bearish trend on GBP/USD. The outlook remains downwards – the EMA 11 is below the EMA 56 and the RSI period 14 is almost below the level 50. Thus, price may trend downwards again and test the accumulation territory at 1.5650.


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USD/JPY: This currency trading instrument continues to trend upwards in a slow and steady manner. It is now going above the demand level at 119.50. The supply level at 120.00 is thus an easy target.


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EUR/JPY: The JPY is weak, but this cross has not trended upwards significantly this week. Rather than that, it has moved sideways simply because the EUR itself is not strong. However, a breakout to the upside is expected soon, as price goes towards the supply zone at 148.50.


5.pngThe material has been provided by InstaForex Company - www.instaforex.com