EU Session Bullet Report

Asia stocks this morning are trading at their lowest levels in almost 3 weeks. Soft Chinese factory surveys and US consumer spending data, again raising concerns over the global economic outlook.

Europe seems to be following suit as the DAX opened this morning down more than 100 points from Fridays close.
Despite last weeks FOMC statement giving some indication of a possible 2015 rate hike, investors remain unconvinced as data remains poor.

The week ahead should however be an exciting one as a heavy economic calendar will no doubt provide many twists and turns. Manufacturing data from the Eurozone and US gets the week started which ends with the US Non-Farm employment change on Friday.

Trading quote of the day:

“The market does not know if you are long or short and could not care less. You are the only one emotionally involved with your position. The market is just reacting to supply and demand and if you are cheering it one way, there is always somebody else cheering it just as hard that it will go the other way”

– Marty Schwartz, Pit Bull

Green lines are resistance, Red lines are support

EUR/USD
Pivot: 1.0965
Likely scenario: Long positions above 1.0965 with targets @ 1.107 & 1.11 in extension.
Alternative scenario: Below 1.0965 look for further downside with 1.0935 & 1.0895 as targets.
Comment: The RSI is bullish and calls for further upside.

GBP/USD
Pivot: 1.5375
Likely scenario: Long positions above 1.5375 with targets @ 1.547 & 1.551 in extension.
Alternative scenario: Below 1.5375 look for further downside with 1.5345 & 1.5305 as targets.
Comment: Technically the RSI is above its neutrality area at 50.

AUD/USD
Pivot: 0.7065
Likely scenario: Long positions above 0.7065 with targets @ 0.716 & 0.72 in extension.
Alternative scenario: Below 0.7065 look for further downside with 0.7015 & 0.6975 as targets.
Comment: Technically the RSI is above its neutrality area at 50.

USD/JPY
Pivot: 120.8
Likely scenario: Short positions below 120.8 with targets @ 120.15 & 119.95 in extension.
Alternative scenario: Above 120.8 look for further upside with 121.2 & 121.5 as targets.
Comment: The RSI is capped by a declining trend line.

USD/CAD
Pivot: 1.313
Likely scenario: Short positions below 1.313 with targets @ 1.3035 & 1.299 in extension.
Alternative scenario: Above 1.313 look for further upside with 1.32 & 1.324 as targets.
Comment: The RSI is mixed to bearish.

USD/CHF
Pivot: 0.991
Likely scenario: Short positions below 0.991 with targets @ 0.9815 & 0.9755 in extension.
Alternative scenario: Above 0.991 look for further upside with 0.996 & 1 as targets.
Comment: As long as the resistance at 0.991 is not surpassed, the risk of the break below 0.9815 remains high.

GOLD
Pivot: 1150
Likely scenario: Short positions below 1150 with targets @ 1134 & 1127 in extension.
Alternative scenario: Above 1150 look for further upside with 1155 & 1162.5 as targets.
Comment: As long as 1150 is resistance, likely decline to 1134.

OIL
Pivot: 45.56
Likely scenario: Long positions above 45.56 with targets @ 47.3 & 48 in extension.
Alternative scenario: Below 45.56 look for further downside with 45.16 & 44.3 as targets.
Comment: A support base at 45.56 has formed and has allowed for a temporary stabilisation.

DAX
Pivot: 10680
Likely scenario: Long positions above 10680 with targets @ 10930 & 11100 in extension.
Alternative scenario: Below 10680 look for further downside with 10460 & 10280 as targets.
Comment: Even though a continuation of the consolidation cannot be ruled out, its extent should be limited.

Important note: These technical and research reports are provided to easy-forex® as a subscriber of third party providers. They are provided for informative purposes only and in no way can they be considered as a recommendation by easy-forex® to you to engage in any trade. Hence, easy-forex® shall not be held responsible for any outcome of trading decisions, in regards with these reports or similar reports. You hereby acknowledge that using the information entailed in these reports is at your sole responsibility and you will have no claims with regards to these reports against easy-forex®. If you do not agree to this, you are strongly advised not to use these reports.

TIME IS IN GMT(+3)