Daily analysis of major pairs for January 24, 2014

EUR/USD: It was mentioned yesterday that the GBP/USD
and the EUR/USD would soon go into a positive correlation. Based on what is
happening now, the former has gained strength as well as the latter. The EUR/USD is
currently testing the resistance line at 1.3700, and it could break it to the
upside.

USD/CHF: As a result of the gain of stamina of the
EUR/USD, this pair has plunged seriously, heading to a Bearish Confirmation
Pattern in the chart. The USD is weak and this is visible on other pairs that
have it as their base currency or counter currency. The price would now be
going towards the support level at 0.8950.

GBP/GBP/USD: This has always been a bull market in this
week. The price has gone upwards by over 200 pips. The GBP is strong and this
is visible on other pairs/crosses that have it as their base currency or
counter currency (like GBPAUD and GBPJPY). The next distribution territory is to
be reached at 1.6650.
USD/JPY: It has always
been noted that the recent bullish attempts in the market would be limited. The
price plummeted significantly and later bounced off the demand level at103.00.
The upward bounce is a temporary rally for the price going to test the aforementioned
demand level again.
EUR/JPY: This
market remains in the equilibrium zone as a result of the strength of the Euro
and that of the Yen. Should one be stronger than the other, a serious
directional move would have been noted in the chart. However, it seems that the
price may break out to the downside.
The material has been provided by InstaForex Company – www.instaforex.com