Daily analysis of major pairs for September 8, 2014

EUR/USD: The EUR/USD pair trended southward in a significant
mode last week. This trend has a high probability of continuing this week, but
the possibility of rally attempts cannot be ruled out. The attempted rallies
may cause the price to reach the resistance lines at 1.3050 and 1.3100
successively.

USD/CHF: The strength in USD/CHF has continued, although there
was a shallow bearish retracement in the chart on Friday, September 5, 2014.
The price closed at 0.9310, and it is expected that it may go further upwards
this week. It may reach the supply level
at 0.9350.

GBP/USD: The
Cable also dived significantly last week – in a clean positive correlation with
its EUR/USD counterpart. The dive might continue this week, taking the price
towards the accumulation territory at 1.6250. Meanwhile, the distribution
territories at 1.6400 and 1.6450 ought to act as barriers to the bulls’
machinations along the way.

USD/JPY: The USD/JPY pair has
always been making bullish effort in recent times, with a measure of success.
Since the model used in this analysis gave a ‘buy’ signal on August 11, 2014,
the price has gone upwards by around 300 pips. The trend may not yet be over,
for the price might test the supply level at 106.00 this week.

EUR/JPY: The massive sell-off that happened on this
cross last week has resulted in a Bearish Confirmation Pattern in the chart.
The weakness may likely continue, taking the price towards the demand levels at
135.50 and 135.00. However, it would take far more weakness in the EUR to
accomplish it. Should the EUR recovers from its present weakness, the trend
might change.

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