FX.co ★ Daily analysis of major pairs for April 2, 2014

EUR/USD:  This pair has managed to go above the support line at 1.3800, which means it is no longer sensible for the speculator to go short, for a bullish signal has been established. The Williams’ % Range is already in an overbought situation and the EMA 11 is almost crossing the EMA 56 to the upside. With the continuation of this bullish run, especially when the price goes above the resistance line at 1.3850, the Bullish Confirmation Pattern would have become very serious.

USD/CHF: Because of the fact that the EUR/USD is going upwards and the USD/CHF is negatively correlated to it, this market would do nothing but go southwards. The more the EUR/USD goes upwards, the more the USD/CHF goes southward. Therefore, a confirmation of a bearish bias is almost happening.

GBP/USD:  This market is also bullish but it is not as strong as its EUR/USD counterpart, though the current drop in the price is seen as an opportunity to go long. As long as the price stays above the accumulation territory at 1.6600, the trend is up.

USD/JPY:  The seasonality pattern of the bullish signal is still in place. This pair would simply continue to go upwards.  This is also a bull market which may hold out till after the middle of April 2014.

EUR/JPY: The EUR/JPY has already exceeded our target at the price level of 143.00, but the bullish bias is still far from being over. The next target the market would reach is the supply zone at 144.00. Most of the JPY pairs are bullish right now, and this situation may well extend beyond the middle of April 2014.