FX.co ★ Daily analysis of major pairs for July 15, 2014

EUR/USD: This pair continues to prove difficult for swing traders, but very agreeable to intraday traders and scalpers. For swing traders, it is better to wait till a clean direction is formed: either the resistance line at 1.3650 is broken to the upside or the support line at 1.3600 is broken to the downside. After this, a strong direction could be determined.

USD/CHF: The situation with the USD/CHF pair is quite similar to that of EUR/USD. This is an equilibrium market. So, it would be prudent to stay away from it until there is a directional movement – a breakout from either above the resistance level at 0.8950 or the support level at 0.8900.

GBP/USD: Now, it seems that the bulls are unable to breach the distribution territory at 1.7150 to the upside. In fact, the market is now trading below the distribution territory at 1.7100. A break below another accumulation territory at 1.7050 would signal the end of the dominant bullish outlook.

USD/JPY: This currency trading instrument is experiencing some rally in the context of an uptrend. This rally should be checked at the supply level at 102.00. Otherwise, the bearish outlook would be invalid. The price should fall down further.

EUR/JPY: The EUR/JPY pair faced a rally on Monday. The rally is supposed to take place in the supply zone of 138.50. After this, the price may go towards the demand zone at 138.00; breaking to the downside, and going towards another demand zone at 137.50 (which is the target for this week). Should the price go above the supply zone at 138.50, it could pose a threat to the extant bearish outlook.