FX.co ★ Daily analysis of major pairs for November 8, 2016

EUR/USD: The EUR/USD plummeted last week, forming a strong Bullish Confirmation Pattern in the 4-hour chart. On November 7, price merely consolidated in the context of an uptrend. Unless USD gathers lots of stamina this week, further bullish movement is possible.

USD/CHF: The USD/CHF plummeted last week, forming a strong Bearish Confirmation Pattern in the 4-hour chart. On November 7, price merely consolidated in the context of a downtrend. Unless USD gathers lots of stamina this week, further bearish movement is possible.

GBP/USD: There is already a bullish signal in this market, as made evident by a Bullish Confirmation Pattern in the 4-hour chart. Price has been corrected downwards a bit, on Monday; but there cannot be a threat to the current bullish outlook as long as price has not broken the accumulation territory 1.2200 to the downside.

USD/JPY: The USD/JPY opened this week with a gap-up; a harbinger of strong volatility in the market. Gaps were also witnessed on some other majors, which means strong movements would be seen this week. The USD/JPY is currently above the demand level at 104.50, and bulls may test the supply levels at 105.00.

EUR/JPY: The gap-up that has happened on this currency cross has resulted in a bullish signal in the market. Last week showed some hesitation – that has been ended by the gap-up. There is a potential for the market to reach the supply zones at 115.50, 116.00 and 116.50. The supply zone at 115.50 has been tested and it might be tested again.