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Technical Major Currencies
Written by article default Tuesday, 28 June 2011 08:00
Morning Report
The pair moved to the upside yesterday and currently still stable below EMA 50 at 1.4325 and still within the minor descending channel, yet the pair returned to stabilize above the 38.2% correction shown above. Stochastic is attempting to confirm the upside reversal while RSI is still below 50 and unable to breach it. There are two conflicting signals and accordingly we remain neutral today awaiting more confirmations for either of the directions, while returning below 1.4205 supports the negativity.
The trading range for today is among the major support at 1.4085 and the major resistance at 1.4455.
The short-term trend is to the upside with steady daily closing above 1.2795 targeting 1.5135.
| Support | 1.4255 | 1.4205 | 1.4165 | 1.4135 | 1.4085 |
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| Resistance | 1.4325 | 1.4375 | 1.4415 | 1.4460 | 1.4540 |
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| Recommendation | Based on the charts and explanations above we recommend observing trading today awaiting more confirmations | ||||
Great British Pound (GBP)
Morning Report
Consolidation below the psychological 1.6000 areas and the resistance at 1.6060 supports the bearish bias for the pair. The pair is also trading freely between the 50% and 61.8% correction as shown above after the breakout from the ascending wave and trading within the minor descending channel. Therefore, we expect further intraday bearishness likely for the pair today.
The trading range for today is among the major support at 1.5700 and the major resistance at 1.6210.
The short-term trend is to the upside with steady daily closing above 1.5315 with targets at 1.7000.
| Support | 1.5920 | 1.5875 | 1.5810 | 1.5765 | 1.5700 |
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| Resistance | 1.6000 | 1.6060 | 1.6100 | 1.6155 | 1.6210 |
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| Recommendation | Based on the charts and explanations above our opinion is selling the pair around 1.5965 targeting 1.5765 and stop loss with four-hour closing above 1.6060 might be appropriate | ||||
Japanese Yen (JPY)
Morning Report
Trading stabilized below the MA 50 at 80.90 and Stochastic is still trading within overbought areas and we await the bearish crossover. The sideways range that contained trading since June 03 have been below the mentioned MA and accordingly we expect a bearish intraday move pressured by the moving average. A daily closing above EMA will weaken the chances for the downside move.
The trading range for this week is among the major support at 79.65 and the major resistance at 82.75.
The short-term trend is to the downside as far as 89.35 remains intact with targets at 77.70.
| Support | 80.30 | 80.05 | 79.80 | 79.65 | 79.00 |
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| Resistance | 80.95 | 81.50 | 82.00 | 82.75 | 83.00 |
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| Recommendation | Based on the charts and explanations above our opinion is selling the pair around 80.90 targeting 79.65 and stop loss with four-hour closing above 81.50 might be appropriate | ||||
Swiss Franc (CHF)
Morning Report
The bottom of the sideways range around the support areas of 0.8335-05 is holding strongly against the pair. Stochastic reached oversold areas with signs of an upside reversal signals the strength of those areas to pressure the pair to the upside once again. Therefore, with trading above 0.8305, the upside move is likely for today and breaching 0.8305 with four-hour closing will pressure the pair strongly to the downside.
The trading range for today is among the major support at 0.8170 and the major resistance at 0.8500.
The short-term trend is to the downside with steady daily closing below 1.0330 targeting 0.8000.
| Support | 0.8335 | 0.8305 | 0.8250 | 0.8170 | 0.8150 |
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| Resistance | 0.8385 | 0.8420 | 0.8455 | 0.8500 | 0.8540 |
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| Recommendation | Based on the charts and explanations above we recommend buying the pair around 0.8335 targeting 0.8535 and stop loss with four-hour closing below 0.8305 and if the stop loss was triggered we recommend selling the pair with four-hour closing below 0.8305 targeting 0.8170 and stop loss above 0.8420 might be appropriate | ||||
Canadian Dollar (CAD)
Morning Report
The pair reached again the support for the main ascending wave which it returned to trade within, and also the pair reached 76.4% correction from the top which are all positive signals especially with RSI above 50. Nevertheless, Stochastic is attempting to crossover negatively and accordingly the upside move is still favored for today but the breach of the main support for the upside wave that extends towards 0.9800 will delay those expectations.
The trading range for today is among the major support at 0.9670 and the major resistance at 1.0125.
The short-term trend is to the downside as far as 1.0665 remains intact targeting 0.9000.
| Support | 0.9845 | 0.9825 | 0.9770 | 0.9710 | 0.9670 |
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| Resistance | 0.9900 | 0.9970 | 1.0000 | 1.0035 | 1.0125 |
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| Recommendation | Based on the charts and explanations above we recommend buying the pair around 0.9855 targeting 1.0000 and stop loss with four-hour closing below 0.9800 might be appropriate | ||||