Technical Analysis

Mon, 08 Oct 2012 15:16:31 GMT

NZD/USD bounded by Bollinger band

Choppy sessions on the pair continues as it remains bounded by Bollinger band. Technical indicators point at recovery of the pair which is very likely if it manages to return above 0.8178/85 where it should receive a strong bullish impetus. Otherwise, due to lack of strong support levels pair might easily drop to 0.81 area.

Mon, 08 Oct 2012 15:16:24 GMT

USD/CAD posing for further recovery

Pair is posing for a further appreciation after a major bearish correction in the end of the last week. However, as there is significant lack of strong support levels, pair should remain depressed below resistance levels around 0.9800. Probability of sharp drop to 0.9717/00 should not be disregarded as technical indicators still point at significant downside risk of the pair.

Mon, 08 Oct 2012 15:16:16 GMT

AUD/USD rebounds from pattern's support

Pair hovers slightly below 1.02 as it rebounds form cluster of support levels at 1.0160/133. It is almost certain pair will continue to recover, however it should not be rapid as quite a few technical indicators send neutral signals neglecting the probability that pair will gain momentum.

Mon, 08 Oct 2012 15:16:08 GMT

EUR/JPY peaks at 102.79

Pair peaked at 102.79 what seems as a top for Double Top pattern. Now it needs to form another full candle to confirm emergence of the pattern. This should not be hard as resistance levels at 101.58/67 seems to be providing enough downside pressure on the pair. Stochastic indicator points at further depreciation of the pair as well.

Mon, 08 Oct 2012 08:04:59 GMT

USD/CHF to test 0.9338/40

Being that downward impetus has already waned, USD/CHF is slowly returning back to a downtrend resistance line at 0.9338/40, from where we might see another bearish leg to appear. Conversely, violation of 0.9338/40 would allow the price to rise up to 0.9406/26 and thus form a double bottom pattern, implying emergence of a reversal.

Mon, 08 Oct 2012 07:53:58 GMT

USD/JPY pulls back from 78.74

USD/JPY is presently headed towards an initial support level at 78.45/44, but may decline even more in the short term, down to 78.23/77.99. Further extension of a dip should be limited by 77.51/37 and 76.99/95, there the price is anticipated to start a long recovery, although it will have to confirm its bullish intentions by overcoming 79.53/79.

Mon, 08 Oct 2012 07:43:56 GMT

GBP/USD gains bearish momentum

After breaching 1.6139 the cable is likely to challenge 1.6085/62, penetration of which in turn will pave the way towards 1.5988/56. Rallies in the meantime are to be contained by 1.6139 in conjunction with a formidable area at 1.6184/1.6212, largely formed by a major downtrend resistance line. In the long term we still favour bearish scenario and eventual attainment of

Mon, 08 Oct 2012 07:33:11 GMT

EUR/USD approaches 1.2964/63

EUR/USD halted last week's advancement ahead of 1.3122/51 and is currently pulling back to the 20-day SMA at 1.2964/63. In case it does not manage to preserve bullish outlook, subsequent support is located at 1.2856/26 and is reinforced by 1.2803/1.2787. Accordingly, the pair is expected to recommence rally and then aim for 1.3122/51.

Fri, 05 Oct 2012 17:41:49 GMT

XAU/USD gains bearish momentum

Today the interim uptrend failed to continue, as the XAU/USD exchange rate experienced a small bearish decline. As for now, the price confronts the upper Bollinger band at 1786, which might bring some bullish impetus. In case it is breached, then the price might reach the weekly R1 at 1779, which in turn will probably slow down the prevailing

Fri, 05 Oct 2012 17:30:51 GMT

GBP/JPY moving towards 20-day SMA at 126.53

The uptrend, which started a couple of days ago, has finally ended, and at the particular moment the GBP/JPY currency pair is moving towards the 20-day SMA at 126.53, which is likely to reverse the prevailing bearish trend. In case it fails to slow down the current decline, then the price might reach the 200-day SMA at 126.28, which in

Fri, 05 Oct 2012 17:20:49 GMT

EUR/CAD rebounds from 200-day SMA

Today the EUR/CAD currency couple rebounded from the 200-day SMA at 1.2795, and currently the downtrend is in action. As for now, the currency pair is moving towards the weekly R2 at 1.2726, which might slow down the decline. However, if it is broken, then next support at 1.2693 (20-day SMA) is very likely to reverse the direction of the

Fri, 05 Oct 2012 17:09:49 GMT

EUR/AUD experiences slight bearish reaction

The bullish trend, which started three days ago, failed to continue, as today EUR/AUD experienced a slight bearish reaction, and at the particular moment the price is about to test the upper Bollinger band at 1.2665, which might bring some bullish impulse. In case it is breached, then the currency pair is likely to reach the weekly R3 at

Fri, 05 Oct 2012 14:52:06 GMT

NZD/USD remains range bound

Pair has been range bound (0.8185-0.8352) for the past 3 weeks and bounced to 0.825 after receiving a bullish impetus from the lower end of this range. Pair should keep stepping up fairly easily till 0.8300 where another major support level can be found.  

Fri, 05 Oct 2012 14:51:55 GMT

USD/CAD at 0.9750

After week of choppy sessions pair received a major bearish impetus and after breaching number of support levels from 0.9800 to 0.9760 is currently at, what might be a strong technical level, at 0.9750. Pairs downside risk remains significant as it would not be unexpected if pair would try to form Double Bottom, as recent bullish rally might have been

Fri, 05 Oct 2012 14:51:47 GMT

AUD/USD bounces from 1.0238

It becomes evident pair wont manage to breach Double Top (peaks on  9th of August and 14th of September) support at 1.0160 and Triple Top or Head and Shoulders pattern formation becomes much more likely. However, due to inconclusive signals coming from technical indicators downside risk remains significant.     

Fri, 05 Oct 2012 14:51:35 GMT

EUR/JPY targets 103.173

Pair continues to move towards 103.173-103.470 where it should form a second peak for a prospective Double Top pattern. It should be done fairly easily as resistance levels along the way are rather week and currently tested 102.710 is expected to be breached by the end of the day.

Fri, 05 Oct 2012 08:18:51 GMT

USD/CHF eyes 0.9245/38

The downtrend resistance remained intact and initiated another dip for USD/CHF, bearishness of which is unlikely to disappear until at least 0.9245/38 is reached. Then the pair would by well-positioned to form a double bottom pattern that usually implies a reversal, which is deemed likely to occur. Technical indicators at the same time give mixed signals.

Fri, 05 Oct 2012 08:04:52 GMT

USD/JPY capped by 78.42

The upper limit of a bearish channel has rejected USD/JPY, forcing it to decline. The initial support the pair is supposed to confront is at 78.14/77.99, although bears may drag the price down to 77.49/26 or even 76.99 before bulls once again take control and start another up leg. In the long run we continue to expect the pair to

Fri, 05 Oct 2012 07:54:48 GMT

GBP/USD bounced off 1.6101/1.6085

A rebound from 1.6101/1.6085 was slightly stronger than anticipated, but is likely be curbed by 1.6190/1.6228. Even if the latter area does not withstand bullish pressure, 1.6279/1.6344 should come into play and negate current upward impetus and contain the rally. In the long run, the pair is still expected to aim for 1.5601/1.5568.

Fri, 05 Oct 2012 07:38:09 GMT

EUR/USD soars through 1.2969

After overcoming 1.2969 the only obstacle that separates EUR/USD from attaining 1.34 lies at 1.3143/71. This resistance could potentially send the pair back to an uptrend support line, but nevertheless should eventually give in, allowing extension of a recovery. In the meantime, losses are to be limited by a key zone at 1.2826/1.2789.

Thu, 04 Oct 2012 15:29:46 GMT

XAU/USD overcomes upper Bollinger band at 1782

The uptrend, which started three days ago, successfully managed to continue, as today the XAU/USD exchange rate experienced another bullish advance, and the price at the particular moment is gradually approaching the monthly R1 at 1806, which might bring some bearish impulse. In case it fails to slow down the uptrend, then the exchange rate is likely to reach the

Thu, 04 Oct 2012 15:17:47 GMT

GBP/JPY breaks 200-day SMA

Today the GBP/JPY currency pair experienced another bullish rally, and the currency couple has already managed to breach the 200-day SMA at 126.26. As for now, the price is slowly heading towards the monthly R1 at 127.54, which might change the direction of the prevailing movement upwards. If it it broken, then next resistance at 128.03 (upper Bollinger band) is

Thu, 04 Oct 2012 15:06:50 GMT

EUR/CAD remains bullish

The interim uptrend successfully managed to prevail, as today the EUR/CAD currency couple experienced another consequent bullish correction, and at the particular moment the currency pair is about to test the 200-day SMA at 1.2796, which is very likely to reverse the current movement upwards. In case it is broken, then the price is likely to reach the monthly R1

Thu, 04 Oct 2012 14:55:47 GMT

EUR/AUD to move higher

The bullish tendency, which started a couple of days ago, successfully keeps advancing even further, and today the EUR/AUD currency pair advanced even higher, moving closer to the resistance line of the prevailing bullish price channel at 1.2702, which is expected to bring some bearish momentum. If it fails to stop the rally, then next resistance at 1.2740 (monthly R2)

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