Technical Analysis

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Wed, 15 Aug 2012 15:12:37 GMT

EUR/JPY loses momentum

Monthly and weekly pivot points proved to provide significant resistance for the pair and strengthen the doubts that pair is losing momentum. 95.526 is likely to provide enough support and keep pair stable at close to 97 levels in the short term, but medium and long term outlooks remain negative.

Wed, 15 Aug 2012 15:01:58 GMT

GBP/JPY to meet 124.04

Although RSI indicator shows neutral signal, the bullish breakthrough out of the falling wedge pattern, which occurred on August 13th, continues, and now the GBP/JPY currency pair keeps slowly moving towards the weekly R2 at 124.04, which might bring some bearish impetus. If it fails to stop the bullish reaction, then next resistance at 124.36 (upper Bollinger band) is very

Wed, 15 Aug 2012 15:00:21 GMT

AUD/JPY remains bullish

The rally, which started yesterday, managed to advance even further, and now the AUD/JPY currency couple has already crossed the weekly PP at 82.60, and the price is gradually approaching the monthly R1 at 83.06, which might change the direction of the prevailing movement, however, if it is broken, then next resistance at 83.20 will probably bring some bearish momentum.

Wed, 15 Aug 2012 14:59:16 GMT

EUR/AUD reaches 20-day SMA at 1.1721

The bullish reaction, which started on August 13th, has finished advancing further, and now the bearish correction takes place. As for now, the EUR/AUD currency couple has already reached the 20-day SMA at 1.1721, and the price is dipping even further -  towards the weekly PP at 1.1670, which might slow down the prevailing trend. In case it is breached,

Wed, 15 Aug 2012 14:57:55 GMT

EUR/CAD to test lower Bollinger band at 1.2141

Yesterday EUR/CAD failed to advance further, thus a small setback happened, and now the EUR/CAD currency pair has renewed its bearish tendency and the price is heading towards the lower Bollinger band at 1.2141, from where it might bounce back. However, if it fails to stop the dip, then next support at 1.2103 (monthly S1) will probably bring some bullish

Wed, 15 Aug 2012 07:10:38 GMT

USD/CHF to trade sideways

USD/CHF hangs above 0.9750/38, while its dips should be also contained by support at 0.9702/0.9691, which proved to be strong enough to negate bearish momentum when the pair tried to complete a head and shoulders pattern just recently. Accordingly, we expect the price to stay between 0.9770 and 0.9750/38 for now, even though indicators point to the downside.

Wed, 15 Aug 2012 07:01:30 GMT

USD/JPY stops ahead of 79.00/04

The price has pierced several resistances, but hesitates to prolong the move, being that 79.00/04 and 79.29/50 lie overhead. While USD/JPY is likely to advance further following a bearish correction, rally may not be as pronounced, implying choppy trading sessions. Nevertheless, the outlook remains bullish and potentially 79.29/50 could be overcome.

Wed, 15 Aug 2012 06:51:39 GMT

GBP/USD to increase distance from 1.5721/32

GBP/USD quickly retraced back towards 1.5637/10 after bumping into a key resistance at 1.5721/56, confirming that the market still respects 100 and 200 day SMAs and an uptrend line. Since the cable does not possess sufficient bullish impetus at the moment, it is likely to focus on eroding supports until an important level such as 1.5573 or even 1.5249/33 is

Wed, 15 Aug 2012 06:49:02 GMT

EUR/USD to rechallenge 1.2379/96

According to signals of the short-term technical indicators, EUR/USD should continue stepping higher at an accelerated pace, but we have to be aware of a soon reversal that might take place. If resistance at 1.2379/96 does not prove to be able to curb the Euro, current rally will be likely halted by 1.2519 in conjunction with 1.2569/1.2633, being a congregation

Tue, 14 Aug 2012 15:32:16 GMT

EUR/JPY advances further

The single European currency is posing for further appreciation against Japan's Yen after forming a triple bottom formation in the last three weeks. If bullish momentum is to persist pair must breach   97.339 (Weekly R1) which would pave the way above 55 day SMA and Bollinger band at 98.430. However, if the pair decelerates, 97.413 (Monthly PP) should be

Tue, 14 Aug 2012 15:31:55 GMT

1.0438 comes to the spotlight

The Aussie dollar took a plunge against the US dollar for the second day and has reached the lowest level in almost two weeks. It is likely that bearish sentiment will persist in short-term and Weekly S2 at 1.0438 should be initial target, which should give enough boost for the pair to appreciate further and reach 1.0565 in the medium

Tue, 14 Aug 2012 15:31:37 GMT

NZD/USD might have reached a turning point

Pair kept depreciating today and as outlook on the pair remains mildly positive for short and medium term, the pair is bound get strong support once it approaches 0.8053 (PP Weekly) and should  start appreciating towards 0.8083.

Tue, 14 Aug 2012 15:31:04 GMT

USD/CAD attempts to recover

USD/CAD is posing for a recovery which could be possible if 0.9941/47 (Monthly S1; Weekly PP) is breached. US core retail sales and PPI data might have been the boost needed for the pair to start moving back above par level, however, drop to 0.9874 (Weekly S1) is equally likely in the short term.

Tue, 14 Aug 2012 14:30:04 GMT

GBP/JPY crosses 55-day SMA at 123.37

The uptrend, which started on August 13th, continues, and the GBP/JPY currency pair has already managed to cross the 55-day SMA at 123.37, and now the price advances towards the weekly R2 at 124.04, which might slow down the bullish movement, but if it fails to reverse the upward tendency, then next resistance at 124.33 (upper Bollinger band) is likely

Tue, 14 Aug 2012 14:25:43 GMT

AUD/JPY slowly approaches 83.20

The downtrend, which started yesterday, has ended, and today a bullish reaction takes place. AUD/JPY currency couple has already managed to break the weekly PP at 82.72 and now the price is slowly approaching the weekly R1 at 83.20, which might reverse the present trend. However, if it is breached, then next resistance at 83.84 (weekly R2) will probably bring

Tue, 14 Aug 2012 14:24:49 GMT

EUR/AUD breaches 20-day SMA at 1.1724

Yesterday's rally managed to reach the 20-day SMA at 1.1724, however, this resistance turned out to be too weak to reverse the uptrend, therefore today the bullish advance continues, and the EUR/AUD currency couple might even reach the weekly R2 at 1.1829, which is likely to reverse the prevailing tendency. If it fails to change the direction of the current

Tue, 14 Aug 2012 14:23:48 GMT

EUR/CAD overcomes weekly PP at 1.2258

The bullish reaction, which was started yesterday, persists, and the EUR/CAD currency pair has already managed to reach and overcome the weekly PP at 1.2258. As for now, the price rallies even further and is about to face the 20-day SMA at 1.2311, which might slow down the movement upwards. In case it is broken, then next resistance at 1.2346

Tue, 14 Aug 2012 07:36:08 GMT

USD/CHF plummets

The price slipped after encountering a 20 day SMA and is trying to erode an uptrend support, violation of which will expose 0.9627/0.9598 and 0.9553/39 in the short-term and 0.9381/60 in the long run. However, the currency pair is still viewed as capable of negating current bearish bias and remaining within an upward channel, which directed behaviour of pair since

Tue, 14 Aug 2012 07:34:48 GMT

USD/JPY is gaining momentum

USD/JPY has just rallied above resistance at 78.33/39 and preserves bullish impetus in order to challenge a subsequent level at 78.64/71 and overcome it. Additional resistances are located at 79.01/04 and 79.29/50 and will be harder to breach, being that a 100 day SMA (79.36) has been hovering above the price for more than three months. The main support is

Tue, 14 Aug 2012 07:12:13 GMT

GBP/USD to be contained by 1.5726/56

After choppy trading the cable commenced recovery and is now approaching formidable resistance at 1.5726/56, which is reinforced by 1.5783/91 and 1.5824 and thus is unlikely to give in and pave the way towards 1.5883. Accordingly, we expect the currency pair to decline and pull back down to 1.5637/08 first. Then GBP/USD will be able to target 1.5249/33 in the

Tue, 14 Aug 2012 07:07:15 GMT

EUR/USD's rally is extending

EUR/USD has managed to overcome 1.2319/37 and is presently headed towards resistance at 1.2383/96, where the price is likely to reverse current bullish tendency and resume moving downwards. In case the latter level does not withstand, 1.2473 and 1.2519 will also attempt to stop the pair. The key zone lies at 1.2578/1.2633 and should cap EUR/USD in the medium-term.

Mon, 13 Aug 2012 18:16:25 GMT

EUR/CAD approaches weekly PP at 1.2259

The interim tendency downwards has ended, and today the bullish advance occurred. At the moment, the EUR/CAD currency couple approached weekly PP at 1.2259, which might slow down the rally, but if it is broken, then next resistance at 1.2314 (20-day SMA) is very likely to stop the uptrend. Besides, RSI indicator shows neutral signal, and present supports are at

Mon, 13 Aug 2012 18:05:25 GMT

EUR/AUD overcomes weekly PP at 1.1670

The downtrend, which started on August 8th, has finally ended, and now a bullish correction is proceeding. The rally has already managed to break through the weekly PP at 1.1670, and now it is facing the 20-day SMA at 1.1722, which might bring some bearish impulse. If it fails to stop the uptrend, then next resistance at 1.1829 (weekly R2)

Mon, 13 Aug 2012 17:54:27 GMT

GBP/JPY to test 122.90

The bearish trend, which started a couple of days ago, did not last for long, and today a significant bullish reaction takes place. At the moment, the GBP/JPY currency couple is testing the monthly PP at 122.90, which might change the prevailing tendency. In case it is breached, then the price might reach the 55-day SMA at 123.35, which in

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