Bullish momentum USD/CHF did not weaken, increasing the likelihood of additional gains for the currency couple in the nearest future. The first target is 0.9259 (55 day ma), while the subsequent levels are at 0.9304 and 0.9340.
USD/JPY is currently struggling at 81.49/63, though it is unlikely to drop lower as long as a support at 80.57/22 is not violated. In the long run we are likely to observe further rally of the currency pair up to 83.80.
After bouncing off a formidable resistance line at 1.6000 the Cable is now headed southwards. The initial target lies at 1.5765, followed by 1.5650/43. The long-term outlook is thus negative.
For now EUR/JPY gravitates to 106.85 (200 day ma) and is expected to trade flat. Additional support levels are situated at 106.02 and 105.72 and should contain possible dips. Resistances may by found at 108.75 and 109.38/58.
Even though an uptrend support at 1.3168 has managed to underpin the pair, rallies are unlikely to extend above 1.3322. Bearish outlook persists, pushing EUR/USD down to 1.2974/54 en route to 1.2624.
USD/CHF moderately moved upwards today on more-than expected US PMI data, crossing the daily target at 0.9110.
The Japanese yen depreciated versus the US dollar, piercing the daily forecast mean (81.63) on strong ISM non-manufacturing PMI (57.3 act./56.1 est.).
The Cable commited a decline after touching the market participants' daily target (1.5861) today as UK servicess PMI declined more than forecast (53.8 act./55.0 est.).
The single European currency reversed today versus the American dollar and broke through the daily forecast mean (1.3226) as monthly retail sales in Europe improved (0.3% act./0.0% est.).
Current bullish momentum which was confirmed by a breach of 0.9066/88 is likely to persist until 0.9263 is attained, though USD/CHF will have to overcome 0.9150 and 0.9203 first. In the longer term the pair is targeting 0.9595.
USD/JPY is expected to struggle at 81.49/63 today and then resume advancing toward 82.23 en route to 83.80, which is a long-term goal. Dips should be limited by supports at 80.42 and 80.00.
Since the Cable has already pierced through 1.5893 (200 day ma), it may extend its losses to 1.5802. In case the latter level is breached, the pair should target 1.5751 next. Resistances situated at 1.5893 and 1.6000 should contain intraday rallies.
Being that a resistance at 108.75 proved to be impenetrable for EUR/JPY for now, the pair is likely to sell off to 106.90 (200 day ma). Additional support is provided by 106.78 and 106.02. Despite this temporary weakness, EUR/JPY is bullish in the long-term until it reaches 111.57.
This week EUR/USD currency couple is expected to seek for lower levels. At the moment the pair is approaching an uptrend at 1.3156, which guards 1.3072 (55 day ma). From above EUR/USD is capped by 1.3322 and 1.3389.
USD/CHF continued its recovery for the second consecutive day after Bernanke's statement the US economy is on the solid track to recovery.
The Japanese yen weakened today against the American dollar as Japan's unemployment rate inched higher by 0.1% (4.6% act./4.5% est.).
The British pound moved higher versus the greenback as construction PMI strengthened (54.3 act./51.3 est.), beating analysts estimates.
Along with EUR/USD, the Euro - Japanese Yen currency pair slipped today on disappointing German retail sales and crossed the daily forecast mean at 108.00.
The shared European currency committed a decline today versus the US dollar after piercing the daily forecast mean (1.3315) as German retail sales fell in January (-1.6% act./0.5% est.).
EUR/JPY has managed to remain above 106.94 and its bias is therefore bullish. Ahead of the pair is situated a tough resistance at 108.75, which guards 109.51/58 (55 week ma). In the longer term 110.18 is in focus.
USD/CHF is challenging resistance at 0.9066/88, which is needed to be overcome in order for the price to continue inching higher. Subsequent levels may be encountered at 0.9162 and 0.9203.
The currency couple is presently approaching a resistance area at 81.49/63, which is unlikely to hamper bullish move. USD/JPY is preserving upward momentum and may advance up to 83.80 in days to come.
Rallies are unlikely to extend above 1.6000 and 1.6103 for now. The pair is thus anticipated to slide down to 1.5897 (200 day ma). In case the latter level does not withstand bearish pressure, we might observe dips to 1.5802 or even 1.5737.
EUR/USD is now bearish and is expected to decline even further. Support at 1.3199 has already been attained, while the following targets lie at 1.3141 and 1.3070 (55 day ma). Resistances at 1.3389 and 1.3436 cap the pair from above.