Pair is up for volatile week as its todays trading area is 45 pip wide , but there is no clear directional impulse.
Pair started the week with an attempt to step up above 122.75, however, unsuccessfully.
Signals provided by the technical indicators are mixed and the outlook on the pair is neutral, since the down-trend resistance line has been breached two weeks ago.
USD/JPY has commenced a bearish correction after hitting the up-trend resistance line.
The currency pair is reluctantly approaching a major support area, the upper part of which is formed by the monthly S3 in conjunction with a support line at 1.5750 that not so long ago proved to be of great importance to the market participants, especially during the period from May till August last year.
EUR/USD has just touched upon a 2012 year high at 1.3485, but until now there is no strong bearish reaction, implying noteworthy bullish potential the pair still retains.
During the last three trading weeks the pair has been trading sideways, in a range between 0.845 and 0.835.
A 180-pip rally in three days puts the pair significantly above the parity condition. Although such a surge could have been anticipated, it was expected to take place closer to the mid/end of January.
After a 100-pip dip yesterday the pair found support at a cluster of support levels at 1.0439/27, with most of the effect mainly provided by the monthly PP and a Bollinger band.
After trading sideways for a week or so, the pair received a strong bullish impetus from the 118.0/117.5 area and at the moment is hovering above a 122 yen mark, testing the Bollinger band.
After a near two-week flat, bounded by a 1.3380 upper line and a 1.3300 lower line, the major currency pair breaches a previous high.
USD/CHF gradually depreciates and has already settled beneath the 100-day SMA at 0.9296.
The major Asian currency pair recovered bullish sentiments and erased completely last three day losses, as the price has increased more than 200 pips yesterday.
The Cable demonstrates extremely bearish sentiments, as the pair depreciates for a second consecutive week.
The resistance area at 0.8489/53 played its role and did not allow the price to step any higher.
USD/CAD improves its success and has already attained 1.0014, which backs up the idea of 1.0056/49 becoming the next target.
AUD/USD is currently probing the support at 1.0476/52 after nose-diving from the local peak at 1.0588/59.
Even though the surge was expected to emerge later, as bullish signals sent by the technical indicators were weak, today we witness how the market reacts to the test of 117.90/39, which has once again proved to be of great importance to traders.
Pair corrected its price after an almost week long rally from 0.912 to 0.939, but 100-day SMA proved to be enough of a support to keep the pair above 0.93.
Pair was posing for a major dip, but, the same as last week, it received bullish impetus from monthly R1 proving that 88.40 has become a strong support level for the pair.
For the past 5 days pair has been trading in monthly S2 (1.587) and 1.580 boundaries.
For the past 5 days pair has been trading around 1.3325 where we can find this weeks pivot point.
The New Zealand Dollar is not losing its pace of appreciation despite proximity of the strong resistance area at 0.8489/53.
USD/CAD did not confirm a breakout from the down-trend resistance line on Jan 22, receding away from the 200-day SMA.