The Cable is expected to soar up to 1.5770/80, after it breaks though 1.5680 resistance. The initial support may be found at 1.5618, while subsequent lines are located at 1.5579 and 1.5544.
Resistance at 102.55/60 should be able to withstand attempt of EUR/JPY to step over it. Nonetheless, the currency pair has to overcome this resistance to confirm long-term bullish trend. Supports at 100.75 and 100.55 should cover dips.
Bullish impetus is weakening ahead of tough resistance area at 1.3200/50. Rally may extend up to 1.3245/50, although further advancement is highly unlikely. Thus the attention is on the support lines at 1.3025 and at 1.2930.
USD/CHF committed a much deeper correction today, leaving the daily market participants' (0.9242) untapped as investors were disappointed by poor data on US new home sales (307K act./321K est.).
USD/JPY advanced on strong monthly Core Durable Goods Orders (2.1% act./0.9% est.), though the daily forecast mean (77.84) has not been pierced yet.
GBP/USD continued its rally as the American dollar weakened on less-than-forecast US New Home Sales (307K act./321K est.).
101.71 was hit today as the pair moved upwards on higher than expected GfK German Consumer Climate (5.9 act./5.6 est.).
EUR/USD rose today on disappointing US unemployment claims (377K act./371K est.), causing the daily forecast mean (1.3067) to breach.
The short-term outlook for USD/CHF is negative. The pressure on a key support at 0.9200 is increasing. In case it does not withstand, a fall might extend down to 0.8895 (55 week ma). Resistances at 0.9315 and 0.9340/55 cap the pair from above.
Resistance area at 78.25/35 (200 day ma) has repelled off USD/JPY, sending it down to a cluster of supports at 77.40/20 (55 and 100 day ma). From there the pair is expected to recover and attempt to challenge resistances 79.50 and 80.00.
In case the Cable is unable to climb over a downtrend line at 1.5680, the bias will turn bearish. The possibility of GBP/USD going down to 1.5500 en route to a long-term at 1.5270 will then increase.
EUR/JPY currency pair is about to hit a strong resistance situated at 102.56/63. In case the latter level is breached, the price might increase up to 104.25. Dips should be covered by supports at 100.77 and 100.40/30.
The currency couple has already penetrated resistance at 1.3075 and is presently moving toward a tough zone located at 1.3140/45. However, this area in conjunction with 1.3245/50 is unlikely to allow EUR/USD to advance any further.
USD/CHF traded lower today after pending monthly home sales disappoined investors (-3.5% act./-0.6% est.), touching the daily target at 0.9273.
The pair crossed the 78.00 level and left the daily forecast mean (77.54) intact as the Japanese currency depreciated on the first trade balance deficit in almost 30 years.
The British pound erased earlier weekly gains after touching the market participants' mean (1.5602) on lower-than-expected final GDP (-0.2% act./-0.1% est.).
The shared European rose today versus the American dollar as the German Ifo Business Climate Index rose today despite the recession fears, leaving daily forecast mean (99.15) intact.
The shared European currency weakened versus the greenback and breached the daily forecast mean (1.3022) as the ECB opposed to accept losses on Greek government bonds.
Following a dip down to 0.9250/02 USD/CHF is expected to recover, however, a close above 0.9395 is needed to restore bullish momentum. Resistances at 0.4910/50 and at 0.9572 cap the pair.
USD/JPY currency couple has penetrated a number of resistances and is anticipated to continue rising. The initial goal for the pair is at 78.29/37 (200 day ma). Above it USD/JPY will encounter 79.49 (55 week ma) and 80.00, should it extend its current rally.
The Cable is now trying to break through a formidable resistance located at 1.5635. This attempt is expected to fail and result in GBP/USD sliding down to 1.5272. In case bearish impetus strengthens, supports at 1.5156 and 1.4260/29 may be reached.
The Euro - Japanese Yen currency pair has effortlessly pierced through a resistance zone at 100.45/77 and is now headed toward 102.55/60. The initial support lies at 100.77 and should limit possible losses.
EUR/USD is attempting to consolidate above a key level at 1.30. Resistance at 1.3077 has halted pair's advancement, although above it the price is likely to target 1.3145. Supports may be found at 1.2863/40 and 1.2800.
The Swiss Franc continued appreciating versus the American dollar as the economic outlook in Europe improves, causing the daily target at 0.9293.