The bullish momentum of EUR/USD has vanished and the focus is now on a support at 1.3162. In case this level is breached, the pair is then likely to slide down to 1.3025/00. From above EUR/USD is capped by resistances at 1.3320 and 1.3435.
Despite rocketing up to 0.9200, the outlook for USD/CHF is negative, as resistance at 0.9176 managed to repel the attack of the price. Additional resistance is at 0.9207, beyond which rallies are unlikely.
USD/JPY has been very calm today, without any extensive deviations. In the nearest future the currency couple is not anticipated to drop below a support area at 77.60/50, but to continue slowly crawling higher.
After encountering a formidable resistance zone at 1.5823/32 the Cable has sold off to 1.5755 where it may stall for some time. Nonetheless, the bias is bearish, since the price is trading within a descending channel.
Along with EUR/USD, EUR/JPY has tumbled as well, down through 102.78. The price is now contained within a narrow range between 102.56 (55 day ma) and 102.27. In the short-term we expect the currency pair to return to prior level at 103.05 and higher.
EUR/USD has effortlessly pierced through a support at 1.3227/22 (100 day ma) while falling. However, 1.3179/75 did succeed in halting the pair. Therefore we are likely to see a rebound from the latter level until the end of the day.
Support provided by 0.9080/60 is unlikely to be enough to keep the pair underpinned. USD/CHF is expected to dip down to 0.8750 (200 day ma) and afterwards commence recovering. Resistances will be encountered at 0.9174 and 0.9244/50.
USD/JPY has recently penetrated 77.17/32 (55 and 100 day ma) and is now about to challenge a key resistance level at 78.09/29 (200 ma). From below the currency pair is supported by 77.10 and 76.65.
Resistance at 1.5934 (200 ma) has repelled GBP/USD which is now expected to slowly slide down to 1.5730 first and then down to 1.5660. The bullish impetus has faded and rallies are unlikely to extend above 1.6167/71.
Anticipated close above a resistance line at 102.55/60 suggests EUR/JPY is likely to maintain its northward course. The initial goal lies at 104.30, while 107.72 (200 day ma) may be reached as well. Supports are at 102.21 and 101.10.
EUR/USD is now well-positioned for further gains and may advance up to 1.3625/30. The following target will be located at 1.3840/1.3900. Dips should be limited by supports at 1.3135 and 1.3048.
USD/CHF has made several attempts to break through a resistance at 0.9133 (55 day ma), however, all of them failed, increasing downside risk.
Even though USD/JPY was directionless in the morning, bullish momentum started to strengthen in the afternoon. The pair is now facing a formidable resistance area - 77.38/46. A daily close above it would pave a way to higher levels, such as 77.74 and 78.22.
The Cable did not manage to gain a foothold above 1.5854 and is now headed toward today's open price at 1.5803, which is also a 200 day ma. Although at first GBP/USD will encounter a support at 1.5828 (100 day ma).
EUR/JPY has already gained 78 pips and is still advancing. After overcoming an initial resistance at 102.85 the pair is likely to target 103.26 next. Supports are located at 102.47 and 102.06/01.
EUR/USD has bounced off a cluster of resistances at 1.3249 (daily pivot point and 55 day may) and then stalled near an uptrend at 1.3361. These levels should be able to constrain the pair for today.
In the short-term USD/CHF is expected to trade sideways, as it did not manage to base above 0.9250. The focus is now on a support at 0.9080/66. In case it is violated, subsequent levels at 0.8960 and 0.8785 should be able to stop dips.
USD/JPY carries on recovering from 76.00 and has already extended its rally up to 77.17/32 (55 and 100 day ma). Additional resistance is provided by 77.26/43, above which the pair should target 78.12/29.
GBP/USD has bounced off 200 day ma at 1.5937 and is now headed down to 1.5730, leaving less chance for further gains. A close below the latter level is likely to result in a slide down to 1.5585 (55 day may).
As long as EUR/JPY remains above a key support located at 100.09 (20 day ma), the outlook will be bullish. At the moment the pair is struggling at a resistance line at 102.55/60, a break of which would provide with a possibility of a rally up to 107.78.
Most of the indicators suggest continuation of the bullish trend until EUR/USD reaches 1.3436 with potential of climbing as high as 1.3627. However, we cannot rule out a dip down to an initial support at 1.3108, since the pair is currently struggling at a 1.3250/80 resistance zone.
Switzerland's unemployment rate remained unchanged in January, in line with economists' forecast. The US dollar fetched 0.9139 Swiss franc on intraday trading.
The yen showed little reaction to data showing that Japan's current account surplus shrank sharply to a 15-year low in 2011. The dollar was traded around 77.00 yen, retreating from earlier highs.
The euro also hit a seven-week peak of 102.44 against the yen, gaining strength on reported stop-loss buying. It later eased back below 102.00.