The British pound recovered today after the Halifax HPI index changed less than expected, piercing the daily market participants' mean at 1.5518.
The pair is still trading with the bearish sentiment as German Factory Orders declined (-4.8% versus -1.6% estimate), causing the daily mean at 98.75 to breach.
The shared European currency continued moving downwards versus the dollar, leaving the daily forecast mean (1.2822) untapped as the US economy added 200k and the unemployment declined to 8.5%.
USD/CHF is anticipated to rally up to 0.9548/49 in the nearest future, as it has effortlessly pierced through a preceding resistance. Longer term target is at 0.9774/84. Dips should be covered by supports at 0.9317/04 and 0.9244.
USD/JPY pair is gaining bullish momentum after it rebounded from 76.22. In the short-term 78.08 is expected to be tested once more, however, the chance of this level being overcome is minimal, since above lies a cluster of tough resistances.
As long as the Cable is capped by resistances at 1.5727 (55 day ma) and 1.5748, the outlook will remain negative. Bearish impetus is strengthening and is likely to last until at least 1.5272 is reached.
EUR/JPY has reached 11 year low and is likely to continue hovering below resistances at 100.77 and 100.15. The initial goal for the currency couple is at 94.92, although the pair will have to overcome supports at 97.90 and 95.90/40 first.
EUR/USD currency pair has dipped below 1.2860 and is currently near its 15-month low. At the moment it is heading towards 1.2530/88, while a long-term target lies at 1.2083 (200 month ma).
The market forecast mean for Tuesday (0.9369) has been breached as investors sold off Swiss Francs versus USD on more-than-expected US employment change data.
USD declined today as investors preferred yens over the dollar on EU debt worries, causing the pair to move breach the 76.70 mark for Thursday.
The British pound lost ground versus the Dollar on more-than-forecast US non-farm employment data, suggesting the US economy is successfully recovering, though the daily target at 1.5622 has been approached.
The common European currency depreciated against the American dollar, leaving the daily forecast mean (1.2964) intact on declining German Retail Sales and strong US employment change.
The common European currency depreciated against the American dollar, leaving the daily forecast mean (1.2964) intact on declining German Retail Sales and strong US employment change.
In case supports located at 0.9244, 0.9155 (55 day ma) and 0.9058 repel dips, USD/CHF is expected to eventually penetrate 0.9548/49 and then continue to advance until 0.9776/84 or even 0.9950 is reached.
For now the currency couple is unlikely to pierce through a cluster of resistances formed by 78.08, 78.86 (200 day ma), 80.00 and 79.80 (55 week ma). Before challenging resistances once more, USD/JPY may test 76.20 first.
The Cable is not expected to move sharply in the near-term. From above it is capped by resistance levels situated at 1.5733 (55 day ma) and 1.5756. Dips, on the other hand, should be limited by supports at 1.5555, 1.5410/26 and 1.5363.
Rallies are not expected to prolong beyond a solid resistance at 102.55. Being that EUR/JPY has staved in supports at 100.77 and 99.92, the outlook is bearish. The currency pair is currently heading toward 98.71, en route to 94.92.
EUR/USD bounced off 1.3057 (20 day ma), casting doubt on the possibility of an upward correction extending up to 1.3145/1.3200. In case the price slides below 1.2860, its primary target will be located at 1.2530/88.
Being supported by 0.9244, 0.9148 (55 day ma) and 0.9058, the currency pair is anticipated to repeat its attempt to break above 0.9548/49. The long-term target for USD/CHF is at 0.9776/84, ahead of 0.9950.
After being repelled by a resistance at 78.08, USD/JPY carries on edging lower. Additional levels at 78.89 (200 day ma), 80.00 and 79.80 (55 week ma) form an impenetrable for now resistance zone. Dips should be limited by 76.22, 75.94 and 75.31.
In order to gain bullish momentum the Cable will have to pass through 1.5736 (55 day ma) and 1.5743, although the likelihood of such event is presently minimal. The immediate support is situated at 1.5555, followed by 1.5410/26 and 1.5363.
Current rally of EUR/JPY is not expected to surpass a strong resistance line at 102.55. Therefore the near-term goal for the pair lies at 98.41. Subsequent supports may be found at 94.92 and 88.97.
The currency pair has overcome an accelerated downtrend and is now facing 20 day ma located at 1.3080. Nonetheless, this resistance is unlikely to hold, allowing for an extended rally up to 1.3145/1.3250 which should become the final stage of the upside correction.
The daily market forecast mean at 0.9391 remained intact today as the SVME PMI index showed the Swiss economy shows resilience to the global economic slowdown, thus the pair moved downwards.