Daily Technical Analysis for Majors

[FxTT]

EUR/USD Falls on Poor Spanish Debt Auction

EUR/USD:

The euro lost ground against the U.S. dollar yesterday as poor Spanish bond sale heightened concerns about lower rated euro zone countries and after the ADP report showed that labor market conditions continue to improve at a moderate pace. The ECB left interest rates on hold at 1%. It appears that more policy support from the ECB in the near term is unlikely. EUR/USD slipped below the daily moving average (100) and the candlestick pattern suggests that there is a potential to go lower. Weekly close is very important at this point. In addition the pair is back below the descending trend line. For now the bulls are defending the 1.3100 support level. If price holds above 1.3100 and turns bullish, look for daily resistance at 1.3155-75 and 1.3215. In order for pair to remain bullish, price has to climb and hold above 1.3230. It is possible that the pair will test the broken support at 1.3160 before going lower to test 1.3053 and then 1.3000 level.



GBP/USD:

The GBP/USD has bounced off of the daily support (also the daily moving average). Bearish EUR/GBP is affecting the cable. Britain's economic recovery is under pressure from Europe’s debt crisis therefore investors will be watching the outcome of the Monetary Policy Committee meeting today. Daily chart suggests that the pair will maintain its bullish stance as long as it trades above 1.5800-35 area. If the pair goes higher, there will be resistance at 1.5918, 1.5949 and 1.6007. To the downside, there will be support at 1.5835, 1.5800 and 1.5755. The 1.5800 level will be vital for the bulls, and if it gives way, the pair may drop to 1.5650 in a short time.



USD/CFH:

EUR/CHF is floating around the critical levels. If the SNB intervenes in the EUR/CHF pair, USD/CHF will rise as well. USD/CHF moved above its ascending trend line and the pair is climbing towards the first barrier ahead at 0.9200. This level will be the key for the continuation of the bulls’ run and any break above it may mean a bullish march to 0.9320. If the bears win the battle , I will be looking for support at 0.9094-80, 0.9028 and 0.8940.



USD/JPY:

JPY is under the selling pressure when it trades below the 83 level. It seems that USD/JPY is preparing for its next move as it consolidates between 83.30 and 81.85. The pair had an inside day yesterday and closed the day lower than it opened. The pair looks more bearish than bullish but it would be safe to see a breakout before making any decisions. On the way up there will be resistance at 83.00, 83.30 and 84.00 with support below at 81.90, 81.55 and 81.01.

At the end of each article put Source: Fx Technical Trade

 

[FxTT]

EU is Failing to Contain Its Debt Crisis

EUR/USD:

It took just 4 days to fall back to 1.3030 from 1.3380 level which the pair had spent 9 days to reach. Yesterday EUR/USD tested 1.3030 support as Spain's debt burden renewed concerns about the eurozone's fiscal stability and after industrial production figures out of Germany disappointed the market. EUR/USD halted at its critical support, 1.3030. This support level has been a very important level since February. In spite of thin market conditions ahead of the Easter holidays, Non-Farm Employment Change data may create a big impact. Problems in Europe are starting to get more investors’ attention. 1.3000 is also a psychological level. For the next few days, considering that the 1.3000 level was a strong support in the past, it may be hard to break it without sufficient volume. Therefore I believe that it is possible to see a bounce towards 1.3100 or even 1.3150. The bulls have to push EUR/USD above 1.3150 to fight another round. However if the pair breaks 1.3000, speculative selling pressure will increase. In that case, look for support at 1.2970, 1.2929 and 1.2860.



GBP/USD:

The Monetary Policy Committee left the total of its asset purchases at £325 billion and kept interest rates at 0.5%. Also the latest report from the Office for National Statistics showed manufacturing output unexpectedly declined 1%. GBP/USD fell after the announcements. The pair found support and paused at 1.5802, which is the daily moving average (50). The most probable scenario in today's trading is that we see price retrace to around 1.5880 before continuing its descent. To the upside, expect to see resistance at 1.5920 and 1.5947. If the pair can close above 1.5900, the bullish trend may resume. If the pair ends the week below 1.5800, general outlook will turn to bearish and I will be looking for 1.5650. To the downside, there will be support at 1.5770 and 1.5708.



USD/CAD:

USD/CAD strengthened yesterday after a government report showed full-time employment in jumped by 70.000 and part-time positions grew by 12.400.This pair keeps failing at the parity level. The bulls have been relentless in their tries but the higher prices are being rejected by traders. Today’s expected trading range is 1.00 and 0.99. Until this trading range is broken, USD/CAD will remain sideways.



AUD/USD:

AUD/USD paused at 1.0242 (Fibonacci 50%) and had a slightly bullish day as markets refocused on Europe's unresolved debt problems and the possibility of contagion from the eurozone. As price action has been overly bearish for the past few days, it is possible to see the pair moving higher. But in order to that it has to break and hold above 1.0330 resistance level. The next resistance levels are located at 1.0394 and 1.0425. If the bears win the fight, support levels will be 1.0240, 1.0187 and 1.0133.

At the end of each article put Source: Fx Technical Trade

 

[FxTT]

EUR Gains as U.S. Economic Recovery Remains Sluggish

EUR/USD:

The markets were mixed in limited holiday trade on Friday. Investors’ focus was on the U.S. jobs report even though fears for Spain have grown since its borrowing costs soared on Wednesday in its first debt auction since an austerity budget last week. The report showed that Non-farm payrolls rose by 120K vs. 203K expected. The report was disappointing and it kept the door open for the Fed to provide more monetary support to the sluggish economy. But Europe’s crisis has not ended yet. In addition EU officials are still far from convincing the investors to buy the euro. Sometimes it is better to look at the larger time frames before analyzing the market. Monthly charts show that EUR/USD pair is capped at 1.3385, which is moving average(100) level. Weekly chart indicates the pair has been moving inside a descending channel since late-2008. And finally the daily charts suggest that there is more resistance to the upside. 1.3030-00 zone is still a strong and psychological support but the question is “how long will that support hold?”. If price recovers and moves higher, resistance will be at 1.3150, the 100-day moving average, and 1.3214 will be offering strong resistance above that. If the bears can’t pass 1.3150, look for support at 1.3030 and 1.2970. A break of this level would increase speculative selling pressure.



GBPUSD:

The pair gained on Friday after it found support at its 50-day moving average at 1.5810. The pair had closed the week at 1.5873. On Monday we may see some consolidation between 1.5800 and 1.5900. It is quite possible that the pair will continue its bullish tendencies, but the pair has to break the important resistance located at 1.5900. If the pair can stay above this level, look for 1.5953, 1.5991 and 1.6060. However, if the bears successfully can pull the pair below 1.5800, expect to see support at 1.5736 and 1.5650.



USD/CHF:

The pair is trying to break 0.9200 resistance by the time I write. If the bulls can penetrate 0.9200 resistance, look for 0.9250 and 0.9320. If the bears win the fight, there will be support at 0.9100-0.9080 area and 0.9000. Also keep an eye on the EUR/CHF as it is just above the 1.20 floor level and if SNB intervenes to protect this level, USD/CHF would be affected as well.



USD/JPY:

Bullish momentum is diminishing since USD/JPY touched its descending trend line at 84.15 and failed to break this resistance. It is possible to see pair touching 81.10 before it bounces to 82.05. In order to resume its bullish trend the pair has to break and hold above 82.80. If the bears win the fight and break 81.10 support, look 80.08.

At the end of each article put Source: Fx Technical Trade

 

[FxTT]

Yen Weakens Before BOJ Decision

EUR/USD:

Yesterday was the first session following disappointing U.S. jobs data. Renewed hopes for more monetary stimulus from the Federal Reserve helped EUR/USD to halt its decline at the critical 1.3030-1.3000 zone. Now the pair will have a tough test at 1. 3145, which is the daily moving average (100). If the bulls can successfully manage to pass this key level, their next target will be 1.3213 and 1.3248. A break of this level would strengthen the bulls. If the bulls fail to pass these important barriers, we will go back to 1.3030 level. Weekly charts will remain bearish as long as the pair trades below 1.3280.




GBP/USD:

The pair has been very resilient over the last few weeks. According to the latest report RICS house-price index rose 3 points to -10. UK economic recovery is still fragile as the changes in the budget and ongoing problems have been affecting the economy. However optimistic scenarios are driving GBP/USD higher. The pair bounced off of the daily support and 34-day moving average. The price has been making higher highs and lower highs since Friday and if the pair can stay above 1.5900, bullish trend would resume. If that is the case, look for 1.5960 and 1.6058. However, if the bulls fail at this level, the pair would pullback to 1.5870 first and then probably to 1.5800.




AUD/USD:

The Australian dollar has been gaining on the U.S. dollar since it paused at a strong historical support zone of 1.0250 (50% Fibonacci retracement). In order for pair to continue rising, it has to pass 1.0330 barrier first. If the bulls take over, look for resistance at 1.0380 and 1.0500 which will be the next key level to the upside. If the bearish sentiment continues, look for support at 1.0240 and 1.0115.



USD/CAD:

USD/CAD has been sideways for weeks. The pair can be frustrating sometimes. Price will need to break 0.9900-1.0000 tunnel before it decides to pick a direction. Until this happens, 100 pips trading range can still offer trading opportunities. For near-medium term, 1.01 level is the top of the resistance level and 0.98 is the bottom of the support level.

At the end of each article put Source: Fx Technical Trade

 

[FxTT]

http://myegy.com/

MyEgy - - - - - -

 

[FxTT]

MyEgy - - - - - -

 

[FxTT]

Re: The European Central Bank Kept Interest Rates Unchanged

MyEgy - - - - - -

 

[FxTT]

Re: EUR/USD Rises on Greek Debt Deal Optimism

MyEgy - - - - - -

 

[FxTT]

Re: Fitch Ratings Changed The Outlook On UK

MyEgy - - - - - -

 

[FxTT]

Re: The IMF Approved €28 Billion Loan For Greece

MyEgy - - - - - -

 

[FxTT]

Re: Markets Continue To React To Weak Chinese Data

MyEgy - - - - - -

 

[FxTT]

Re: USD Faces Profit Taking

MyEgy - - - - - -

 

[FxTT]

MyEgy - - - - - -

 

[benjib84]

AUD/USD - BUY
Well we can see from the h4 that the long running downtrend has been broken looking like a turn to the bullish side. On the m15 we see the rate is as bullish as it gets. Yes finally after the pips we’ve made from the drop, we can take some more riding the thing back up. I expect a short retracement. Following this I’ll look to buy once 1.03938 is re-broken. Another good move to look for is if it breaks 1.04559 which has given good support already. I expect a nice rally if this is broken.
PICK OF THE DAY – AUD/USD – BUY
An easy one today. There is opportunity in the works for CHF, GBP and CAD, but for me the AUD is the clear winner with such a nice turn in the trend. Levels id look to buy off if broken are 1.03938 and 1.04559.