Category: Technical Analysis

On the first day of the first full week of 2009, price action on the EUR/USD pair, a daily chart of which is shown, has made a bold statement regarding the remarkably rapid uptrend that was in place during the …

First, let’s review what has occurred over the past several months. The decline from the July 2008 high (1.6040) can be counted as a 5 wave drop (wave 5 is truncated). 5 waves down at this degree of trend indicate …

After two weeks of depressed liquidity, currency traders have decided to make their return to the market a memorable one. Breakouts have been marked across a number of the majors and equally charging moves were developed through many of the …

The Index is still trading below the significant 100 SMA area which could be strong enough to instigate short dollars and long euro’s in the next few days. However, any break or move above the 100 SMA, and the black …

The chart shows the movement started from 1.4718 (18 December). I think it is corrective in nature and is in the position of wave B or wave 2 of one higher degree. In both cases I will expect a new …

The year begins with euro in a consolidation, after the sharp rise of December, remaining in levels that still confirm the upward expectations. The first week of the year starts with important economic announcements. ISM non-manufacturing on Tuesday, Fed’s meeting …

Swiss has traded higher as Dollar strengthened. It went up to touch 1.1067 close to 30 pips short of 1.1108 (the 38.2% retracement of the fall from 1.2300 to 1.0371) we had mentioned in the morning. However, we went wrong …

In December, the Dollar/Yen continued declining, overcoming the minimum from October and reaching the lowest levels since 1995 under 90.00. Last week the currency couple made a correction and managed to hold above 91.00. On the weekly chart descending pressure …

EUR/USD-market strategy can be a sell from the level 1.3710 To strengthen our analysis; we use many other indicators, starting with MACD (Moving Averages convergence divergence); we notice the MACD lines after a bearish crossover below the zero line. In …

EUR/USD is in an uptrend, after bottoming at 1.2331 (Oct.28,2008). Technical indicators are rising, and trading is situated between the 50- and 200-Day SMA, currently projected at 1.3292 and 1.4721.

In December the British currency continued to decline and reached a new bottom since 2002. Last week the British currency continued its dropping, and the downward trend still remains in force. On the weekly chart descending pressure on the Cable …

The GBP/AUD traded since the middle of October in a strong bearish trend alongside the lower Bollinger bands. Now it seems to test the support-line at 2.0443 and should this line will be broken the bearish trend could be boosted …

The current market situation of the analyzed pair preserves in the short-term outlook ascending channel tendency but with signs of pair overbought and with lack of sustained bearish activity resistance. Hence we assume the possibility of the current situation preservation …

The EURCHF has held a broad range over the past three months of trading, and the pair is likely to face increased selling pressures over the near-term as market participants expect the European Central Bank to ease policy further in …

Downside is under pressure while the Euro trades below the 1.4 mark. Intra-day support is seen at 1.3830 backed by key support at 1.3640 formed by the 50% retracement of the 1.2550-1.4733 move. Daily studies are slightly bearish while the …

EUR/USD The Slow Stochastic and the RSI on the daily chart are showing a continuation of the current bearish momentum. There is also a very accurate bearish channel forming on the 4-hour chart as well. In addition, all indicators on …

The pair is trading sideways within a wide range between the key support at 1.4340 and the resistance at 1.4720 where trading may be volatile with no specific trend. On the other hand, trading for today remains below the 1.4550 …

EURUSD Comment: Consolidating neatly under December’s high, similar to price action in September and under a very large weekly Ichimoku ‘cloud’. Expect more of the same today and maybe up to another three weeks, then we favour another upside push.

On Friday Euro/Dollar tested the 1.3973 top and from there descended down to 1.3839, and closed at 1.3916 after little correction. The Euro broke the 10 day SMA, heading towards the next support at 1.3980, which is 38.3% Fibonacci to …

The EUR/JPY pair ignored any technical indicators suggesting the downside trend during the closing session last week as it continued to incline to reach the 128.39 resistance level before reversing back to the downside as it entered an overbought area …

EURUSD continues to form a triangular consolidation, with market attempt towards 1.3824, being rejected at 1.3856, ahead of bounce. Upside clearance of 1.4058 is needed to firm the tone for extension towards 1.4222, while only below 1.3824 weakens for 1.3629 …

In U.S. news, December ISM manufacturing fell to 32.4 from 36.2 in November. The Federal Reserve is likely to implement new credit facilities in 2009 to support the markets. The Fed’s balance sheet ballooned from about US$ 800 billion to …

December’s ISM manufacturing index came in at 32.4, well within recession territory and consistent with levels of the 1980-82 recession period. Weakness remains in new orders, production and employment. The inventory correction is ongoing. Prices paid fell sharply to 1949 …

Manufacturing continued to weaken sharply in December, according to today’s report from the Institute for Supply Management. December’s index declined to 32.4, a 10.5% decrease from November’s 36.2 reading. It was the fastest pace of decline for the manufacturing sector …