Daily Technical Strategist
Today's Focus: EURUSD & GBPUSD
- EURUSD: EUR Collapses, Turns Back Below The 1.5842 Level.
- GBPUSD: Nearer Term Corrective Pullback Begins.
EURUSD
EUR collapsed off its intra day high of 1.5908 Thursday through the 1.5842 level, its Jun 09'08 high to close the session at 1.5685.Overbought unwinding has been triggered as its stochastics has turned lower from its overbought territory indicating that lower prices could be seen in the days ahead. In such a case, the 1.5650 level, representing its Jun 20'08 high will be initially targeted accompanied by the 1.5510 level, its April 03'08 low ahead of the 1.5360/64 zone, its .382 Fib Ret/ Jun 05'08 low. Below there will leave the pair pushing further lower towards its May 08'08 low at 1.5283 and then its .50 Ret (1.4309-1.6018 high) at 1.5164.On the other hand, a return back above the 1.5842 level followed with a break above its mentioned intra day high at 1.5908 is now required to bring upside gains to its YTD high at 1.6018.On the whole, while the present weakness looks to head further lower, doing so within its sideways trading will suggest a move possibly towards the 1.5283 level.
| Support |
Comments |
| 1.565 |
Jun 20'08 high |
| 1.5593 |
May 06'08 high |
| 1.551 |
April 03'08 low |
| 1.5360/64 zone, its |
.382 Fib Ret/ Jun 05'08 low |
| Resistance |
Comments |
| 1.5817/42 high |
May 27'08/Jun 09'08 |
| 1.5895/I 5912 |
Mar 31'08 high/April 10'08 high |
| 1.6018 |
YTD high |
GBPUSD
GBP closed lower Thursday triggering it nearer term corrective pullback which is now threatening its daily 200 ema currently at 1.9833.Decisively violating that level will call for a move towards its Jun 09 & 20'08 highs at 1.9800/1.9790 or even the 1.9598, its April 15'08 low.If further downside weakness below these level materializes, the 1.9407 level, its Jun 13'08 low ahead of the 1.9360/35 zone, its 2008 lows will be aimed at. Its daily stochastic remains in alignment with this scenario. On the upside, the 1.9850/34 zone, will come in as the immediate target followed by its recent high at 2.0004 with a turn above there setting the stage for a push higher towards the 2.0026 level, its April 21 & 28'08 highs and next the 2.0191 level, its Mar 27'08 high. Above there rests a stronger resistance at the 2.0396 level, its Mar 14'08 high. All in all, the pair has to maintain above the 1.9834 level or the 1.9790 level to reduce the risk of lower prices and cause the resumption of its recovery off the 1.9407 low.
| Support |
Comments |
| 1.9850/34 |
May 23'08 high/Daily Ema |
| 1.9800/1.9790 |
Jun 09 & 20'08 highs |
| 1.9598 |
April 15'08 low |
| 1.9407 |
Jun 13'08 low |
| Resistance |
Comments |
| 2.0026 |
April 21 & 28'08 highs |
| 2.0191 |
Mar 27'08 |
| 2.0396 |
Mar 14'08 high |
Mohammed Isah
Market Analyst
www.fxtechstrategy.com
This report is prepared solely for information and data purposes. Opinions, estimates and projections contained herein are the author's own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed to be reliable but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which the author incur any responsibility. The does not accept any liability whatsoever for any loss arising from any use of this report or its contents. This report is not construed as an offer to sell or solicitation of any offer to buy any of the currencies referred to in this report
|
