EUR/USD Current price: 1.2967View Live Chart for the EUR/USD
The EUR/USD nose dive to 1.2950 this Thursday, as the ECB lower its growth and inflation forecasts. President Draghi also said that policy makers considered cutting interest rates and even discussed negative deposit rates. Things are not so bright in the European paradise and confidence has a long way to go before getting restored. Anyway, market trades in tight ranges, and will likely remain so during current Asian session, as the market waits for tomorrow US employment data. A strong drop in job creation is expected, due partially to hurricane Sandy: market waits for a 89K reading from a previous 171K. The result, will likely set the tone for December for the EUR/USD, with a positive reading, diluting chances of FED easing this month, and therefore supporting the greenback. A negative reading could trigger risk aversion no doubts, but in that case dollar gains will likely remain limited.
For current Asian session, the EUR/USD hourly chart shows price in the 1.2950/70 range, with indicators aiming slightly higher from extreme oversold levels, not actually pointing for a correction higher. In the 4 hours chart strong bearish momentum persists, supporting further falls. Next big challenge for bears, comes at 1.2880 static support zone.
Support levels: 1.2945 1.2910 1.2880
Resistance levels: 1.2970 1.3000 1.3040
GBP/USD Current price: 1.6049View Live Chart for the GBP/USD (select the currency)
The GBP/USD followed Euro, sinking to a daily low of 1.6037 and closing the day below key 1.6065 area, now immediate resistance. In the hourly chart, indicators turned flat in oversold levels, and price recovery has been quite limited so far, which suggest corrective movements are done until next market trigger. As long as below mentioned 1.6065 the downside is favored also based on the 4 hours chart, where technical readings turned strongly bearish, with a break below 1.5990 triggering a deeper slide in this last day of the week.
Support levels: 1.6025 1.5990 1.5950
Resistance levels: 1.6065 1.6090 1.6130
USD/JPY Current price: 82.37View Live Chart for the USD/JPY (select the currency)
The USD/JPY recovered from an intraday low of 81.19, bouncing from its 1 hour 100 SMA. The hourly chart, shows price standing above 82.30 static support level, although indicators are flat in neutral territory giving not much clues on direction. The USD/JPY will likely react straight after US employment news, soaring with a positive number and nose diving with a negative one. Of course, if there’s a strong deviation between actual reading and forecast, as a reading near expectations may keep the pair in its latest 81.80/82.60 range.
Support levels: 82.30 82.00 81.80
Resistance levels: 82.60 82.85 83.10
AUD/USD: Current price: 1.0486View Live Chart for the AUD/USD (select the currency)
The AUD/USD surged briefly to 1.0514 3-month high, yet unable to follow trough fell back to 1.0470 price zone. The hourly chart, shows the upside continues to be favored as indicators head north above their midlines while price stands above a bullish 20 SMA. Also latest bearish run completed a pullback to the daily descendant trend line broken this Thursday, reinforcing the bullish tone. In the 4 hours chart indicators are gaining some bearish tone, yet as long as above mentioned low of 1.0470, the downside seems limited. Gains beyond 1.0510 should confirm the upward trend with 1.0550 and 1.0600 then at sight.
Support levels: 1.0460 1.0430 1.0400
Resistance levels: 1.0510 1.0550 1.0600
New to Forex? Visit our Glossary!