GBPUSD first resistance at 1.4915/19 is only minor again today

Daily Forecast - 21 December 2015

AUDUSD Spot

AUDUSD then beat 7155/60 to hit our next target & a selling opportunity at 7200/05. We topped just 1 pip below & sold off to 7166. So holding above 7160/55 today re-targets strong resistance at 7200/05. Again shorts need stops above 7220. A break higher today sees 7205/00 act as support to target resistance at 7236/40. If we continue higher look for strong resistance at 7230/35.

First support at 7160/55 could hold the downside but below here risks a slide to 7135, perhaps as far as good support at 7095/90 for a buying opportunity. Longs need stops below 7070. Be ready to sell a break below 7070 to target 7045/40 then 7025/20 & perhaps as far as November lows at 7012.

EURGBP Spot

EURGBP same levels apply for today & we must hold above 7265/70 for another selling opportunity at 7295/99. We can keep doing this trade until it fails, so shorts need stops above 7310. A break higher is a buy signal & targets 7329/30, perhaps as far as 7356/60. If we continue higher look for 7373.

First support at 7265/70 but below here risks a slide to 72550/50 then support at 7235/30. If we continue lower look for the next downside target & better support at 7205/00 which is again the most important for this week. Longs need stops below 7190. A break lower is a sell signal & targets minor support at 7178/75. This could hold the downside initially but further losses target 7143/40.

EURUSD Spot

EURUSD trying a break above 1.0860/65 as I write to target & resistance at 1.0895/99. We should struggle this morning but further gains eventually could reach 1.0930/35 for a selling opportunity with stops above 1.0960. Just be aware that an unexpected break higher targets 1.1000/05.

Failure to hold above 1.0860/65 risks a slide back to good support again at1.0805/00. A break lower today however targets 1.0775 then good support at 1.0740/35.

GBPUSD

GBPUSD first resistance at 1.4915/19 is only minor again today but above here re-targets stronger resistance at 1.4950/54. Shorts need stops above 1.4985. On a break higher 1.4954/50 should work as support at & we look for the next target & selling opportunity at 1.5005/09. Shorts need stops above 1.5030.

Failure to beat first resistance at 1.4915/19 targets the 1.4994/84 area. We must then watch last week's low at 1.4862. Be ready to sell a break below 1.4855/50 to target 1.4810. If we continue lower in the bear trend look for 1.4795 then 1.4775/73 & 1.4755/51.

Gold Spot

Gold hit strong resistance at 1067/68 with a high for the day expected & we topped below the stop level of 1071. First resistance at 1068 the main challenge for bulls today but with the bullish double bottom pattern we must be ready to buy a break above 1071 to target 1073 then an excellent selling opportunity at 1079/80. We should be overbought short term at this stage but shorts need stops above 1084.

Failure to beat 1068 today targets minor support at 1063, perhaps as far as 1058/57. Failure here however target 1053. Obviously the double bottom lows at 1046/45 are very important this week. A break below is therefore a sell signal & targets 1040/39 then 1034/33.