Daily Forecast - 04 April 2016

GBPUSD Spot

GBPUSD

GBPUSD minor support at 1.4210/05 but trend line support at 1.4145/40 is a buying opportunity with stops below 1.4105. A break lower is a sell signal & sees 1.4140 act as resistance to target 1.4100 then 4 week low at 1.4055/50.

Holding first support at 1.4210/05 targets 1.4255/60 then first resistance at 1.4275/80. A break above 1.4300 however signals further gains to 1.4325/30, perhaps as far as resistance at 1.4350/60.


USDJPY Spot

USDJPY

USDJPY getting oversold short term but any recovery is not expected to take the pair too far. First resistance at 112.10/20 but above here a selling opportunity at 112.50/60. Shorts need stops above 112.85.

Below last week's low at 111.56 keeps the pressure on for 111.36 & 111.20. If we continue lower look for February lows at 111.00/110.95 then important March lows at 110.65.


EURGBP Spot

EURGBP

EURGBP overbought short term but any weakness is a buying opportunity. Below 8000/7990 however risks a slide to important support at 7945/35. Try longs with stops below 7920. Failure to close above 7940 tonight would question whether Friday's breakout was a false.

A break above 8020 targets important longer term resistance at 8035/39. This is the most important resistance of the week. In fact on the longer term charts we have strong resistance again at 8065/70 so these are 2 important challenges which look unlikely to be beaten at this stage.


AUDUSD Spot

AUDUSD

AUDUSD failure to hold above 7650 risks another slide to 7629/25 then minor support at 7600/7597. However if we continue lower today look for better support at 7580/70 & the best chance of a low for the day. Longs need stops below 7550.

Holding above 7665 keeps bulls in control this morning to re-target 7700/05 before last week's high at 7721. A break higher likely at some stage this week in the bull trend to target 7735/39 & longer term trend line resistance at 7755/60. A good chance of a high for the day if reached, but shorts would still be risky in the 2 & a half month bull trend.


EURUSD Spot

EURUSD

EURUSD outlook positive after last week's breakout with minor support at 1.1370/65 but better support again at 1.1330/25 is the most important of the day. Longs need stops below 1.1315 with further losses to target a buying opportunity at 1.1295/90. Longs need stops below 1.1270.

Minor resistance at 1.1400/10 but above here re-targets last week's high at 1.1434/37. If we continue higher in the bull trend as is likely this week, look for 1.1455/60 then important October highs at 1.1490/95. Just be aware that a break above 1.1515/20 signals further gains targeting 1.1550/60.


Gold Spot

Gold

Gold held March lows at 1209/08 for a good bounce to the important 1225 level & topped just below here. We must hold first support at 1216 to build a recovery today & re-target first resistance at 1225/26. It could be worth trying shorts with stops above 1230. A break higher however sees 1226/25 act as support to target a better selling opportunity at 1235/36. Shorts need stops above 1241.

Below 1216 is more negative for today & risks a slide to 1212 then a retest of important March lows at 1209/08. I would not be buying here today as risks grow for further losses to 1204 & perhaps as far as 1201/00.

The contents of our reports are intended to be understood by professional users who are fully aware of the inherent risks in Forex, Futures, Options, Stocks and Bonds trading. INFORMATION PROVIDED WITHIN THIS MATERIAL SHOULD NOT BE CONSTRUED AS ADVICE AND IS PROVIDED FOR INFORMATION AND EDUCATION PURPOSES ONLY.

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