Razvan Mihai, CFTe
Forex Rally
EURUSD – In a Holiday
The EURUSD sat in a 100 pips range from last weeks to now.The latest economic releases did not have any impact on the price action of this currency pair.
With the pressure accumulated, I would expect for the price to break the resistance from 1.1437 and rally towards 1.1500. I would go with this side because of both technical analysis and fundamental reasons. I would still keep an eye over a break below the support line from 1.1337.
USDJPY – Finally Out
The USDJPY is finally out of the range. As Technical Analysis was pointing last week, the price broke the lower line of the range a dropped all the way to 107.62, where it found a local support.
A short term range seems to be in place. A break below the 107.62 support would signal a continuation of the drop towards the next key support from 105.50. On the other hand, a rally above 109.25 would signal a corrective move towards 111.00.
NZDUSD – Back toTrend Line
The NZDUSD price broke below 0.6821, the local support, and headed towards the next support, 06746, which happens to be close to the uptrend’s line. For the moment a Double Bottom pattern seems to be emerging from the last price action.
A break above the current resistance, 0.6860, would signal a comeback o the kiwi towards previous highs, or even rally higher towards next round number level, 0.7000. A bearish signal will come with a break below current support area.
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