•  
  • New York 18:42
  • London 22:42
  • Barcelona 23:42
  • Tokyo 07:42
  • Sydney 09:42

  • SignUp | Login

Daily Technical Analysis

GBP: Attempt longs at 1.6995 but only if prepared to add to 1.6800

Thu, Aug 6 2009, 06:37 GMT
by Nicole Elliott

Mizuho Corporate Bank  |  View company's profile


Vote:

13

5

EUR

Comment: Can anyone spot a ‘black swan’? The Euro is consolidating at the very top of this year’s range, is not overbought (though bullish momentum could be stronger) so expect another burst higher hopefully by the end of this week. Our measured targets are 1.4600 and eventually the psychological 1.5000.

Strategy: Attempt longs at 1.4400, adding to 1.4360; stop well below 1.4200. Short term target 1.4435, then 1.4545 and after that 1.4635.


EUR/JPY

Comment: Hovering slightly unsteadily at some of this year’s highest levels, overbought with declining bullish momentum. Who knows where it will end, but it will be messy, and we are very wary of upside breaks in some other currency pairs (namely AUD/JPY, BRL/JPY, CAD/JPY, NOK/JPY and NZD/JPY where some may say there is an element of catch-up). Stand aside if possible.

Strategy: Possibly attempt tiny shorts at 137.00; stop above 137.75. Short term target 136.00, maybe 133.50.


GBP

Comment: Perched at the psychological 1.7000 level as many look on in amazement at the pound, late to the party as volume and open interest in the futures increase. Our measured targets remain at 1.7100 then 1.7500. Careful though as it is almost overbought and bullish momentum is not nearly as strong as many would hope.

Strategy: Attempt longs at 1.6995 but only if prepared to add to 1.6800; stop well below 1.6700. First target 1.7044 again, then 1.710/1.71250 and after that 1.7500.


JPY

Comment: Nothing to add as we continue to struggle above moving averages and below a descending Ichimoku ‘cloud’. Be careful as many of these look over-extended. The Lagging Span is holding under the candles which drop dramatically in two days’ time. We continue to favour generalised US dollar weakness and therefore eventually dollar/yen ought to move lower.

Strategy: Attempt shorts at 95.15; stop above 96.00. Short term target 94.15, then 93.00.

Published on  Thu, Aug 6 2009, 06:42 GMT


Mizuho Corporate Bank http://www.mizuho-cb.co.uk | Nicole.Elliot@mhcb.co.uk

Archive


Legal disclaimer and risk disclosure

The information contained in this page is based on or derived from information generally available to the public from sources believed to be reliable. No representation or warranty is made or implied that it is accurate or complete. Any opinions expressed in this paper are subject to change without notice. This page has been prepared solely for information purposes and if so decided, for private circulation and does not constitute any solicitation to buy or sell any instrument, or to engage in any trading strategy.
Vote:

13

5

Related reports

Continued Economic Recovery, Low Inflation by Wells Fargo Investments, LLC
Fri, Mar 19 2010, 19:58 GMT

USD higher, Greek debt worries, India hikes rates by Easy Forex
Fri, Mar 19 2010, 18:04 GMT

EUR/USD: No time for reversal yet by FXstreet.com Independent Analyst Team
Fri, Mar 19 2010, 15:27 GMT

Stock Traders focusing on Quadruple Witching by ForexHound.com
Fri, Mar 19 2010, 14:36 GMT

Discount rate discussions keeping floor under bonds by Interactive Brokers LLC
Fri, Mar 19 2010, 14:29 GMT

eurusd, eurjpy, techbanks, highlighted, gbpusd, usdjpy

[ View All ]

Related content

Forex: EUR/USD ends week below 1.3550, first time in 10-months
FXstreet.com | Fri, Mar 19 2010, 20:31 GMT

Forex: Cable fell sharply on Friday
FXstreet.com | Fri, Mar 19 2010, 19:19 GMT

Forex: USD/JPY pulls back to 90.35
FXstreet.com | Fri, Mar 19 2010, 18:42 GMT

Forex: AUD up from lows and sleepy ahead weekend
FXstreet.com | Fri, Mar 19 2010, 17:25 GMT

Indices: FTSE closes with loses, correction
FXstreet.com | Fri, Mar 19 2010, 16:39 GMT

eurusd, eurjpy, techbanks, highlighted, gbpusd, usdjpy

[ View All ]

Interested in forex trading? forex brokerage firms!


FX Solutions LLC
Contact the broker/FDM
Open a demo account
FOREX.com
Contact the broker/FDM
Open a demo account
GO Markets
Contact the broker/FDM
Open a demo account		Deutsche Bank
Contact the broker/FDM
Open a demo account		Capital Market Services UK Ltd
Contact the broker/FDM
Open a demo account

GET CASH BACK FOR YOUR TRADES!   Learn more about the Pip Rebate Program

Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer.

Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.

Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. FXstreet.com has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and Omissions may occur.

Any opinions, news, research, analyses, prices or other information contained on this website, by FXstreet.com, its employees, partners or contributors, is provided as general market commentary and does not constitute investment advice. FXstreet.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.

©2010 "FXstreet.com. The Forex Market" All Rights Reserved.