Cable: Remains weak below the falling resistance coming in at 1.4664 today
Wed, Mar 4 2009, 06:11 GMT
by Per-Erik Karlsson
Euro
Expect the correlation between the Euro and stock prices to be the main theme today, which suggest stronger Euro when stocks rally and stronger USD when stocks fall. Closed above the 1.2820 falling resistance line last Tuesday, which ended the recent down trend and neutralize charts and opens sideways to higher prices. Only a break below the 1.2500 support would open for another leg down. Have resistance today at falling resistance from Dec 08 high coming in at 1.2750, with minor resistance at the 21 day EMA of 1.2786.
Support: 1.2510 (yearly low), 1.2328 (2008 low)
Resistance: 1.2750 (falling resistance from Dec 08 high), 1.2898 (last Wednesday’s high), 1.3000 (psychological resistance), 1.3090 (February high)
240 min – Trading inside a triangle at the moment, rising support at 1.2542and falling resistance coming in at 1.2876
Cable
Remains weak below the falling resistance coming in at 1.4664 today. The 1.50 level is also key resistance level. It broke below the key support at 1.4050 yesterday, but couldn’t sustain the break and bounced back above the 1.41 level this morning. Key levels for today are, falling resistance at 1.4664 and support at yesterday’s low at 1.3956.
Support: 1.3956 (yesterday’s low), 1.3501 (2008 low)
Resistance: 1.4664 (falling resistance), 1.4985 (Feb. 2009 high) 1.5372 (2009 high)
120 min – Falling resistance at 1.4664 is key level to break to rally.
USDCHF
Trading inside the rising trend channel with 1.1944 overhead resistance and 1.1514 underlying support. Need to close outside of this range to trigger and bigger directional move. Last Friday’s price action was bearish and suggest a possible break to the down side that is what I favor for the moment.
Support: 1.1514(triangle support), 1.1313 (27th of January low)
Resistance: 1.1884 (20 Feb high), 1.1944 (triangle resistance)
USDJPY
Bullish momentum intact above the interim risings support at 95.28 today. Have minor support at that former overhead resistance coming in at 96.68 today. Next target is now 100.54 level. The correlation between stock prices and JPY is totally gone and seems to be more focus on the struggling Japanese economy over the last few weeks.
Support: 96.68 (former overhead resistance), 95.28 (interim rising support), 94.62 (break out level), 92.14 (rising support from 09 low), 87.09 (Dec. 08 low)
Resistance: 100.54 (November 2008 high)
EURJPY
The interim rising support was broken yesterday as it broke below 122.90 level. This does halt the recent strong bullish momentum and opens for a correction lower towards the 120.48 level (former overhead resistance), which is now the swing level. Not been able to make any substantial move above the 125.74 that is the 23.60% Fibonacci retracement of the 169.96 to 112.07 move. A daily close above 126.00 would target 130 level next.
Support: 120.48 (former overhead resistance), 117.88 (Friday low), 115.61 (rising support)
Resistance: 125.74 (23.60% Fibonacci of the 169.96 to 112.07 move) 131.09 (December 08 high)
USDCAD
Closing in on that 1.30 level, which remains the key resistance level to break to get another rally higher. Probably need to break above 1.3050 or so to make sure the break is real and not just a stop hunting move. Expect a fair amount of sellers stepping in ahead of that 1.30 level. Rising support coming in at 1.2392 today, which need to hold to keep the recent bullish momentum intact.
Support: 1.2392 (rising support), 1.1759 (last reaction low), 1.1685 (rising support), 1.1460 (break out level)
Resistance: 1.3007 (March 2006 low)
EURGBP
The interim falling resistance (0.8845) was broken Wednesday last week and this opens for a test of the 0.9079, which is the key resistance level and gateway to higher levels. Key support remains the 0.8630 level.
Support: 0.8771 (rising support), 0.8630 (2009 low)
Resistance: 0.9010 (yesterday‘s high), 0.9079 (February high)
