EURUSD
Trading strategy: short at 1.5060, initial stop at 1.5120, objective at 1.4960. Adjust stop to breakeven on +30 pips (at 1.5030) if reached
The euro holds gains above the 1.4900 mark despite the downside pressure emerging since yesterday. The upward channel formed on the 4-hrs charts (as seen below) is intact and has provided yet another level to initiate long positions with objectives into the 1.5 region. Intra-day sentiment is slightly bearish but a potential break above 1.4950 will confirm uptrend resumption. Resistance starts at 1.4950 followed by 1.4990/00, 1.5050/70 and 1.5100. On a short-term basis, upside remains favored since key support levels into the 1.48 region are intact – therefore 1.5000 remains on focus. Current quote is 1.4930 @05:20 GMT
Support: 1.4885/00, 1.4820/50 and 1.4750/75
Resistance: 1.4950, 1.4990/00 and 1.5100
GBPUSD
Trading strategy: short at 1.6530, initial stop at 1.6580, objective at 1.6430. Adjust stop to breakeven on +30 pips (at 1.6500) if reached
Cable continues to advance higher against the greenback, recovering most of yesterday’s retreat to as low as 1.6325. The 1.6400 handle provides intra-day support now and upside targets are set at 1.6530 and 1.6600. Some market reaction is possible on reaching 1.6530 since it is the 61.8% retracement ratio of the 1.7040-1.5705 downside move, but short-term sentiment will most likely remain bullish. Current quote is 1.6430 @05:20 GMT
Support: 1.6400, 1.6300/25 and 1.6220/50
Resistance: 1.6500, 1.6530/50 and 1.6600
