Premium
- New York
- London
- Barcelona
- Tokyo
- Sydney
Search
Weekly Forex Signals
0
0
U.S. Dollar could recover as GBP lose its momentum
Mon, Jul 14 2008, 10:14 GMT
by Benny Menashe
| Long signal | Short signal | |
| Buy a break of resistance level at 1.9895 | Sell a break of support level at 1.9800 | |
| GBP/USD | Buy a break of resistance level at 1.9955 | Sell a break of support level at 1.9755 |
| Buy a bounce at 1.9800 | Sell a failure of breaking the resistance 1.9895 |
Fundamental
The dollar rose for the first time in four days against the euro after U.S. Treasury Secretary Henry Paulson announced funding plans for Freddie Mac and Fannie Mae to restore confidence in financial markets.
The currency climbed against the yen after Paulson asked Congress for the authority to buy unlimited stakes in the two largest U.S. mortgage finance companies and the Federal Reserve offered them loans through its discount window.
Technical
The Sterling may start a downtrend for a short period and then bounce back again versus U.S. dollar as we can see strong volatility in the market, based on technical indicators like RSI, which breaks 70% line downwards, MACD crosses the signal line and breaks the equilibrium level downwards, and Bollinger gives us a bearish signal by closing the candle below the middle band.
GBP/USD (Daily Chart)
The primary tendency gives us a clear uptrend.
GBP/USD (4 Hours Chart)
The pair couldn’t break standard error channel middle line.
GBP/USD (Hourly Chart)
The Minor trend had a strong retracement.
Resistance
1.9895
1.9955
Support
1.9800
1.9755
Published on Mon, Jul 14 2008, 10:24 GMT
Archive
- BOE could cut rates after dollar continues to dominate against Sterling
Published On Mon, Oct 6 2008, 12:11 GMT - Euro hits 10-day low vs dollar as banking crisis spreads
Published On Wed, Oct 1 2008, 11:42 GMT - Dollar slips due to failed liquidity plan by Federal Reserve
Published On Tue, Sep 23 2008, 12:07 GMT - Lehman bankruptcy helps Euro recuperate!
Published On Mon, Sep 15 2008, 08:53 GMT - Nine day decline might get worst for the pound against dollar
Published On Mon, Sep 8 2008, 12:00 GMT
Finotec
| Global financial trading center, 1 Grivas Digheni and Chrysanthou, 3035 Mylona P.O.B 58007, Limassol
http://www.finotec.com/ | support@finotec.com
Legal disclaimer and risk disclosure
FINOTEC Trading’s Market Commentaries are provided for informational purposes only. The information contained within these reports is gathered from reputable news sources and not intended as investment advice. FINOTEC Trading assumes no responsibility or liability from gains or losses incurred by the information herein.Interested in forex trading? forex brokerage firms!
FXstreet.com will give you a 3 months membership as soon as minimum rebates have been generated (€150 for private trader/ €300 for corporate trader)
[Read Premium full description]
Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management.
Risk Disclosure: 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 invest in 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.
©2008 "FXstreet.com. The Forex Market" All Rights Reserved.