HIGHLIGHTS:

EURUSD: EUR Continues To Target Higher Prices- This development has solidified its recovery started at the 1.2551 level in early Dec’08 and opened up upside risk towards the 1.4073 level, its Sept 16’08 high and the 1.4310 level, its Dec 20’08 low with scope for further upside towards a strong resistance residing at its Sept 22’08 high at 1.4857...

GBPUSD: Break of The 1.5534 Level Switches Risk Towards The 1.5885 Level- GBP has reversed its Mohammed Isah Technical Strategist m.isah@fxtechstrategy.com 1 entire declines from the 1.5534 to 1.4470 levels and has paved the way for a run at the 1.5885 level, its Nov 10’08 high. Its medium to longer term weakness is now on hold as it embarks on corrective upmoves … 

EURUSD: EUR Continues To Target Higher Prices

EURUSD: EUR shot through its two key resistance levels at the 1.3785 level, its Oct 09’08 high and the 1.3882/1.3900 area ,its Sept 11’08 high/.618 Ret(1.4857-1.2330 decline) on Tuesday to close the session at 1.4148.This development has solidified its recovery started at the 1.2551 level in early Dec’08 and opened up upside risk towards the 1.4073 level, its Sept 16’08 high and the 1.4310 level, its Dec 20’08 low with scope for further upside towards a strong resistance residing at its Sept 22’08 high at 1.4857.Weekly studies are bullish and supportive of further upside gains though its daily studies are Mohammed Isah Technical Strategist m.isah@fxtechstrategy.com 2 overbought suggesting corrective pullbacks may ensue its present strength. In such a case, the 1.3882/1.3900 area will be targeted ahead of the 1.3785 level, its Oct 09’08 high. On the whole, we continue to envisage short term strength on the back of its present upside gains.

Support              Comments

1.3882/1.3900   Sept 11’08 high/.618 Ret

1.3785               Oct 09’08 high

1.3600               .50 Ret

Resistance         Comments

1.4073                 Sept 16’08 high

1.4310                 Dec 20’08 low

14857                  Sept 22’08 high