EURUSD: Turns Off The 1.2330 Level, Returns Into Its Sideways Trades - Range trading and consolidative price activities are set to dominate EUR nearer term as a failure ahead of the 1.2330 level, representing its YTD low has now pushed the pair into a sideways trading range…

GBPUSD: Resumes Its Medium To Longer Weakness, Aims At The 1.4837 GBP triggered the resumption of its medium to long term decline the past week invalidating its YTD low at 1.5265 and printing its lowest price since Jun’02…

USDJPY: A Second-Day Of Weakness Leaves The Pair Aiming At Its YTD Low- With USDJPY maintaining below the 100.55 level and ending a second consecutive week of lower closes, weakness further through the 96.35/95.75 area, its Oct 31’08/Mar’08 lows is envisaged ahead of its YTD low at 90.91..

Turns Off The 1.2330 Level, Returns Into Its Sideways Trades

EURUSD-Range trading and consolidative price activities are set to dominate EUR nearer term as a failure ahead of the 1.2330 level, representing its YTD low has now pushed the pair into a sideways trading range. This is coming on the back of a break out to the downside from its 4 hourly symmetrical triangle the past week. With that said, EUR must break either way through the 1.3298 or the 1.2330 level to establish directional moves but based on our model trend and EUR’S medium term trend which are both down, we expect the pair to come out of consolidation breaking below the 1.2330 level. In such a case, the 1.2134 level, its .50 Ret (its 0.8231-1.6038 high, monthly chart) and the 1.1827 level, its Mar’06 low will be aimed at. On the upside, continued strength within the range will call for a move towards the 1.3058/05 level, its Oct 23’06 high/.618 Ret (0.8231-1.6038 rally, monthly chart) ahead of the 1.3259/98 level, its Oct 30’08 high/Oct 10’08 low and next the 1.3666 level, its Dec’04 high. On the whole, while the pair’s MT trend remains lower, breaking out of the range remains a challenge in the near term.

Directional Bias:

Nearer Term –Mixed

Short Term –Bearish

Medium Term –Bearish

Performance in %:

Past Week: +0.58%

Past Month: -9.87%

Past Quarter: -10.40%

Year To Date: -13.00%

Weekly Range:

High -1.2927

Low -1.2389