EURUSD: Build Up To Retarget The 1.3081 Level In Progress- While the pair holds below the 1.3313/1.3298 zone and trades within its daily channel further downside losses are expected to even target below the 1.3081 level towards its Dec 04’08 low at 1.2848 with a turn below there aiming at its YTD low at 1.2330…

GBPUSD: Halts Further Upside Gains, Turns Focus To The Downside- GBP took back about 75% of its previous week upside gains to close the week lower at 1.4747 and opening the way for more downside  towards the 1.4558 level, its Nov 13’08 low at first and then its Dec 04’08 low at 1.4470… Learn more

USDJPY: Backs Off The 88.48 Level -The pair closed higher for the week declining into mid week and taking back most of those losses to close higher at 90.59…

Build Up To Retarget The 1.3081 Level In Progress.

EURUSD- After breaking and maintaining below its Jan 06’09 low/Oct 30’08 high at 1.3313/1.3298,EUR now looks to move further back towards its Nov 25’08 high at 1.3081.While the pair holds below the 1.3313/1.3298 zone and trades within its daily channel further downside losses are expected to even target below the 1.3081 level towards its Dec 04’08 low at 1.2848 with a turn below there aiming at its YTD low at 1.2330.The weekly RSI is trending lower suggesting further downside gains. Immediate support now lies at its Jan 06’09 low/Oct 30’08 high at 1.3313/1.3298 followed by the 1.3531 level, its Oct 20’08 high and the 1.3785 level, its Oct 09’08 high. With the pair’s third week of downside losses still in force, additional downside weakness is likely in alignment with its short and medium term bearish biases. On the whole, we maintain our bearish bias on  the pair with the 1.3081 seen as the trigger for further downside pressure.

Directional Bias:

Nearer Term –Mixed

Short Term –Bearish

Medium Term –Bearish

Performance in %:

Past Week: -1.05%

Past Month: +10.01%

Past Quarter: -1.05%

Year To Date: -4.89%

Weekly Range:

High -1.3724

Low -1.3026