GBPUSD: Continues To Aim At The 1.5830 Level - With the pair failing to force further corrective recovery through the 1.6234/39 levels and declining to close lower the past week, risk continues to be seen towards its Dec 30’09 low at 1.5830..

EURUSD: Outlook Still Pointing To The Downside - The pair may have established a range(clearly seen on the daily chart) between the 1.4446 and the 1.4216 levels but continues to maintain its downside bias in the short term....


EURUSD

EURUSD: Outlook Still Pointing To The Downside.

EURUSD:The pair may have established a range(clearly seen on the daily chart) between the 1.4446 and the 1.4216 levels but continues to maintain its downside bias in the short term. This suggests that the pair should resolve to the downside from the range as its preceding trend was down. In such a case, the 1.4176 level, its Sept 01’09 low will be targeted at first with a loss of there accelerating further downside weakness towards the 1.4044 level, its Aug 17’09 and subsequently its big psycho level at 1.4000. On the other hand, if another attempt on the upside is seen again, its strong resistance/range top residing at its Aug 05’09 high at 1.4446 will be aimed at with a turn above there allowing for further correction towards the 1.4479 level, Dec 02’09 and subsequently the 1.4625 level, its Nov 03’09 low. We envisage the 1.4479 or even the 1.4625 level should reverse roles and provide resistance and then turn the pair down, but if that fails, recovery higher could shape up towards the 1.4799 level, its Nov 20’09 high.


GBPUSD

GBPUSD

GBPUSD: Continues To Aim At The 1.5830 Level

GBPUSD: With the pair failing to force further corrective recovery through the 1.6234/39 levels and declining to close lower the past week, risk continues to be seen towards its Dec 30’09 low at 1.5830. A clean invalidation of that level will clear the way for a run at the 1.5706 level, its Oct 13’09 low with sustained break below there seeing a 100% price retracement (from 1.5706-1.6875 levels) and opening the door for additional downside towards its .50 Ret (1.3501-1.7041 rally) at 1.5273. This view is consistent with its short term downtrend. Its weekly stochasticsis negative and pointing lower suggesting further downside. On the upside, a break and hold above the 1.6234/39 levels must occur to put our downside view on hold and trigger further upside gains towards the 1.6409 level, its Dec 16’09 high where a cap may be seen thereby turning the pair lower.
Further out, upside objectives are located at its Nov 25’09 high at 1.6744 and the 1.6875 level, its Nov 16’0-09 high ahead of its YTD high at 1.7041 level.