EURUSD shorts at resistance at 1.1040/45 worked perfectly

Daily Forecast - 07 March 2016

EURUSD Spot

EURUSD shorts at resistance at 1.1040/45 worked perfectly as the pair topped exactly here & sold off to the important 1.0985/90 level & bottomed exactly here. A break below 1.0980 therefore signals further losses to probably the best support for today at 1.0960/55. However a break below 1.0940 risks a slide as far as support at 1.0910/05.

Holding 1.0985/90 allows a recovery to 1.1015, perhaps as far as strong resistance at 1.1040/45 & the main challenge for bulls today again today. Shorts need stops above 1.1075. A break higher sees 1.1045/40 act as support to target minor resistance at 1.1100 but if we continue higher look for the next target of 1.1135/40.

GBPUSD spot

GBPUSD shot higher to our target & resistance at 1.4240/50. As predicted we topped exactly here. Shorts here today need stops above 1.4270. If we continue higher look for the next target & strong resistance at 1.4325/30 where a high for the recovery looks likely. Try shorts with stops above 1.4370.

We are short term overbought with first support at 1.4200/1.4195 but below here risks a slide to better support at 1.4160/50. A good chance of a low for the day but longs need stops below 1.4120.

AUDUSD Spot

AUDUSD bulls are clearly in control with first support at 7390/85 which could hold the downside but longs need stops below 7350. Further losses targets good support at 7333/7295. Longs here need stops below 7270.

Today's high so far at 7424 & above here retests 7440/45. THIS IS IMPORTANT BEING THE 23.6% FIBONACCI RESISTANCE FROM THE 2014 HIGH. Also the August high, just before the summer meltdown. Shorts need stops above 7465 & a break higher targets minor resistance at 7490/95.

USDJPY Spot

USDJPY lower trend line support at 113.50/45 but longs need stops below 113.20 which is the last line of defence for bulls today. A break below 113.20 is a sell signal & targets 112.85/80, perhaps as far as minor support at 112.40/35. Further losses test last week's low at 112.14. Obviously a break below adds pressure this week & targets 111.90/85.

Holding first support at 113.50/45 targets minor resistance at 113.70/75 then 114.00/05. Above here targets 2 day highs at 114.25/28 then last weeks high & very strong resistance at 114.50/55. Shorts need stops above 2 week highs at 114.90.

EURGBP Spot

EURGBP first support at 7725/21 today & holding above here re-targets important trend line resistance at 7770/75 for a selling opportunity with stops above 7790. A break higher however targets 7800/05 then minor resistance at 7828/30.

First support at 7725/21 but holding below here keeps the short term outlook negative to target 7715 then important support at 7700/7690 which could hold the downside today. A break lower however is another sell signal however & targets 7665/60 then 7650/45 & minor support at 7620/15.