Vladimir Mihaylov
Independent Analyst
EUR dropped 100 pips yesterday as the FED announced another 10 bln cut in their stimulus program, however this move was not enough to hit any stops, and the downside was stopped by the 1.3820-30 support. Still noone wants to sell EUR, and big players are keeping their long positions open. Today's resistance is at 1.3865 and first support comes at 1.3805, then 1.3770 follows and finally 1.3730. To the upside we need a daily close above 1.3900 to fully restore the bullish outlook. Today main news event will be US jobless claims report and Philadelphia's FED index. I think EUR will continue downside move after test of the resistance above 1.3850 and a fail there.
GOLD has reached 1325 upon breaking below 1345 support yesterday. The price is expected to stabilize above 1310 and a new upside wave to start. To restore the upside we need at least one H4 close above 1350, until that we shall have sideways consolidation. Fo now i do not expect the metal to drop below 1300 level.
NZD has made a huge correction and is back to 0.8525 well known support level. Whatch for breaking it lower and the next support is at 0.8450. The pair needs to stay above 0.8550 to continue the upside, otherwise it is quite vulnerable to further drop.
AUD was also hit by the USD recovery and dropped 100 pips too reaching the final support of 0.9000. Any drop below will target 0.8940 and 0.8900. The last one is also the Senkou Span B of the negative Ichimoku and if we reach there somehow that will be the best place to enter LONG again.
JPY still doesn't give up and is relying only on 102.30 strong resistance to hold the upside power of the USD. However any good news for the dollar will send the price up to 103.00 resistance line. Breaking of it wll be hard and is quite possible to enter in a flat consolidation between 103.00 and 102.30.
GBP has copied the EUR/USD move and currently trades around the support 1.6550. First resistance is 1.6560 and the final one is 1.6640, above it the pair will restore the upside move. However i think downside will continue with the first target 1.6440. So try to sell below 1.6560-70 with 20 pips SL for example.
For today:
SHORT EUR below 1.3860 SL 1.3880 TP 1.3805-1.3770-1.3730
LONG EUR above 1.3905 SL 1.3890 TP 1.3940-1.3965-1.3990-1.4020
SHORT GOLD below 1345 SL 1350 TP 1325-1318-1312-1306
LONG GOLD above 1346 SL 1342 TP 1354-1366-1382-1392
Good luck!
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