Vladimir Mihaylov
Independent Analyst
EUR dropped yesterday following a lot worse than expected ZEW data from Germany and Eurozone. Today i expect the downside to continue with target 1.3490-1.3500 support area. If that is broken too (maybe not today) downside will continue to the major support and reversal area 1.3420-30. Closing below that on Weekly will reverse the bullish trend. But I don't think this will happen soon. Currently EUR is bearish on all time frames, so more downside to come, do not enter LONG. A correction has to appear later today or tomorrow morning, but i don't know where the downside will stop.
GOLD has dropped below 1320 and to avoid testing of 1300 was impossible. We have a good support area above 1285 to 1295 so you may enter LONG here with SL not greater than 5 USD. Many people are asking me what to do when they loose 100 and more dollars on GOLD. The solution is simple - do not allow GOLD to go more than 3-5 USD against you. If it goes this means it will go even a lot more against you and you'd better exit, maybe do not trade GOLD till the next day.
NZD lost over 100 pips on stronger dollar and will look for support close to 0.8650-80 support area. This is a good support zone and you should use it for opening a new long position. Target for the recovery will be 0.8760
AUD is looking for support at the area 0.9320-40, you may try to enter long close to 0.9320 with 20 pips SL. I think AUD won't drop below 0.9300. We are above a small negatve cloud and breaking it to the downside is not typical.
JPY continues consolidation, indicators here still are not giving any information about future movement of the pair. I expect an upside move will follow, but i am not absolutely sure. Try to enter LONG above 101.60 with SL @ 101.40.
GBP recorded a new high at 1.7190 but quickly returned to the support area 1.7120-30. The pair is bullish as long as the price is above this area. Below that a correction to the downside will follow. If we have no fresh high until mid american session today, the pair will correct to the downside. Below 1.7110 try to sell with less than 20 pips SL.
RUB is currently in defensive position against the dollar but the american currency is going to break the RUB's shield and to attack the 34.65-75 resistance area and to try to enter the negative Daily cloud above. The pair is bullish on all time frames so i expect more upside today here.
For today:
SHORT EUR below 1.3570 SL 1.3580 TP 1.3540-1.3510-1.3490-1.3475-1.3440
LONG EUR above 1.3420 SL 1.3400 TP 1.3490-1.3510-1.3540-1.3570
LONG GOLD above 1285 SL 1282 TP 1305-1316-1322-1328
SHORT GOLD below 1278 SL 1281 TP 1266-1254-1242
Good luck!
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