EURUSD
Trading strategy: small short at 1.4220, initial stop at 1.4270, objective at 1.4120. Adjust stop to breakeven on +30 pips (at 1.4190) if reached
Although it rallied to fresh multi-week high at 1.4290 on yesterday’s US trading session, the euro failed to hold gains and break the 1.4275 intra-day resistance. The fast decline to 1.4120 suggests that there is enough room on the downside for further corrective moves, as the euro could not be ready for further climbing towards the elevated targets above 1.4300. We will see how the current recovery goes, watching the 1.4220 level as a break would cancel the potential corrective cycle. Short-term momentum is bullish although it lost strength on the last 3 days. Intra-day sentiment is positive as long as the pair holds above 1.4120/40. Below that support level, next downside objective is emerging at 1.4050. Current exchange rate is 1.4184 @06:15 GMT
Support levels: 1.4120/40, 1.4100, 1.4050, 1.4015 and 1.3970
Resistance levels: 1.4220, 1.4275/00, 1.4340/50 and 1.4400
Market sentiment: long-term : bearish, mid-term : bullish, short-term : bullish
Yesterday trading strategy: short at 1.4360, initial stop at 1.4420, objective at 1.4270. Adjust stop to breakeven on +30 pips (at 1.4330) if reached : 0 (entry not reached)
AUDUSD
Trading strategy: stand aside
The Aussie dollar recovers as support formed into the .8085-.8100 region managed to hold on this week’s pullbacks. Short-term sentiment is bullish and the first upside objective is set at .8215 followed by .8260, higher. On the downside, .8085/00 is backed by the .8000 handle. Intra-day sentiment is also positive but downside risk remains high as the Aussie has been rejected by .8200 on last 3 attempts. A sustained break of .8200 is needed to signal that current recovery is not only a selling opportunity. Current exchange rate is .8154 @06:15 GMT
Support levels: .8085/00, .8050 and .8000
Resistance levels: .8200/15 and .8250/60
Market sentiment: long-term : bearish, mid-term : bullish, short-term : bullish
Yesterday trading strategy: stand aside
EURCHF
Trading strategy: stand aside
The euro managed, somehow, to extend gains out of its average trading range of 50 points, reaching 1.5243 on yesterday. Anyway, resistance at 1.5230 remains intact but a new test is likely, being suggested by the price action – therefore the upside is slightly favored for now. Support is seen at 1.5170. Current exchange rate is 1.5213 @06:15 GMT
Support levels: 1.5170, 1.5100, 1.5050 and 1.5000/10
Resistance levels: 1.5235/50, 1.5300 and 1.5350
Market sentiment: long-term : bearish, mid-term : bearish, short-term : slightly bullish
Yesterday trading strategy: stand aside
