Tuesday

Daily outlook and trading strategies 08-04-09by Liviu

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EURUSD

Trading strategy: long at 1.4305, initial stop at 1.4245, objective at 1.4395. Adjust stop to breakeven on +30 pips (at 1.4335) if reached

A fresh yearly high has been reached on yesterday’s rally – at 1.4445, 150 points above the barrier at 1.4300 which has provided a stable resistance for several days. Current breakout suggests further gains, next upside objectives being set at 1.4620 and 1.4720. Potential pullbacks on an intra-day basis will face support at 1.4300 and 1.4230 in case of an extended pullback towards yesterday’s bottom. Upside is likely to remain under pressure within the coming sessions. Current exchange rate is 1.4388 @06:00 GMT

Support levels: 1.4300, 1.4230/50 and 1.4180
Resistance levels: 1.4445/50, 1.4500 and 1.4620
Market sentiment: long-term : bearish, mid-term : bullish, short-term : bullish

Yesterday trading strategy: long at 1.4160, initial stop at 1.4110, objective at 1.4230. Adjust stop to breakeven on +30 pips (at 1.4190) if reached : 0 (entry not reached)

AUDUSD

Trading strategy: stand aside

Resistance formed by the 61.8% retracement of the .9850-.6005 decline at .8380 has failed to provide at least a minor reversal point, thus confirming that the uptrend is very strong. The Aussie dollar trades near .8450, next upside objective being formed around .8600 by a rising trend-line on the long-term charts, extended from .7012 through .7675. Above .8600 would re-establish the long-term uptrend. On a short-term basis, .8335 and .8285 should provide support on pullbacks. Currentexchange rate is .8420 @06:00 GMT

Support levels: .8350/85, .8335 and .8285
Resistance levels: .8450, .8500 and .8600
Market sentiment: long-term : slightly bullish, mid-term : bullish, short-term : bullish

Yesterday trading strategy: stand aside

EURCHF

Trading strategy: stand aside

1.5275 provides an interim resistance and a break higher should open 1.5380. Short-term sentiment is bullish, intra-day charts being bullish as well. On the lower side, support is emerging at 1.5230 backed by 1.5170. Current exchange rate is 1.5275 @06:00 GMT

Support levels: 1.5230, 1.5170, 1.5100, 1.5050 and 1.5000/10
Resistance levels: 1.5275, 1.5300 and 1.5350
Market sentiment: long-term : bearish, mid-term : bearish, short-term : bullish

Yesterday trading strategy: stand aside