Friday

Daily outlook and trading strategies 08-14-09by Liviu

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EURUSD

Trading strategy: stand aside

Yesterday’s rally has been limited into the 1.4325 region – 15 points below my 100 points target on the long position @1.4240 – I still hold the position with stop @breakeven / currently at +25 points, hoping that 1.4330 will be targeted again. Since the euro couldn’t hold gains above 1.4300, therefore missed its chance, I suspect further weakness on current intra-day retracement but not too far – likely to hold above 1.4190/00 in order to maintain the short-term bullish structure intact. Keep an eye on the intra-day support @1.4240/50 as a potential breakdown would weaken euro’s sentiment and encourage further slide towards yesterday’s open region @1.4190/00. North of current trading zone, minor intra-day resistance is formed by the 1.4300 handle followed by yesterday’s top at 1.4325 and also the falling trend-line (noticed on the 4hrs charts) which starts at 1.4445 on August 5′th. Further gains in gold and equities should provide the catalyst for a break above 1.4330 within the coming days, 1.4400 and 1.4440/50 being the next objectives. Current exchange rate is 1.4266 @06:10 GMT

Support levels: 1.4240/50, 1.4190/00, 1.4100/10
Resistance levels: 1.4300, 1.4325/30, 1.4400 and 1.4440/50

eurusd daily chart 8-14-2009 (click to enlarge)

eurusd 4hrs chart 8-14-2009 (click to enlarge)

AUDUSD

Trading strategy: stand aside

Minor support is formed by the former resistance around .8390/00 and the Aussie dollar holds recent gains just fine above the .8400 mark. First upside barrier is emerging at .8475 – earlier established top along with .8500. More notable resistance is seen around .8650 formed by a rising trend line on the long term charts – mentioned on yesterday’s report. More upside action is likely, while holding above .8390/00 and eventually .8300/30 on an extended pullback. Current exchange rate is .8426 @06:10 GMT

Support levels: .8390/00, .8300/30 and .8200
Resistance levels: .8475/00, .8550 and .8650

audusd 4hrs chart 8-14-2009 (click to enlarge)

EURCHF

Trading strategy: stand aside

Trend line support has been tested once again and provided a reversal point. The euro is currently trying to overcome 1.5300, on its way to the key resistance @1.5360. Interim resistance is noticed around 1.5325 formed by a downward trend line. Current exchange rate is 1.5295 @06:10 GMT

Support levels: 1.5275, 1.5245/50 and 1.5210
Resistance levels: 1.5325/30, 1.5360 and 1.5400

eurchf 4hrs chart 8-14-2009 (click to enlarge)