Wednesday

Daily outlook in fewer words 12-09-09by Liviu

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EURUSD

Trading strategy: stand aside

EUR found support right on the 1.4700 handle after it continued to drop for 180 points. Since there are no signs of a recovery yet as the euro continues to push on the 1.4700 mark – extended weakness is likely, next support being formed around 1.4600. Both short-term and intra-day studies are bearish and a breach above 1.4850 is needed to provide a viable clue that the pair could switch direction back to the upside. Current exchange rate is 1.4718 @07:24 GMT

Support: 1.4650, 1.4600 and 1.4550
Resistance: 1.4750, 1.4835/50 and 1.4900

GBPUSD

Trading strategy: stand aside

Support at 1.6275 couldn’t hold in over-night trading and cable lost more ground against the dollar, currently testing bids around 1.6210. Next downside barrier is emerging at 1.6130/50 and it may limit current losses, if reached. Both short-term and intra-day charts are bearish. Current exchange rate is 1.6210 @07:24 GMT

Support: 1.6130/50, 1.6100 and 1.6000
Resistance: 1.6275/00, 1.6350 and 1.6400

NZDUSD

Trading strategy: holding yesterday’s long @.7060 , stop at break-even

Downtrend continued but the NZD has found bids into the .7050 region and is currently recovering some lost ground – but not enough to signal a reversal. While below .7150, weak rallies are likely to face solid selling interest. First intra-day barrier is formed at .7100 – followed by the stronger one into the .7150/80 region. On the downside, support starts at .7050, backed by .7000/15 and .6900. Current exchange rate is .7087 @07:24 GMT

Support: .7050, .7000/15 and .6900
Resistance: .7095/00, .7150/80 and .7200

Have a great day!