Tuesday

Tuesday 07-14-2009by Liviu

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EURUSD

Trading strategy: small long at 1.4010 on break of 1.4000, initial stop at 1.3960, objective at 1.4110. Adjust stop to breakeven on +30 pips (at 1.4040) if reached

The euro trades quietly near the 1.4000 handle ahead of today important economic events like the German ZEW Sentiment and the US Retail Sales. Intra-day studies are positive at the time of this writing and the pair seem ready for an assault on the 1.4000 interim resistance. More important barriers are seen North of current exchange rate into the 1.4050/75 region – formed by last week’s top, then higher, at 1.4135/50 – formed by a downside oriented trend line covering some of the previous weekly tops at 1.4340 and 1.4200. Short term momentum is neutral and about to turn bullish on a potential breach above 1.4050/75. On the downside, support starts at 1.3950 backed by 1.3880/00 and 1.3830. Upside will remain favored while 1.3950 is intact. Current exchange rate is 1.3998 @06:13 GMT

Support levels: 1.3950, 1.3880/00, 1.3830 and 1.3730/50
Resistance levels: 1.4000, 1.4050/75 and 1.4135/50
Market sentiment: long-term : bearish, mid-term : bullish, short-term : neutral

Yesterday trading strategy: long at 1.3790, initial stop at 1.3740, objective at 1.3855. Adjust stop to breakeven on +30 pips (at 1.3820) if reached : 0 (entry not reached)

AUDUSD

Trading strategy: stand aside

Trying to recover some of its recent losses, the Aussie dollar trades around .7850 and aims higher – towards the .7930 and maybe .7980 resistance levels. Daily sentiment is still bearish as a sustained break above .7980/00 is needed to signal a resume of the uptrend. While trading above .7800, more upside action is likely. Current exchange rate is .7855 @06:13 GMT

Support levels: .7800, .7700/20 and .7600/05
Resistance levels: .7880/00, .7930 and .7980
Market sentiment: long-term : bearish, mid-term : bullish, short-term : slightly bearish

Yesterday trading strategy: stand aside

EURCHF

Trading strategy: stand aside

The pair lacks direction and trades below resistance at 1.5170 which is followed by a more notable one at 1.5230/35. A breach above the 2′nd mentioned barrier is needed to resume uptrend. On the other side, support is seen at 1.5100. Current exchange rate is 1.5152 @06:13 GMT

Support levels: 1.5100, 1.5050 and 1.5000/10
Resistance levels: 1.5170, 1.5200 and 1.5235/50
Market sentiment: long-term : bearish, mid-term : bearish, short-term : slightly bearish

Yesterday trading strategy: stand aside