Quote of the day: The winner is the chef who takes the same ingredients as everyone else and produces the best results. — Edward de Bono
EURUSD
Trading strategy: short at 1.4460, stop at 1.4520(1% risk), 1st objective at 1.4400, 2nd objective at 1.4340.
The euro is quietly recovering some lost ground, testing offers around the 1.4400 mark at the time of writing this. Due to the recent drop which followed the hesitation into the 1.45 top side, overall sentiment is currently bearish and potential rallies may face renewed selling interest – first intra-day resistance to watch being 1.4460/70, followed by 1.4500 and 1.4570 higher. Lower barriers are emerging at 1.4330, 1.4280 and 1.4200/20. Today’s important economic event that may influence euro’s volatility is the German ZEW Economic Sentiment at 10:00 GMT, widely expected to print 50. If the data comes lower than expected, euro’s selling should intensify. Current exchange rate is 1.4398 @07:05 GMT
Support: 1.4330/50, 1.4280/00 and 1.4200/20
Resistance: 1.4425, 1.4460/75, 1.4500, 1.4570/00 and 1.4700
Market sentiment: long term – bullish, medium term – slightly bullish, short term – mixed, intra-day – bearish
- EURUSD daily chart 1-19-2010
NZDUSD
Trading strategy: small long at .7370, stop at .7320 (0.5% risk), objective at .7470.
Minor resistance is formed at .7400, followed by the notable barrier at .7430/40 – formed by the recent top side. Short term sentiment is positive since the kiwi dollar recovers fast after the minor dips – so far being well supported into the .7330/50 region and by the .7300 mark. Compared to the euro, the New Zealand dollar is a better performer against the dollar, along with the Aussie dollar : the NZD being up 1.80% YTD, AUD being up 3% (hence the best performer out of important pairs) – while the EUR is up only 0.50%. Since the kiwi dollar is highly correlated to the Australian dollar, hence both trading comfortably near last year’s top side – I wouldn’t waste time looking for clues of a potential reversal, and better follow the trend which is still strong despite recent consolidation. Therefore, .7500 remains in focus. Current exchange rate is .7388 @07:05 GMT
Support: .7330/50, .7300 and .7250/85
Resistance: .7400, .7430/50 and .7500
Market sentiment: long term – bullish, medium term – bullish, short term – bullish, intra-day – bullish
- NZDUSD 4hrs chart 1-19-2010
Have a great day!
hi
i follow your posting everyday and its helped me a lot in my trades. I want to take a moment to thank you for the big success that you obtained and your postings been very helpful for a lot of traders out there again thank you for your help. also i have a question for you, i was wondering if you have any posting for GBP/USD because this is the main pare i trade with????
Thanks,
Punjabi
hi Punjabi
thank you for your message. I will include cable more often in my articles, but I don't think I will do it on a daily basis. In fact, I plan to include more exotics and crosses, not covering any of them on a daily basis but only when I think there's a trading setup worth watching.
Cheers!