Daily analysis and trading strategies 3-29-10

EURUSD

Trading strategy: standing aside

The euro opened higher today against the dollar and first important resistance is under pressure at 1.3450. Short-term sentiment remains bearish while the pair trades below the 1.3450-1.36 region but some more gains are likely, perhaps testing the former support at 1.3550 within the coming days. On the lower side, intra-day support starts at 1.3390/00, backed by 1.3350 and 1.3265. The preferred strategy for now is to sell into extended rallies, with stops above former support at 1.3550 – preferably above 1.3620. Current exchange rate is 1.3440 @06:07 GMT

Support: 1.3390/00, 1.3350 and 1.3265
Resistance: 1.3450, 1.3500 and 1.3550/60
Market sentiment: long term – bullish, medium term – bearish, short term – bearish, intra-day – bullish

GBPUSD

Trading strategy: standing aside

Cable seems ready to re-test the 1.50 level as it managed to recover over 1.4900, breaking a minor resistance formed by the trend line coming from 1.5380 top. Intra-day studies are bullish and won’t be affected by small pullbacks as long as 1.4880/00 provides support on dips. A potential breach above 1.50 would be an important bullish confirmation – opening 1.5150/80. Short-term sentiment turns positive on a daily close above 1.50. Current exchange rate is 1.4939 @06:07 GMT

Support:  1.4880/00, 1.4850, 1.4800 and 1.4700
Resistance: 1.4950/60, 1.5000 and 1.5100
Market sentiment: long term – bearish, medium term – bearish, short term – bearish, intra-day – bullish

Have a great day!

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Post tags: EURUSD, GBPUSD