Quote of the day:“Time has a wonderful way of showing us what really matters.” ~ Margaret Peters
Good morning. Dollar breached horizontal support yesterday as the euro rallied to as high as $1.4245 from a session low at $1.3865 on euro-zone deal optimism. Large swings can be seen all over the place so let’s take a closer look:
USD Index
Next support is seen around 74, now that we’re back into the range
USD Index Chart Daily 10-28-2011
EURUSD
It will most likely hold above 1.400 in the next days, so it’s probably best to look for buying opportunities on pullbacks.
Euro Vs US Dollar Chart Daily 10-28-2011
One of the levels to keep an eye on if you plan to buy dips is 1.4080
Euro Vs US Dollar Chart Hourly 10-28-2011
AUDJPY
As I wrote yesterday, the setup was one of my favourites and when I see it – I’m quite confident that the upcoming breakout would be valid. I expect the Aussie to continue climbing, next upside target being 83
Australian Dollar Vs Japanese Yen Chart Daily 10-28-2011
AUDUSD
Same story here as it is almost impossible to find a currency pair which is not highly correlated to others. Maybe it is time for a retracement and if we see one – we shouldn’t be afraid to buy the Aussie.
Australian Dollar Vs US Dollar Chart 4hrs 10-28-2011
USDCAD
Downtrend is quite strong and more weakness is expected while it holds below parity level, which is currently providing resistance
US Dollar Vs Canadian Dollar Chart Daily 10-28-2011
Have a great weekend!
