Quote of the day: “The future, according to some scientists, will be exactly like the past, only far more expensive.” ~ John Sladek
Good morning. The euro holds onto recent gains orbiting around $1.2900, as the markets are optimistic – awaiting details of a euro-zone debt deal to be finalized by the euro leaders tomorrow.
Today’s charts of interest:
USD Index
Important horizontal support is being tested and a potential break below the said line would coincide with EURUSD’s break above $1.400
Dollar Index Chart Daily 10-25-2011
EURUSD
No reason to sell yet – in fact: it’s probably better to ignore the pair until tomorrow, depending on the summit’s outcome
Euro Vs US Dollar Chart Daily 10-25-2011
There are much better opportunities these days in AUD pairs
AUDUSD
Uptrend is intact and strong enough to look for new buying opportunities on minor intraday pullbacks towards support at 1.0350-1.0400
Australian Dollar Vs US Dollar Chart Daily 10-25-2011
AUDNZD
AUD finally breached resistance formed by recent top at 1.2935 and is currently testing 1.300. I remain bullish on AUD, as mentioned in my latest posts, and will look for more buying opportunities if price pulls back to 1.2930/50 or breaks above 1.300 in the next two days.
Australian Dollar Vs New Zealand Dollar Chart Daily 10-25-2011
USDCAD
not much changed since yesterday but downside is under high pressure and I think that a break below parity is just around the corner.
US Dollar Vs Canadian Dollar Chart Daily 10-25-2011
AUDCAD
Key resistance is being tested around 1.0500 were Aussie reversed in the past few months
Australian Dollar Vs Canadian Dollar Chart Daily 10-25-2011
The weekly chart is clearer:
Australian Dollar Vs Canadian Dollar Chart Weekly 10-25-2011
AUDJPY
still facing resistance near 80 as the Yen performs very well these days, especially against the dollar – trading at record levels. Since everyone and his dog expect the BoJ to intervene, I think that the best option is to look for buying opportunities on AUDJPY rather than USDJPY. The reasons are simple: 1. it is already fuelled by the “risk on” bets and 2. if BoJ really intervenes, then it will add more steam to the ongoing recovery.
Australian Dollar Vs Japanese Yen Chart Daily 10-25-2011
have a great day!
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