Euro, AUD, Cable Testing Support

Quote of the day: “Statistics: The only science that enables different experts using the same figures to draw different conclusions.” ~¬†Evan Esar

Good morning. Euro remains weak across the board although it bounced off support near 1.3400. The recovery is modest, so I believe that best thing to do is still to sell into strength. The Initial Jobless Claims is the most important event of today’s FX calendar.

EURUSD

Maybe it is a bit too low to sell at these levels unless, of course, price violently breaks below 1.3400/30 on more eurozone problems. Else, I think it’s best to wait for an extended correction towards 1.3650-1.37.

Euro vs US Dollar Chart 4hrs 11-17-2011

Euro vs US Dollar Chart 4hrs 11-17-2011

GBPUSD

The positive correlation between GBPUSD and AUDUSD can be seen from a plane nowadays, being 80% to 90% (both hourly and daily). In fact, the correlation between ALL currency pairs can be seen from a plane, but now let’s focus on this one. Median fib retracement value is under pressure since yesterday and if you’re one of the aggressive buyers, then you probably have a good reason to buy the dip. I am more conservative and would rather sell on rallies

British Pound Vs US Dollar Chart Daily 11-17-2011

British Pound Vs US Dollar Chart Daily 11-17-2011

AUDUSD

Support still holds but looks fragile..

Australian Dollar Vs US Dollar Chart Daily 11-17-2011

Australian Dollar Vs US Dollar Chart Daily 11-17-2011

Silver

It is still trading sideways in a consolidation range between 33 and 35.00/30, so there’s not much to do right now but watch & wait. The move from 26 to 35 after the huge decline seems corrective, thus selling on the break below 33 is the main plan

Silver Chart Daily 11-17-2011

Silver Chart Daily 11-17-2011

USDCAD

Not the best looking breakout pattern but upside remains favored, although intraday pullbacks are quite violent – most likely tearing through weak stops

US Dollar Vs Canadian Dollar Chart Daily 11-17-2011

US Dollar Vs Canadian Dollar Chart Daily 11-17-2011

have a great day!

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>