FX Technical Analysis

Daily Forex Technicals | Written by Mizuho Corporate Bank | Jul 28 08 06:19 GMT |

EURUSD Comment: Basing against the top of the Ichimoku 'cloud' after an A, B, C-type pullback where C is a little bigger than A. Expect random moves roughly between 1.5650 and 1.5750 with a sustained break above 1.5755 setting off a short squeeze to 1.5800. Strategy: Buy at 1.5700; stop below 1.5625. Add to longs on a sustained break above 1.5755 to cover longs between 1.5950 and 1.6020. Direction of Trade: ↗ Chart Levels: Support Resistance 1.5684 1.5726 1.5650 1.5750 1.5628* 1.5800 1.5600 1.5880 1.5525* 1.5945* GBPUSD Comment: Still trying to base against 1.9800. Expect more random moves between here and 2.0000 today. Strategy: Attempt small longs at 1.9870; stop below 1.9800. Short term target 2.0000, then 2.1000. Direction of Trade: →↗ Chart Levels: Support Resistance 1.9871 1.9915 1.9833 1.9945 1.9814 2.0000 1.9770 2.0100* 1.9650* 2.0162* USDJPY Comment: Bouncing strongly from the top of the Ichimoku 'cloud' and likely to hold above here all week. For today expect several random moves roughly between 107.25 and 108.25. Strategy: Attempt small shorts at 107.80; stop above 108.65. Short term target 107.25. Direction of Trade: → Chart Levels: Support Resistance 106.70 107.00 106.60 107.45 106.30 107.99* 106.00* 108.59/108.62** 105.66 109.00 EUR/JPY Comment: Looking like a potential 'broadening top' both on the daily and on the weekly charts. Watch for something similar this week. Strategy: Sell at 169.35; stop above 170.00. Short term target 168.20 then 167.20. Direction of Trade: ↘ Chart Levels: Support Resistance 169.00 169.56 168.60 169.70 167.90 169.91/169.97* 167.50 170.00 167.00 170.70* Mizuho Corporate Bank Disclaimer The information contained in this paper is based on or derived from information generally available to the public from sources believed to be reliable. No representation or warranty is made or implied that it is accurate or complete. Any opinions expressed in this paper are subject to change without notice. This paper has been prepared solely for information purposes and if so decided, for private circulation and does not constitute any solicitation to buy or sell any instrument, or to engage in any trading strategy.