Forex Technical Update

Daily Forex Technicals | Written by India Forex | Jan 19 09 08:30 GMT |

Euro: Euro was pushed upto 1.3343 levels on Friday before it closed a little lower at 1.3266. The daily charts continue to show an upmove with immediate resistance coming in at 1.3460 (55 & 21 daily EMA) Initiating shorts at those levels can be consisdered for intraday 80-100 pips. Overall outlook remains weak. (Eur/Usd: 1.3345). Pound: Cable surged upto 1.4979 (100 4-hourly EMA) levels in the UK session on Friday, however, plunged to test the bids at 1.4655 in the US session after better than expected U.S Michigan data. Cable is currently around 1.4860 levels. The hourly and daily charts are signalling slight upside first upto 1.4970 & then upto 1.5260 (55 Daily EMA) where shorts can be initiated for 80-100 pips. (Gbp/Usd: 1.4860) Yen: The Usd/Jpy pair traded strong on Friday touching the high of 90.89 (21 daily EMA). Today morning it touched the 91 levels and the next resistance comes in 91.81 levels (200 4-hourly EMA). The daily charts are moving upward thus going short at those levels can be considered for intraday 90 pips. Downside can be curbed around 90.10 levels. (Usd/Jpy: 90.82) Rupee: The local unit was in line with the rising stocks on Friday as it appreciated to close at 48.78/$ as against its Thursday's close of 49.03 levels. The less dollar demand across the globe also helped the rupee's rise. Although the NDF continued giving negative cues for the rupee, some short term appreciation in the currency can be seen as the rate-cuts can be expected on the back of falling inflation numbers. (USD/INR:48.58) Swiss Franc: Usd/Chf pair traded within the band of 200 and 100 4-hourly EMA on Friday beginning the session at the highs of 1.1237. Currently the pair is trading within this band with the charts indicating a downside. A decisive break of 100 4-hourly EMA can push the pair down to 1.0960 levels (50% retracement of the rise in weekly charts). Selling can be considered below the 100 4-hourly EMA (1.1115) at a breakout. (Usd/Chf:1.1160). Australian Dollar: Aussie gained 150 pips on Friday making a high of 0.6795. The daily and 4-hourly charts are moving upward while the hourly charts are indicating a downside. Resistance comes in at 0.6890 levels (55 daily EMA), thus initiating shorts at those levels for intraday 80-90 pips can be considered. On the downside immediate support comes at 50% retracement of the rise in the daily charts comes in at 0.6640 levels. (Aud/Usd-0.6800) Gold: Gold rebounded sharply against the USD on Friday rising from the lows of $815 to $842 levels. The daily charts continue to show an upmove whereas the 4-hourly and weekly are overbought. The rise may may be restricted around $855 -$857 levels (61.8% of the recent fally). Shorts can be initiated there for $10-$12. (Gold:$838.30) Dollar index: DI has weakened and is trading around 84.23 levels with the stochastic moving downwards from 76.85%. India Forex http://www.indiaforex.in DISCLAIMER These views/ forecasts/ suggestions, though proferred with the best of intentions, are based on our reading of the market at the time of writing. They are subject to change without notice.Though the information sources are believed to be reliable, the information is not guaranteed for accuracy. Those acting in the market on the basis of these are themselves responsible for any profits or losses that might occur, without recourse to us. World financial markets, and especially the Foreign Exchange markets, are inherently risky and it is assumed that those who trade these markets are fully aware of the risk of real loss involved.