Technical Analysis for Major Currencies

Daily Forex Technicals | Written by Crown Forex | Jan 16 09 07:31 GMT |

EURO The pair continues to trade within a downside channel after breaching minor resistance levels where it is currently heading towards the key support for the channel near 1.3600 supported by the possibility of breaching a slight upside pattern at 1.3245 where if the pair was able to build a solid base above this level, it will then continue to incline. The short term trend is still tot he downside despite the expected incline to be seen during today's session. The trading range for today is among the key support at 1.2815 and the key resistance at 1.3630 The general trend is to the downside as far as 1.5080 remains intact with targets at 1.2340 and 1.2225 Support: 1.3245, 1.3215, 1.3140, 1.3075, 1.3030 Resistance: 1.3290, 1.3305, 1.3330, 1.3390, 1.3470 Recommendation: Sell the pair below 1.3330 with targets at 1.3210 and stop loss with a four hour close above 1.3440 GBP The pair was able to incline where it is currently targeting the 50% correction at 1.4915. Momentum indicators show the pair being overbought heavily which makes us believe that the pair will decline once again. Note that breaching the above mentioned correction at 1.4915 with a four hour close could open the way for the pair to reach 1.5030 which is the 61.8% correction. The trading range for today is among the key support at 1.4625 and the key resistance at 1.5280 The general trend is to the downside as far as 1.9400 remains intact with targets at 1.4135 and 1.4095 Support: 1.4835, 1.4810, 1.4780, 1.4730, 1.4685 Resistance: 1.4915, 1.4980, 1.5030, 1.5085, 1.5140 Recommendation: Sell the pair below 1.4915 with targets at 1.4815 and stop loss with a four hour close above 1.4980 JPY The pair was able to return to tade within an upside channel as it was able to maintain levels above the 76.4% correction for the ascending channel that started on 17-12-2008 at 88.95. We now see volatility in the pair with slight tendency to the upside where momentum indicators show the pair being overbought. The pair is heading towards the 38.2% correction at 90.85 - 90.90 where this level is for the descending channel that started on 06-01-2009 The trading range for today is among the key support at 88.25 and the key resistance at 92.30 The general trend is to the downside as far as 102.10 remains intact with targets at 84.95 and 82.60 Support: 90.00, 89.80, 89.05, 88.40, 88.25 Resistance: 90.55, 90.90, 91.15, 91.60, 92.30 Recommendation: Buy the pair above 90.00 with targets at 90.80 and stop loss with a four hour close below 89.80 CHF Even with the pair inclining as we expected yesterday, it failed to build a solid base above the resistance level at 1.1265 resulting in a reverse to the downside to breach the key support for the ascending channel as seen in the above picture. From here we expect the direction to be to the downside for today with high volatility as the Stochastic indicator shows the pair being oversold. The trading range for today is among the key support at 1.0885 and the key resistance at 1.1395 The general trend is to the upside as far as 1.0570 remains intact with targets at 1.2570 and 1.2780 Support: 1.1135, 1.115, 1.1095, 1.1065, 1.1005 Resistance: 1.1180, 1.1200, 1.1245, 1.1265, 1.1300 Recommendation: Sell the pair below 1.1180 with targets at 1.1065 and stop loss with a four hour close above 1.1265 CAD The pair is now attempting to correct to the downside to shake off excess buying orders that it has encountered during the past two days. We expect to see a slight decline today where the ADX indicator is supporting the downside direction. Despite the ascending channel we see in the above picture, momentum and direction indicators are showing the possibility for the pair to retest the support level at 1.2325 with the opportunity of breaching it which will keep teh downside trend intact as far as trading remains below 1.2535 The trading range for today is among the key support at 1.2050 and the key resistance at 1.2690 The general trend is to the upside as far as 1.1780 remains intact with targets at 1.3305 and 1.346 Support: 1.2410, 1.2390, 1.2325, 1.2285, 1.2225 Resistance: 1.2460, 1.2535, 1.2565, 1.2580, 1.2625 Recommendation: Sell the pair below 1.2460 with targets at 1.2335 and stop loss with a four hour close above 1.2535 Crown Forex disclaimer:The above may contain information for investors/traders and is not a recommendation to buy or sell currencies, gold, silver & energies, nor an offer to buy or sell currencies, gold, silver & energies. The information provided is obtained from sources deemed reliable but is not guaranteed as to accuracy or completeness. I am not liable for any losses or damages, monetary or otherwise that result. I recommend that anyone trading currencies, gold, silver & energies should do so with caution and consult with a broker before doing so. Prior performance may not be indicative of future performance. Currencies, gold, silver &energies presented should be considered speculative with a high degree of volatility and risk.