FX Thoughts for the Day

Daily Forex Technicals | Written by Kshitij Consultancy Services | May 13 09 12:20 GMT |

USD-CHF @ 1.1053/55...Ranged: 1.0980 - 1.1130 R: 1.1073 / 1.1122 / 1.1184 S: 1.0980 / 1.0913 / 1.0750 Dollar-Swiss was once again Supported near the 1.0980 level as the pair dipped during the day towards the bottom of the range (1.0980-1.1130) and has since bounced towards 1.1067. The view continues to be in the range mentioned earlier. So buy low (near the bottom of the range) sell high (near the top of the range). Overall trend remains bearish with possiblility of the SUpport at 1.0980 being broken past over the next few sessions if not immediately. If it manages to break past this Support during the day, then there's the Projected Max Low for the day at 1.0913 Cable GBP-USD @ 1.5137/40...Tests Max Low for day R: 1.5207 / 1.5259 / 1.5334 S: 1.5137-27 / 1.5050 / 1.4977 Cable is seeing some sideways consolidation as the Resistance near 1.53 is managing to pressure the pair down. It has been traversing on the back of the 8-DMA at 1.5129 presently which has held over the last few days. Both these levels have been keeping the pair ranged between 1.51-1.53 over the last few days with sudden bouts of "not-so-huge" spikes on either side. Is this range at jeopardy? May be, but till the time it does not breach the 21-DMA (1.4887), we would believe that the uptrend is not over yet and there could still be chances of 1.55 over the next few days. It is presently resting on the Projected Max Low for the day. We shall have to see if it holds, else it might fall further towards 1.50 during the US session. Aussie AUD-USD @ 0.7612/22...Range: 0.7560-0.7740 R: 0.7740-52 / 0.7935 / 0.8013 S: 0.7576-51 / 0.7501 / 0.7418-15 Aussie dipped sharply during the day as it allowed us to enter into the Long at 0.7645. It is likely to now find Support near 0.7560 which is the 61.8% retracement of the fall from 0.8524 (22 Sep 08) to 0.6007 (27 Oct 08). The range of 0.7560-0.7740 looks good for the next few sessions, if not days. One may buy towards the lower end of the range and sell towards the upper end of the range. A break on downside is likely to next target 0.7415 and 0.7935 on the upside. Holding: AUD 10K Long at 0.7645, SL 0.7530, TP 0.7730 (down from 0.7750) Kshitij Consultancy Service http://www.fxthoughts.com Legal disclaimer and risk disclosure 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 responsibly 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.