FxInstructor @ 3:14 AM, Wednesday January 06 2010
The EURUSD attempted to push higher yesterday, slipped above 1.4450,
topped at 1.4483 but further bullish momentum was rejected as price
whipsawed to the downside, bottomed at 1.4346 and closed at 1.4363. On
h4 chart below we can see that this was a case of a false breakout
which usually trigger bearish pressure testing 1.4250 area. We need the
price to close below that area to confirm the bearish scenario testing
1.4127 – 1.4000 this week. Immediate resistance at 1.4400 – 1.4450 area.
GBPUSD Forecast:
The GBPUSD had a significant bearish momentum yesterday by break below
1.6040 area, bottomed at 1.5965 and closed at 1.5989. This fact should
lead us to a new bearish phase targeting 1.5832 area as bullish
scenario has failed. Immediate resistance at 1.6040 area. Break above
that should lead us into no trading zone as direction would become
unclear for me.
USDJPY Forecast:
The USDJPY continued its bearish correction yesterday. On daily chart
below we can see that bullish momentum was rejected after touched the
trendline resistance, and price slipped below the bullish channel
indicating potential threat to the bullish outlook. The bias is neutral
in nearest term. The bullish outlook is interrupted, but bearish
scenario has not confirmed either, not until we have a movement below
90.15 area. Any movement back inside the bullish channel should be seen
as a false breakdown which could trigger significant bullish momentum,
keep the bullish scenario targeting 94.00 – 94.50 intact.
USDCHF Forecast
The USDCHF attempted to push lower yesterday, but still unable to move
consistently below 1.0280 area. This fact prove that we are still in
consolidation phase and I still prefer a bullish scenario and expecting
a violation to the bearish channel to continue the bullish scenario
re-testing 1.0500 before aim for 1.0700. Only a consistent move below
1.0280 can be seen as serious threat to the bullish outlook.
EURJPY Forecast
The EURJPY had a significant bearish momentum yesterday, moved back
below the trendline indicating potential bullish failure which could
trigger further bearish pressure. However, from Fibonacci retracement
point of view, as you can see on my h4 chart below, a pullback to the
32.8% area around 131.40 is actually normal. We need a valid break
below that area to confirm bearish scenario targeting 130.63 and
129.90. Another movement above the trendline should lead us into no
trading zone as direction would become unclear for me.
GBPJPY Forecast
The GBPJPY had a significant bearish momentum yesterday, bottomed at
146.11 and closed at 146.41. On daily chart below we can see that price
is now struggling around the trendline area indicating critical phase.
The bullish scenario, although in serious threat, should remains intact
as long as price able to stay above the trendline. Immediate support at
145.75 area. Break below that area should be seen as bullish failure
and trigger bearish momentum towards 143.80 area. Initial resistance at
147.30 area. Break above that area should keep the bullish scenario
intact testing 148.95 area.
AUDUSD Forecast
The AUDUSD made indecisive movement yesterday, formed a Doji on daily
chart. On h4 chart below we can see that bullish momentum was rejected
by the trendline resistance. This fact indicating a consolidation phase
with expected range between 0.9190 – 0.9075 area. Break above 0.9190
and the trendline area should continue further bullish scenario towards
0.9230 – 0.9292 area. Break below 0.9075 could be seen as a serious
threat to the bullish outlook testing the bullish channel.
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