ForexCycle @ 4:17 AM, Thursday January 07 2010
USDJPY Analysis.
Being supported by the
rising trend line from 87.37 to 88.97, USDJPY rebounded from 91.25,
suggesting that a short term cycle bottom has been formed on 4-hour
chart. Range trading between 91.25 and 93.21 is expected in a couple of
days. As long as 91.25 support holds, the price action from 93.21 is
treated as consolidation of uptrend from 84.82 and one more rise
towards 94.00-95.00 area is still possible. However, below 91.25 will
indicate that lengthier consolidation is underway, then another fall
could be seen to 90.50 area.
GBPUSD Analysis.
GBPUSD has formed a short
term cycle top at 1.6238 and the fall from 1.6238 is treated as
resumption of downtrend from 1.6875 (Nov 16 high). Deeper decline is
now in favor and target is at 1.5708 (Oct 13 low). Initial resistance
is at 1.6061, as long as this level holds, downtrend from 1.6238 will
continue.
AUDUSD Analysis.
AUDUSD continues its
bullish movement and the rise from 0.8734 extended to as high as 0.9264
level. Further rally is still possible after a minor consolidation and
next target would be at 93.50 area. Support is at the rising trend line
on 4-hour chart, only fall below the trend line support could signal
completion of uptrend.
EURUSD Analysis.
As expected, EURUSD
continues its upward swing trading within a price channel on 4-hour
chart. The price action from 1.4218 is still treated as consolidation
of downtrend from 1.5144. One more fall towards 1.4000 is still
possible after consolidation.
USDCHF Analysis.
No changed in our view,
USDCHF stays in a falling price channel and remains in downward trend
from 1.0507. As long as the channel resistance holds, we’d expect
downtrend to continue and deeper decline to 1.0200 is still in favor.
USDCAD Analysis.
USDCAD’s downtrend extends
further to as low as 1.0296. Deeper decline is still in favor and next
target would be at 1.0250 area. Resistance is at 1.0365 followed by
1.0424, as long as these levels hold, downtrend from 1.0576 could be
expected to continue.
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