Free webinar on ForexPros - Using Chart Patterns to Recognize Trends in the Market
Expert: Anthony Cherniawski
When: Mon, Mar 15, 2010, 11:00 EST
This session will discuss the proprietary cycles studies with other patterning devices and techniques to enhance the accuracy of cycle projections and trades. This multi-disciplinary approach may help improve the outcome of trading decisions for beginning and even experienced traders. The use of chart patterns, Elliott Wave, trend lines and even Japanese Candlesticks provide a means of raising the probability of success in trading the markets.
European traders anticipate the publication of the European Central Bank (ECB) decision on short term interest rate. The decision on where to set interest rates depends mostly on growth outlook and inflation. The primary objective of the central bank is to achieve price stability. High interest rates attract foreigners looking for the best "risk-free" return on their money, which can dramatically increases demand for the nation's currency. A higher than expected rate is positive/bullish for the EUR, while a lower than expected rate is negative/bearish for the EUR. Analysts predict a reading of 1.00%.
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Euro Dollar
The Euro broke the support specified in yesterdays report 1.3465, but it did not break the important bottom 1.3422. Then it bounced back very sharply, breaking the resistance 1.3578 and successfully reaching the first suggested target 1.3652 with astonishing accuracy (the high so far is 1.3653). Evidence now shows that there is a respectable probability that we have formed a short term top at 1.3653. Such evidence is provided by the overbought indicators, stopping at a well known resistance, and the retreat that started immediately after reaching the target. If this turns to be the case, the price will fall, and break short term support 1.3600. And here, the odds will clearly favor a short term drop. Ideal targets would be the important 1.3517, and if broken 1.3450. We do not advise to take any kind of bias towards the Euro before breaking the current daily high 1.3653. If this happens, the Euros uprising will continue, targeting 1.3740 & 1.3810.
Support:
1.3600: Fibonacci 23.6% for the short term & 38.2% for the micro term.
1.3517: Fibonacci 61.8% for the short term.
1.3450: Feb 25th low.
Resistance:
1.3653: important resistance level on hourly charts.
1.3740: previous well known resistance area.
1.3810: Feb 10th high.
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USD/JPY
Dollar-Yen broke the support 88.81 only to stop in the middle of the way to the suggested target, settling for 88.46. This break gives chance to more of the drop, but on one important condition. This condition is to stay below, and not break, the falling trend line from 92.13, which is currently only pips below the current price, at 88.88. If the price stays below this line, more drop is to be expected. Short term support is at 88.53, and if broken we will move slowly towards 88, where the targets 88.00 & 87.35 awaits. The technical outlook stays negative as long as we are below the resistance of the day 88.88. But in case this level is broken, USDJPY will enter a long awaited correction for the whole drop from 92.13, with the ideal targets at Dow & Fibonacci levels 89.68 & 90.30.
Support:
88.53: the most important support on intraday charts.
88.00: Fibonacci 61.8% for the short term.
87.35: Dec 9th low.
Resistance:
89.88: the falling trend line from 92.13 on the hourly charts, the upper limit for the downtrend.
89.68: Dow 33.3% for the drop from 92.31.
90.30: Fibonacci 50% for the drop from 92.31.
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Forex TradingAnalysis written by Munther Marji for ForexPros.
For information on US dollar index see ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Free webinar on ForexPros - Using Chart Patterns to Recognize Trends in the
Market
Expert: Anthony Cherniawski
When: Mon, Mar 15, 2010, 11:00 EST
This session will discuss the proprietary cycles studies with other
patterning devices and techniques to enhance the accuracy of cycle
projections and trades. This multi-disciplinary approach may help improve
the outcome of trading decisions for beginning and even experienced traders.
The use of chart patterns, Elliott Wave, trend lines and even Japanese
Candlesticks provide a means of raising the probability of success in
trading the markets.
Traders of the US anticipate the publication of the Trade Balance index. The
index measures the difference in worth between exported and imported goods
(exports minus imports). This is the largest component of a country's
balance of payments.
Export data can give reflection on the US growth. Imports provide an
indication of domestic demand.
Because foreigners must buy the domestic currency to pay for the nation's
exports, it may have sizable affect on the USD.
A higher than expected reading should be taken as positive/bullish for the
USD, while a lower than expected reading should be taken as negative/bearish
for the USD. Analysts predict a reading of -41.00B.
---
Euro Dollar
The Euro broke the support 1.3595, and stopped only 7 pips below the
suggested target, and created another bottom in the same area of last
Friday's low (1.3529). This boring behavior, and moving back and forth in
almost the same areas in the past days, made us wonder if we could be in a
triangle of some sort. If this is true, the triangle limits are 1.3673 &
1.3557, but we will espouse Fibonacci 61.8% support & resistance at 1.3566 &
1.3639 to be today's levels. We can only hope to end this boredom with a
break of one of these levels. If the resistance at 1.3639 is broken, we
expect the Euro to jump and test the top of the falling channel at 1.3729.
And if this important resistance is broken too, we will see the Euro flying
to 1.3810. On the other hand, if the support at 1.3566 is broken, we expect
a test of the rising trend line from 1.3442 as a first target (this line is
currently running at 1.3472), and if broken we will reach a fresh cycle low
at 1.3390.
Support:
* 1.3566: Fibonacci 61.8% for the short term.
* 1.3472: the rising trend line from 1.3442 on the hourly charts.
* 1.3390: Apr 13th high.
Resistance:
* 1.3639: Fibonacci 61.8% for the short term.
* 1.3729: the top of the falling channel on the hourly charts, and a very
important resistance for the short term & the medium term.
* 1.3810: Feb 10th high.
---
USD/JPY
After Fibonacci resistance 90.66 has succeeded in reversing the short term
direction, the price traded under it for the whole past 24 hours, reaching a
low of 89.61, and drifting away more than 100 pips from the weekly high,
which is in total agreement with Fibonacci analysis that suggests we had a
short term direction-changing top at 90.66.This rebound from Fibonacci
retracement level with very good accuracy is evidence that the general
direction of the short-term is down. If this turns out to be true, we will
see the Dollar-Yen breaking the nearby support 89.69, and trying to attack
the Fibonacci support 89.09 which will act as a first target for this break,
and in case this level is broken, we can say that the drop from 90.66 is
more than a correction. If this level is also broken, the target would be
88.46, on the way to lower targets. As for the resistance it is provided by
short term Fibonacci 61.8% resistance, at 90.26. If this line is broken, we
will be on the way to another weekly high, since the targets for such a
break would be 90.84 & the well known important resistance 91.67.
Support:
* 89.69: Fibonacci 50% for the short term.
* 89.09: Fibonacci 61.8% for the short term.
* 88.46: previous hourly support.
Resistance:
* 90.26: Fibonacci 61.8% for the drop from this week's high.
* 90.84: Nov 5th & 6th high.
* 91.67: previous hourly support.
---
ForexTrading Analysis written by Munther Marji for ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex
transactions involves substantial risk of loss and may not be suitable for
all investors. You should carefully consider whether trading is suitable for
you in light of your circumstances, knowledge, and financial resources. You
may lose all or more of your initial investment. Opinions, market data, and
recommendations are subject to change at any time.
For information on our Forex Quotes see ForexPros.
Free webinar on ForexPros - Using Chart Patterns to Recognize Trends in the Market
Expert: Anthony Cherniawski
When: Mon, Mar 15, 2010, 11:00 EST
This session will discuss the proprietary cycles studies with other patterning devices and techniques to enhance the accuracy of cycle projections and trades. This multi-disciplinary approach may help improve the outcome of trading decisions for beginning and even experienced traders. The use of chart patterns, Elliott Wave, trend lines and even Japanese Candlesticks provide a means of raising the probability of success in trading the markets.
Traders of the US anticipate the publication of the Retail Sales. The Retail Sales is a monthly measurement of all goods sold by retailers based on a sampling of retail stores of different types and sizes in the US. It is an important indicator of consumer spending and also correlated to consumer confidence and considered as a pace indicator of the US economy .
A higher than expected reading should be taken as positive/bullish for the USD, while a lower than expected reading should be taken as negative/bearish for the USD. Analysts predict a reading of -0.10%.
---
Euro Dollar
The Euro confirmed it is building the triangle that we suggested yesterday, after it dropped only pips below the lower triangle line, and then it bounced back and rose until it touched the upper line in a very accurate fashion (please refer to the attached chart). The price is still trading within the triangle exactly as it was suggested yesterday, waiting for a real and decisive break for one of its limits. These limits have narrowed towards 1.3658 & 1.3581. We can only hope to end this boredom with a break of one of these levels. If the resistance at 1.3658 is broken, we expect the Euro to jump and test the last weeks at 1.3734. And if this important resistance is broken too, we will see the Euro flying to 1.3861. On the other hand, if the support at 1.3581 is broken, we expect a test of the rising trend line from 1.3442 as a first target (this line is currently running at 1.3477), and if broken we will reach a fresh cycle low at 1.3379.
Support:
1.3581: the lower limit of the triangle formation.
1.3477: the rising trend line from 1.3442 on the hourly charts.
1.3379: Apr 14th high.
Resistance:
1.3658: the upper limit of the triangle formation.
1.3734: Mar 3rd top.
1.3861: Jan 26th low.
---
USD/JPY
The Dollar-Yen kept trading above the important support 89.69 all through the past 24 hours, and it rose breaking the resistance 90.26, and as we expected reached a new weekly high at 90.80, only 4 pips below our suggested target. With this obvious penetration of 90.60, the Dollar is in a good position to achieve more gains, since the technical plea in favor of the Yen (which is stopping accurately at a Fibonacci resistance level) is no longer there. This advancement which reached 90.80 so far, is invited to hold above short term support 90.06, in order to achieve more gains. The resistance is at 90.60, and if broken, USDJPY will jump strongly, targeting 91.60, and then 92.31. IF the support is the level which will give way, this would be an indication that yesterdays rise has shown all that it could, and the pair will slip again towards 89.33, and may be the important bottom 88.53.
Support:
90.06: Fibonacci 61.8% for the short term.
89.33: Jan 26th low.
88.53: Feb 4th important bottom.
Resistance:
90.60: Fibonacci 61.8% for the drop from 92.13.
91.60: Oct 29th high.
92.31: Oct 26th high.
---
ForexTrading Analysis written by Munther Marji for ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
For information on our Forex Quotes see ForexPros.
Free webinar on ForexPros - Identifying Low Risk, High Reward, and High Probability Trading Opportunities For Swing and Longer Term Forex Traders.
Expert: Sam Seiden
When: Thursday, Mar 18, 2010, 10:00 EST
During this session, we will apply what we learned during session one to the world of swing and longer term trading in the Forex markets. We will walk through the trade selection process, applying our rule based strategy to identify price levels where demand and supply are out of balance and where profit margins are large offering us significant risk/reward opportunities for Forex swing and position trading.
This webinar is the last of a three part series brought to you by Online Trading Academy and Forexpros.
Traders of the US await the publication of the Federal Open Market Committee (FOMC) decision on short term interest rate.
The decision on where to set interest rates depends mostly on growth outlook and inflation. The primary objective of the central bank is to achieve price stability. High interest rates attract foreigners looking for the best "risk-free" return on their money, which can dramatically increases demand for the nation's currency. A higher than expected rate is positive/bullish for the USD, while a lower than expected rate is negative/bearish for the USD. Analysts predict a reading of 0.25%.
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Euro Dollar
The Euro rose breaking the resistance 1.3734, jumping 60 pips above it, coming very close to 1.38, but without reaching the first suggested target 1.3838. This expected rise came as a result of breaking the triangle to the upside, and the positive technical outlook which followed this break, and we have talked about it on Friday. To maintain this positive outlook, the Euro should hold above the most important support for the short term 1.3635. But of course, a correction wont harm the outlook, as long as it holds above this support. The closest short term support is 1.3726, and breaking it would indicate a normal correction after the last rise, with the ideal target at 1.3635, the most important support for the time being. Only if this level is broken that we expect further downside activity targeting 1.3543. As for the resistance it is at 1.3768, and breaking it would indicate a continuation of the rise that followed the triangle break. The targets for such a break would be the important 1.3838, and after that we might see 1.3928, as the Euro tries to approach the important 1.40 landmark.
Support:
1.3726: important intraday support.
1.3635: the retest level for the broken trend line with in the triangle formation.
1.3543: Mar 10th low.
Resistance:
1.3768: Fibonacci 61.8% for the short term.
1.3838: Feb 9th high.
1.3928: Jul 3rd low.
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USD/JPY
Although the Dollar-Yen reached a new top for this cycle on Friday at 91.07, it closed slightly down, at only 5 pips below the open price, which makes this day a candidate for a Reversal Day pattern. Also, the very small real body for Fridays candlestick makes it very close to a Doji pattern, and if we want to be extra specific we can refer to it as a Shooting Star candle pattern. All these indications give us one direction: down. Short term support is provided by the rising trend line from 89.61 on the hourly chart, which is currently at 90.33. If broken, this positive outlook will get the support it needs to push down. The next set of targets will be 89.61 & 89.04. As for the resistance it is at 90.76, and in case it is broken, the price will contradict all these technical signals, and would jump strongly to 91.60, and may be later to the important 92.31.
Support:
90.33: the rising trend line from 89.61 on the hourly chart.
89.61: Mar 9th low.
89.04: Nov 24th high.
Resistance:
90.76: Fibonacci 61.8% for the short term.
91.60: Oct 29th high.
92.31: Oct 26th high.
---
Forextrading analysis by Munther Marji for ForexPros.com.
---
Disclaimer Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Free webinar on ForexPros - Identifying Low Risk, High Reward, and High Probability Trading Opportunities For Swing and Longer Term Forex Traders
Expert: Sam Seiden
When: Thu, Mar 18, 2010, 10:00 EST
During this session, we will apply what we learned during session one to the world of swing and longer term trading in the Forex markets. We will walk through the trade selection process, applying our rule based strategy to identify price levels where demand and supply are out of balance and where profit margins are large offering us significant risk/reward opportunities for Forex swing and position trading. This webinar is the last of a three part series brought to you by Online Trading Academy and Forexpros.
March 17th: Bank of Japan will be holding a press conference, their preferred method of communicating with investors. Topics at such conferences generally include economic outlook, inflation and changes in interest rates.
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Euro Dollar
We said yesterday To maintain this positive outlook, the Euro should hold above the most important support for the short term 1.3635. But of course, a correction wont harm the outlook, as long as it holds above this support. And it seems that the Euro was eavesdropping! The price broke the support 1.3726, and dropped as expected in a correction which stopped only 3 pips before the ideal target 1.3635! As we can see in the chart, yesterdays low was close to 2 important support levels: the upper line in the triangle & Fibonacci 61.8%.Thus, the outlook is still positive and will be as long as we are above 1.3635. This is the support of the day & if broken, we expect the Euro to drop strongly, and target 1.3543 first, and may be the important 1.3480 after that. The resistance is at 1.3743 & breaking it would indicate a resumption of the uptrend that followed the break of the triangle. The next set of targets will be the important 1.3838, and may be we will see 1.3928, while the Euro approaches the 1.40 important landmark.
Support:
1.3635: Fibonacci 61.8% for the short term.
1.3543: Mar 10th low.
1.3480: the rising trend line from 1.3442 on the hourly chart.
Resistance:
1.3734: Fibonacci 61.8% for the short term.
1.3838: Feb 9th high.
1.3928: Jul 3rd low.
---
USD/JPY
After yesterdays report was issued, the Dollar-Yen rose to 90.78 (2 pips above the resistance of the report 90.76), then the expected drop started breaking the support 90.33, and reached 89.97 so far. Although the downtrend did not reach its expected targets, and hardly gained 80 pips from yesterdays top, but we believe that the technical evidences have triumphed. And today they are still pointing lower, especially after breaking 90.33. We expect the shooting star pattern that happened on Friday to keep pressuring the price, driving it down. Short term resistance is at 90.47 which combines Fibonacci 61.8% for yesterdays drop, with the retest level of the rising trend line from 89.61 which was broken yesterday. The downtrend will be ok as long as we are below this level. But if it is broken, the direction will be opposite to all the technical evidences that point down. And the price will jump to 91.07 & 91.60. While the support is at 90.02, and breaking it would indicate a continuation of the drop which started yesterday at 90.78. The next set of targets will be 89.37 & 88.72.
Support:
90.02: important intraday support.
89.37: Mar 2nd low
88.72: Feb 26th low.
Resistance:
90.47: Fibonacci 61.8% for the short term.
91.07: Fridays low.
91.60: Oct 29th high.
---
ForexTrading Analysis written by Munther Marji for ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
For information on our Forex Quotes see ForexPros.
Free webinar on ForexPros - Identifying Low Risk, High Reward, and High Probability Trading Opportunities For Swing and Longer Term Forex Traders.
Expert: Sam Seiden
When: Thursday, Mar 18, 2010, 10:00 EST
During this session, we will apply what we learned during session one to the world of swing and longer term trading in the Forex markets. We will walk through the trade selection process, applying our rule based strategy to identify price levels where demand and supply are out of balance and where profit margins are large offering us significant risk/reward opportunities for Forex swing and position trading.
This webinar is the last of a three part series brought to you by Online Trading Academy and Forexpros.
Traders of the US await the publication of the Core Consumer Price Index (CPI). The index measures the changes in the price of goods and services excluding food and energy. The CPI measures price change from the perspective of the consumer. It is a key way to measure changes in purchasing trends and inflation in the US. A higher than expected reading should be taken as positive/bullish for the USD (as the common way to fight inflation is raising rates, which may attract foreign investment), while a lower than expected reading should be taken as negative/bearish for the USD. Analysts predict a reading of 0.10%.
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Euro Dollar
The Euro spent the whole last 24 hours above the important 1.3635 support, broke the 1.3734, and approached 1.38 again, reaching 1.3785 until the moment of preparing this report, 9 pips below Fridays top. This behavior comes in agreement, with technical outlook that we have adopted in the past 2 days after 1.3635 survived the test. But, the Euro was supposed to achieve more than this, and not to stop on the first barrier on the way up 1.3794. The most important support for the short term now is 1.3742, and holding above it is crucial in order to achieve more gains. But if broken, we will head to another test of the important 1.3635, and breaking it would topple the price to 1.3543. The nearest resistance is 1.3794, and if broken, the positive technical outlook will be confirmed, and we will finally see the important resistance levels above 1.38, the most important for today is 1.3861, and may be we will then see 1.3936, while the Euro approaches the 1.40 important landmark.
Support:
1.3742: Fibonacci 61.8% for the micro term.
1.3635: Fibonacci 61.8% for the short term.
1.3543: Mar 10th low.
Resistance:
1.3794: Fridays high.
1.3861: Jan 29th low.
1.3938: Jan 28th low.
---
USD/JPY
Opposite to what is expected, the Dollar-Yen held above the support specified in yesterdays report 90.02, and broke the resistance 90.47, but the movement was extremely limited, with the price topping at 90.66. We have adjusted the lines that frame the current area, to make the upper limit at Mondays top 90.78, which is very close to last Wednesdays top 90.80. The lower limit is provided by the rising trend line from 89.61 on the hourly chart, and is currently at 90.12, which was tested yesterday, and passed the test. In case we broke the resistance 90.78 we will see the Dollar take control, and drive this pair higher, as we see it targeting the important 91.60 first, then 92.31 which is important as well. But in case we broke the rising trend line at 90.12, the price will start to fall, confirming the negative technical outlook which came after Fridays price behaviour. This fall is expected to target 89.37 & 88.72. But before breaking any of these 2 important limits, the technical outlook is mixed.
Support:
90.12: the rising trend line from 89.61 on the hourly chart.
89.37: Mar 2nd low
88.72: Feb 26th low.
Resistance:
90.78: Mondays high.
91.60: Oct 29th high.
92.31: Oct 27th high.
---
Forextrading analysis by Munther Marji for ForexPros.com.
---
Disclaimer Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Free webinar on ForexPros - Identifying Low Risk, High Reward, and High Probability Trading Opportunities For Swing and Longer Term Forex Traders.
Expert: Sam Seiden
When: Today, Mar 18, 2010, 10:00 EST
During this session, we will apply what we learned during session one to the world of swing and longer term trading in the Forex markets. We will walk through the trade selection process, applying our rule based strategy to identify price levels where demand and supply are out of balance and where profit margins are large offering us significant risk/reward opportunities for Forex swing and position trading.
This webinar is the last of a three part series brought to you by Online Trading Academy and Forexpros.
Canadian traders await the publication of the Core Retail Sales.
The Core Retail Sales is a monthly measurement of all goods sold by retailers based on a sampling of retail stores of different types and sizes in Canada, excluding auto. It is an important indicator of consumer spending and also correlated to consumer confidence and considered as a pace indicator of the Canadian economy .
A higher than expected reading should be taken as positive/bullish for the CAD, while a lower than expected reading should be taken as negative/bearish for the CAD. Analysts predict a reading of 0.50%, up from the previous 0.40%.
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Euro Dollar
The Euros rally halted just above 1.38, and fell back fast & strong. As we can see from the attached chart, the Euro fell towards a very important support which is the lower trend line in the triangle that we talked about in the past few days. And as we can see on the chart as well, the price has already touched this line as well. Holding above, or breaking this line is the single thing that will determine the direction of the day. Thus 1.3665 is the most important support, if the Euro continues its fall and breaks it, huge implication for the short & medium term will arise! The most important of which is that the chances to drop to a new bottom in this cycle, below the 9-month low 1.3434 will be huge. As for the short term, if 1.3665 is broken, we will see the price fall to 1.3550, and may be towards 1.3442 as well. But if the price holds above 1.3665, it will rise to challenge the resistance 1.3710. And if this level is broken, we expect a strong jump towards yesterdays high 1.3816, and then it will try to reach 1.39.
Support:
1.3665: the rising trend line from 1.3434, and the lower line in the triangle formation.
1.3550: March 4th low.
1.3442: Feb 19th low.
Resistance:
1.3710: the falling trend line from yesterdays high on intraday charts.
1.3816: yesterdays high.
1.3901: Feb 4th high.
---
USD/JPY
It seems as if the Dollar-Yen is trapped! And that it is stuck between the two limits we talked about in yesterdays report, since we have not seen a break of either of them, as the price continued to trade marginally. Yesterday, we adjusted the lines that frame the current area, to make the upper limit at Mondays top 90.78, which is very close to last Wednesdays top 90.80. The lower limit is provided by the rising trend line from 89.61 on the hourly chart, which has been tested several times so far. We will adopt the support just below this line at 90.04 as short term support In case we broke the resistance 90.78 we will see the Dollar take control, and drive this pair higher, as we see it targeting the important 91.60 first, then 92.31 which is important as well. But in case we broke the rising trend line at 90.04, the price will start to fall, confirming the negative technical outlook which came after Fridays price behaviour. This fall is expected to target 89.37 & 88.53. But before breaking any of these 2 important limits, the technical outlook will be mixed.
Support:
90.04: important support just below the rising trend line from 89.61 on the hourly chart.
89.37: Mar 2nd low
88.53: Feb 4th low.
Resistance:
90.78: Mondays high.
91.60: Oct 29th high.
92.31: Oct 27th high.
---
Forextrading analysis by Munther Marji for forexpros.com.
---
Disclaimer Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Free webinar on ForexPros - Inter-Market Analysis and 2010 Forecast for the
Dollar and Commodities
Expert: Nour Eldeen M. Al-Hammouri
When: Thu, Mar 25, 2010, 15:00 GMT
In this webinar Nour Eldeen M. Al-Hammouri will discuss the Inter-Market
Analysis and markets relationships. He will relate to the issue of how to
use Moving Averages to track the best support and resistance area, which
will be a signal for the Buy areas or Sell areas.
Click hereto join free.
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Fundamental Analysis: Existing Home Sales
Traders of the US anticipate the publication of the existing home sales
report. It measures the annualized number of existing residential buildings
that were sold during the previous month.
This report helps to analyze the strength of the US housing market, which
helps to analysis the economy as a whole.
A higher than expected reading should be taken as positive/bullish for the
USD, while a lower than expected reading should be taken as negative/bearish
for the USD. Analysts predict a future reading of 5.00M.
---
Euro Dollar
The Euro retreated, breaking the support specified in Friday's report
1.3597, dropped as expected but settled for 1.3501, a whole 21 pips above
the suggested target 1.3480. But what took place was a confirmation that
reaching 1.38 has caused the Euro a lot of exhaustion. In addition to the
fact that the "Reversal Day" pattern which took place on Wednesday was heavy
on the pair. We can see on the attached daily chart that we are trading
within a pretty harmonized channel, and it is exciting to see that the
bottom of this channel is at 1.30, so are we heading there? The continuous
shine of the Dollar, and the extreme strength it showed on Friday against
the Pound in specific, and also against the Euro indicate that we are
probably getting there> As for the short term, the support is at Friday's
low 1.3501, and if broken, the drop will resume, targeting the important
support, which has a few bottoms just above it: 1.3422, and then 1.3341. As
for the resistance it is at 1.3542, and breaking it would indicate that the
price will correct the big drop, with the ideal targets for this correction
are 1.3621 & 1.3696.
Support:
* 1.3501: Friday's low.
* 1.3422: May 18th low.
* 1.3341: May 8th low.
Resistance:
* 1.3542: Asian session top.
* 1.3621: Fibonacci 38.2% for the short term.
* 1.3696: Fibonacci 61.8% for the short term.
---
USD/JPY
The Dollar-Yen approached the magnetic resistance 90.78 once again on
Friday, as the daily high formed only 8 pips below it. The price did not
move much afterwards, in a price behaviour reminding us of the boredom which
we lived with this pair recently. Last week, we adjusted the lines that
frame the current area, to make the upper limit at Monday's & Thursday's top
90.78, which is very close to last Wednesday's top 90.80, and close to
Friday's top 90.70. The lower limit is provided by the rising trend line
from 89.61 on the hourly chart, which has been tested several time, before
being broken. This line is currently at 90.33. In case we break the magnetic
resistance 90.78 we will see the Dollar take control, and drive this pair
higher, as we see it targeting the important 91.60 first, then 92.31 which
is important as well. But in case we broke the rising trend line at 90.33,
the price will resume yesterday's fall which halted at 89.74, confirming the
negative technical outlook which we cheered for all this week. This fall is
expected to target 89.37 & 88.53.
Support:
* 90.33: the rising trend line from 89.61 on the hourly chart.
* 89.37: Mar 2nd low
* 88.53: Feb 4th low.
Resistance:
* 90.78: Monday's high.
* 91.60: Oct 29th high.
* 92.31: Oct 27th high.
---
ForexTrading Analysis written by Munther Marji
for ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex
transactions involves substantial risk of loss and may not be suitable for
all investors. You should carefully consider whether trading is suitable for
you in light of your circumstances, knowledge, and financial resources. You
may lose all or more of your initial investment. Opinions, market data, and
recommendations are subject to change at any time.
Free webinar on ForexPros - Inter-Market Analysis and 2010 Forecast for the Dollar and Commodities
Expert: Nour Eldeen M. Al-Hammouri
When: Thu, Mar 25, 2010, 15:00 GMT
In this webinar Nour Eldeen M. Al-Hammouri will discuss the Inter-Market Analysis and markets relationships. He will relate to the issue of how to use Moving Averages to track the best support and resistance area, which will be a signal for the Buy areas or Sell areas.
Fundamental Analysis: German Ifo Business Climate Index
European traders anticipate the publication of the German Information and Foschung (Ifo) Business Climate Index. The index determines the business sentiment and conditions in the Euro-zone.
The reading is concluded from survey of about 7,000 businesses. A higher than expected reading should be taken as positive/bullish for the EUR, while a lower than expected reading should be taken as negative/bearish for the EUR. Analysts predict a future reading of 96.00.
---
Euro Dollar
The Euro broke the support specified in yesterdays report 1.3501, only to stop in the middle of the way to the target 1.3422, at 1.3462 in specific. This is the fifth time that the EURUSD reaches a daily low in the same area, without being able to break it. In Addition to yesterdays low, the Euro has bottomed in the neighborhood on: Feb 19th (low 1.3442), Feb 25th (low 1.3450), Mar 1st (low 1.3459) & Mar 2nd (low 1.3434). And after 3 weeks, we come back to the same area, as if we needed another bottom here to realize just how important this support area is. But, we were expecting to see a break of the wide and strong support area which concerned us for more than a month so far: 1.3434-1.3462. It is with no doubt that any attempts to reach 1.30 on the medium term will not have a good chance unless this support is broken. Short term analysis provides that the support is at 1.3502, and breaking it would give another chance to break the 1.34 areas. The targets for this break will be 1.3442 first, and then 1.3341. As for the resistance it is at 1.3566, and breaking it would mean we are already correcting the last drop from the 1.38 top, and the targets for this correction will be 1.3621 & 1.3696.
Support:
1.3502: Fibonacci 61.8% for the short term.
1.3422: May 18th low.
1.3341: May 8th low.
Resistance:
1.3566: Fibonacci 61.8% for the micro term.
1.3621: Fibonacci 38.2% for the short term.
1.3696: Fibonacci 61.8% for the short term.
---
USD/JPY
The Dollar-Yen broke the rising trend line from 89.61, and the support specified in yesterdays report 90.33, dropped to 89.81, without being able to go lower than Thursdays low 89.74. This morning the price came back to test the broken trend line (please refer to the attached chart). But we believe, even if the price came back over the broken line, the technical outlook will not turn positive, since we are still below 90.78. Last week, we adjusted the lines that frame the current area, to make the upper limit at Mondays & Thursdays top 90.78, which is very close to last Wednesdays top 90.80, and close to Fridays top 90.70. In case we break the magnetic resistance 90.78 we will see the Dollar take control, and drive this pair higher, as we see it targeting the important 91.60 first, then 92.31 which is important as well. But in case we break the nearby support 90.23, drifting away from 90.78 will actually start, and we will be on the way to target 89.37 & 88.53.
Support:
90.23: important intraday support.
89.37: Mar 2nd low
88.53: Feb 4th low.
Resistance:
90.78: Mondays high.
91.60: Oct 29th high.
92.31: Oct 27th high.
---
ForexTrading Analysis written by Munther Marji for ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.
Free webinar on ForexPros - Inter-Market Analysis and 2010 Forecast for the
Dollar and Commodities
Expert: Nour Eldeen M. Al-Hammouri
When: Thu, Mar 25, 2010, 15:00 GMT
In this webinar Nour Eldeen M. Al-Hammouri will discuss the Inter-Market
Analysis and markets relationships. He will relate to the issue of how to
use Moving Averages to track the best support and resistance area, which
will be a signal for the Buy areas or Sell areas.
Great Britain traders anticipate the publication of the Retail Sales. It is
a monthly measurement of all goods sold by retailers based on a sampling of
retail stores of different types and sizes in the UK. It is an important
indicator of consumer spending and also correlated to consumer confidence
and considered as a pace indicator of the UK economy.
A higher than expected reading should be taken as positive/bullish for the
GBP, while a lower than expected reading should be taken as negative/bearish
for the GBP. Analysts predict a future reading of 0.60%.
---
Euro Dollar
The Euro broke the support specified in yesterday's report 1.3502, and
dropped a little, then it bounced back to stop accurately at the resistance
specified in the report 1.3566 (the highest price after issuance the report
is 1.3561). After that, the dropped & went back to confirm the 1.3502 break,
and successfully reached the first suggested target 1.3422, reaching 1.3405
until the moment of preparing this report. With this move, the Euro finally
penetrated the important support area which contains 5 daily lows, which we
talked about in details yesterday. Also, with this move, the technical
outlook for the medium term has "officially" turned negative, and we do
expect the Euro to sink below 1.30 in the near future. As for the short
term, the resistance is 1.3446 & the support is 1.3390. If we break the
support at 1.3390, the price will confirm the break which has already took
place for the wide support area 1.3434-1.3462, the price will start falling
targeting 1.3326 and may be 1.3256. But if the resistance 1.3446 is broken,
the price will take off, looking for Fibonacci resistance levels which will
form today's targets 1.3501 first, and if broken 1.3611.
Support:
* 1.3390: Apr 13th high.
* 1.3326: Jan 28th high.
* 1.3256: Mar 27th 2009 high.
Resistance:
* 1.3446: the falling trend line from 1.3561 on the intraday charts.
* 1.3501: Fibonacci 61.8% for the short term.
* 1.3611: Fibonacci 50% for the drop from 1.3816.
---
USD/JPY
The Dollar-Yen moved in a very tight range between 90.17 & 90.60 without
being able to break the most important resistance 90.78. Boredom is still
the headline, awaiting a potential break of 90.78, or starting to drift away
from it. Last week, we adjusted the lines that frame the current area, to
make the upper limit at Monday's & Thursday's top 90.78, which is very close
to last Wednesday's top 90.80, and close to Friday's top 90.70. And today we
will adjust the lower limit for this area, by re-drawing the rising trend
line from 89.61 to contain the recent price behaviour. The above mentioned
line is at 89.99. In case we break the magnetic resistance 90.78 we will see
the Dollar take control, and drive this pair higher, as we see it targeting
the important 91.60 first, then 92.31 which is important as well. But in
case we break the new trend line at 89.99, the expected drifting away from
90.78 will start, and we will be heading to 89.37 & 88.53.
Support:
* 89.99: the rising trend line from 89.61 on the hourly chart, after
adjustment.
* 89.37: Mar 2nd low
* 88.53: Feb 4th low.
Resistance:
* 90.78: Monday's high.
* 91.60: Oct 29th high.
* 92.31: Oct 27th high.
---
ForexTrading Analysis written by Munther Marji
for ForexPros.
---
Disclaimer: Trading Futures and Options on Futures and Cash Forex
transactions involves substantial risk of loss and may not be suitable for
all investors. You should carefully consider whether trading is suitable for
you in light of your circumstances, knowledge, and financial resources. You
may lose all or more of your initial investment. Opinions, market data, and
recommendations are subject to change at any time.
