Euro: Finding Temporary Bottom?

  • Euro: Finding Temporary bottom?
  • Japanese Yen; USDJPY Peak?
  • British Pound Further Weakness Ahead
  • Swiss Franc Price Hesitates
  • Canadian Dollar; Double Bottom in Place
  • Australian Dollar One More Test of the Top?
  • New Zealand Dollar Slow Deterioration

EURUSD - Having reached our initial target of 1.3480 the EURUSD continues to consolidate at lower levels. True support does not come into play until fully 100 points lower at 1.3350 but a bounce back to initial support of 1.3550 ( now resistance) is not out ofteh question.

USDJPY - A big flare out shooting star on the daily chart suggests that the USDJPY may have hit a near term peak . Downside targets reach all the way to 117.50 before any meaningful support appears, but a break of the 120.50 high invalidates the reversal scenario and outs bulls back in control

GBPUSD - Yesterday we wrote, “That pattern could very well be a B wave within a larger A-B-C decline from 2.0131. If this is the case, then Cable is likely to slip to the 100% extension of 2.0131-1.9841/1.9997 at 1.9709 before mounting any significant rally attempt.” With the pair printing a very ugly red candle that definitely broke support at 1.9860 level the bias is clearly bearish. Still a bounce here back to that level is quite possible.

USDCHF - Although the technical structure of USDCHF remains bullish, the doji-like congestion over the past few days suggests hesitation. The 4/09/07 swing high of 1.2289 remains key to the bullish case and only an incontrovertible break of that level confirms further upside potential to 1.2500.

USDCAD - Has CAD made a double bottom at the 1.1000 level? V shaped bounces are rare, so the currency pair could easily retest the level once again, but 1.1000 now becomes strong support and the near term bias appears to be up. A break of that level to the downside however, will cause massive technical damage and could take pair all the way to 1.07000 before stabilizing.

AUDUSD - Aussie continues to display a bullish posture as the pair once again targets highs at the 8390 level. Today?s lows at 8222 represent risk to the downside which if broken could invalidate the upward bias turning the whole formation into a lower double top which would ultimately present very bearish implications

NZDUSD - Kiwi has appears to be in a slow motion wreck as the pair fails at the .7500 level and is in the process of carving out a massive top. Immediate support at 7250 and then 7200 but more substantive support does not exist until 7100 presenting further opportunity to NZDUSD shorts.