Technical Analysis
Technical Alert
The market is basically still in the process of digesting the eruptions from Thursday. Short term we will probably be tracing out marginally fresh euro peaks but the short term reaction risk is high.
USD/CHF Technical Analysis
(0,9135) The USD/CHF confirmed a negative closing missing a weak one but the dollar is still under pressure. We expect the downside to be limited for now favouring higher levels.
GBP/USD Technical Analysis
(1,6140) The CABLE formed a negative day reversal on Friday but only a daily closing below 1,6089 will cause the formation of a s/t top.
EUR/USD Technical Analysis
(1,3383) The EUR/DOLL is still well bid and already confirmed a 1,34 overshooting. Today’s session is starting with a small gap up after the strong closing on Friday above 1,3310!!
EUR/CHF Technical Analysis
(1,2223) The EUR/CHF confirmed another strong closing on Friday in the daily chart as well as in the weekly one supporting further upside potential.
EUR/JPY Technical Analysis
(120,00) The EUR/JPY confirmed on Friday another strong closing in the daily as well as in the weekly one favouring the expected 120 overshooting.
USD/JPY Technical Analysis
(89,60) The USD/YEN confirmed a strong weekly and daily closing on Friday already extending the move up further suggesting a 90 overshooting.
Asian Currencies Technicals
AUD/USD: Jan 9 Lows Key Support For Now. The pullback from ahead of the 21 day upper Bollinger band on Friday has seen a double daily top develop and helped to relieve the topside pressure a little,
USD/JPY – possible shooting star but support at 88.43/34
Sentiment extremes over the last month have failed to usher the pullback we proposed and again this week’s wedge in USDJPY led to another strong rally.
FX Daily Crosses
Today’s highlights: – EURGBP: Aggressive rally brings the market back up to .8228 resistance. We expect an extension above here to challenge .8263 38.2% Fibonacci retracement.
FX Daily Majors
Today’s highlights: – EURUSD: Expected recovery higher brings market back towards initial target resistance at 1.3300/09. We expect a breakout above here and extension higher to 1.3487/93.
Daily FX Technical Strategy – Risk-on and decompression
In the first full week of 2013 it is becoming clear that the collective investor mindset is changing. Volumes that we have seen in FX markets are at their highest for a year.