FOREX TRADING

Daily Technical Analysis

EURUSD

The EURUSD had a significant bearish momentum yesterday, break below 1.3750 key support area, bottomed and closed at 1.3723. This fact should lead us to further bearish scenario towards 1.3490 area. The bias is bearish in nearest term targeting 1.3580 area. Immediate resistance at 1.3750 – 1.3800 area. Break above that area should lead us into no trading zone but I prefer a bearish scenario at this phase with sell on rallies strategy as the bearish momentum seems very strong at this phase.

On fundamental side, we will have US NFP data today, which is expected at 10K. If the actual number is at least the same or even better than expected, the Euro should keep under heavy pressure. On the other hand, a worse than expected result may give some support to the Euro but overall the Dollar should still has the advantage as risk aversion seems to increase as stocks and gold are heading lower while Greenback strengthen

GBPUSD

The GBPUSD also had a significant bearish momentum yesterday, fell below 1.5800 and keep moving lower earlier today in Asian session, traded around 1.5730 at the time I wrote this comment. This fact should trigger further bearish scenario targeting 1.5500 – 1.5550 area in nearest term before testing 1.5250 region in longer term. Immediate resistance at 1.5800 area. Break above that area should lead us into no trading zone in nearest term but overall I prefer a bearish scenario with sell on rallies strategy at this phase.

On fundamental side, we will have US NFP data today, which is expected at 10K. If the actual number is at least the same or even better than expected, the Sterling should keep under heavy pressure. On the other hand, a worse than expected result may give some support to the Sterling but overall the Dollar should still has the advantage as risk aversion seems to increase as stocks and gold are heading lower while Greenback strengthen

USDJPY

The USDJPY failed to continue its bullish momentum yesterday, break below the trendline support indicating bullish failure and potential bearish scenario towards 88.00 – 87.38 area in nearest term. Immediate resistance at 90.00. Break above that area should lead us into no trading zone as direction would become unclear for me.

USDCHF

The USDCHF continued its bullish momentum yesterday, topped at 1.0674 and closed at 1.0667. This fact should keep the bullish scenario intact but we need a clear break above 1.0700 area to continue bullish scenario towards 1.0850 before testing 1.1000 area. Immediate support at 1.0620 followed by 1.0580 area

EURJPY

The EURJPY had a significant bearish momentum yesterday, bottomed at 121.57 and closed at 122.20. This fact should keep the bearish scenario intact and confirmed but we need a consistent move below 122.10 area to continue further bearish pressure targeting 120.00 even 117.50 area in longer term. Immediate resistance at 123.60 area. Break above that area should lead us into no trading zone in nearest term but overall I prefer a bearish scenario with sell on rallies strategy.

GBPJPY

The GBPJPY also had a significant bearish momentum yesterday, bottomed at 139.36 and closed at 140.28. This fact should trigger further bearish scenario but note that we seem to have a good support around 139.30 area. We need a clear break below that area to continue bearish momentum targeting 137.80 before testing 134.50 region. Immediate resistance at 141.50 area. Break above that area should lead us into no trading zone in nearest term but overall I prefer a bearish scenario with sell on rallies strategy.

AUDUSD

The AUDUSD had a significant bearish momentum yesterday, break below 0.8780, bottomed at 0.8606 and closed at 0.8642. This fact should trigger further bearish scenario targeting 0.8550 area. Immediate at 0.8700 area. Break above that area should lead us into no trading zone in nearest term testing 0.8780, but as long as price stay below 0.8780 I still prefer a bearish scenario with sell on rallies strategy.

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