Currency Majors Technical Perspective
Wednesday, September 8, 2010
, Posted by Usman Ali Minhas at 8:37 AM
EUR/USD Current price: 1.2697
View Live Chart for the EUR/USD
Struggling with the 1.2700 area, pair indicators had turned slightly bearish after losing early Europe momentum, while 20 SMA remains pretty bearish in the hourly chart. Still stocks are meant to open higher as ECB’s Weber come out today to push away sovereign debt ghosts in the euro zone, aiming to put an end to discussions about bank solvency; price is aiming higher, thus only clear acceleration above 1.2735 should support further rises today.
Support levels: 1.2660 1.2620 1.2580
Resistance levels: 1.2735 1.2780 1.2810
GBP/USD Current price: 1.5458
View Live Chart for the GBP/USD (Select the currency)
Regaining the upside, hourly chart shows pair gaining upward momentum, thus 1.5470 resistance area remains intact: tested several times today, pair was unable to confirm a break higher with at least an hourly candle opening above the strong level, yet if general risk appetite extends during current American session, pair could finally overcome the level, with immediate resistance around 1.5520. 200 EMA in the 4 hours chart around mentioned level, could halt the rally; in that case, 1.5420 is key support to follow for a break lower.
Support levels: 1.5420 1.5370 1.5330
Resistance levels: 1.5470 1.5520 1.5560
USD/JPY Current price: 83.96
View Live Chart for the USD/JPY (select the currency)
Having testes June 1995 low at 83.35, pair bounced back up thus still capped by 84.00 static resistance area. Holding a slightly bullish tone in the hourly chart, and above 20 SMA, pair needs at least to confirm an acceleration above 84.10 to extend current gains. 4 hours chart supports the bias, as indicators are also heading north, thus far from signals yet.
Support levels: 83.60 83.35 82.90
Resistance levels: 84.10 84.45 84.80
USD/CHF Current price: 1.0130
View Live Chart for the USD/CHF (select the currency)
Usd is posting discrete gains against Swissy, as market is moving away, at least temporarily, from safe havens. Bullish in the hourly chart, pair has reached an intraday high around 1.0140 immediate resistance area. Once above, strong level to watch will be 1.0220 as only a daily close above that level could confirm further gains in the cross in the upcoming sessions. Long term bearish trend will remain intact as long as under it.
Support levels: 1.0100 1.0065 1.0020
Resistance levels: 1.0140 1.0170 1.0220
New to Forex? Visit our Glossary!In this report, you will find the term Sovereign Debt.
