EUR/USD: Technical Analysis
Fears that the trading could pull back upwards turned out to be correct - the price bagan to grow and raised to resistance 1.3640/50, passing yesterday mentioned barriers 1.3570/80. Indicators changed their readings to "bullish", but R% raised to overbought zone, which can indicate the end of the growth and SS being oversold gives reason to asume that current growth is just a correction after the recent decline. So, the downtrend is likely to recommence with new local minimums tests in this instrument. At the same time, sideways trading within the range1.3650-1.3490/1.3500 is also a high possibility at the moment.
EUR/JPY: Technical Analysis
The rally since this morning has taken the exchange rate up to the level of old highs in the mid 113s where it has often stopped before. There is divergence between price and MACD at the peaks and it is quite possible that this coupled with the resistance highs above could push the exchange rate back down, although it is difficult to tell how far. Initially it may pull back to the level of support at 113.20 but a stronger move could go all the way back down to 112.60. Conversely, a breakout move higher could go to 113.80.
AUD/USD: Technical Analysis
Overnight the Aussie finally broke out of the channel it has been in since the 5th November highs and rallied up quite strongly to 0.9900. The question now must be will it go further or rollover. The move down since the 5th appears incomplete and it is quite possible that the exchange rate may go lower again to complete an impulse. The MACD Elliot Wave Oscillator is indicating that this move higher today is probably a wave 4. It has already corrected 40% of the previous move, indicating it is unlikely to go much higher and it may be almost finished. Once it has completed there should be a 5th wave down that will take the exchange rate back to the area of the old lows in the 0.9720s.
Analysis by: Forex4you.com
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