Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Forex4you Techncnical Analysis 11 Feb 2011

EUR/USD: Technical Analysis

The price breached the corrected trend line (blue) and is now about to test the key support range within 1.3540 – 1.3500. Indicators prefer a down trend, which gives reasons to anticipate a successful breakout of the above mentioned range. If the price falls and holds below level 1.3500, it will indicate a change of sentiment in the market. The final signal for reversal is support range 1.3450/60 -1.3400 breakout. At the same time, support levels 1.3530/00 are strong enough to initiate a pull back upwards, again to level 1.3700.



GBP/USD: Technical analysis

The price remained in a sideways range and failed to breach support at level 1.6060 and hold below. At the moment the price is making another attempt to hold below 1.6060, the trading is carried out close to level  1.6045/50. Indicators are turned down, giving reasons to expect the "bearish" attempts to be successful. Recent forecast is still relevant, thus, a breakout at level 1.6060 will indicate that the "bears" are gaining strength. If they hold below 1.5750, medium-term growth will be over. Until the price holds below level 1.6060, the "bulls" have good chances to grow and raise the price up to level 1.6330/20.



USD/JPY: Technical analysis

Previous forecast that resistance level 82.50/60 breakout with the following fixation above should open the way up turned out to be correct. The price not only tested previously mentioned level 83.00/10, but also breached it and then rose to level 83.45/50, which gave even more reasons to expect the price to reach the target at level 84.00/10 in the near future. Indicators are still bullish, so the up trend is likely to continue. However, resistance at level 83.55/60 is very close to the next local maximum, which indicates a possible  stop and correction. Consolidation may presumably take place within the range 83.60/70 – 83.10/00. A steeper decline will give reasons to doubt of the "bullish" trend.



Analysis by: Forex4you.com written by Forex4you analyst

Disclaimer:
Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.