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Major Currencies Morning Report 15-April-2011

The Euro succeeded in stabilizing above the focal support yesterday that ascended now to 1.4455, after the SMA 50 prevented the pair from further bearishness.


EUR

Therefore, we expect the intraday bullishness to prevail today yet we might witness some volatility due to the negativity on Stochastic. Stability above 1.4455-1.4390 is required for our expectations to prevail.

The trading range for today is among the major support at 1.4300 and the major resistance at 1.4725.

The short term trend is to the upside with steady daily closing above 1.2795 targeting 1.5135.


Support 1.4455 1.4390 1.4365 1.4345 1.4280

Resistance 1.4500 1.4580 1.4625 1.4725 1.4800

Recommendation Based on the charts and explanations above we recommend buying the pair around 1.4455 targeting 1.4625 and stop loss below 1.4345 might be appropriate


Great British Pound (GBP)


GBP

The pair retested 76.4% correction at 1.6250 and rebounded higher to maintain stability above this support accompanied by positive signs on Stochastic over daily basis. Therefore, we expect the intraday bullishness to prevail for today targeting areas from 1.6500. Areas of 1.6250 must hold for our expectations to prevail.

The trading range for today is among the major support at 1.6200 and the major resistance at 1.6585.

The short term trend is to the upside with steady daily closing above 1.5315 with targets at 1.7000.


Support 1.6300 1.6250 1.6200 1.6175 1.6110

Resistance 1.6350 1.6400 1.6450 1.6500 1.6585

Recommendation Based on the charts and explanations above our opinion is buying the pair around 1.6400 targeting 1.6585 and stop loss below 1.6300 might be appropriate


Japanese Yen (JPY)


JPY

The pair continues to pressure the critical support at 83.50 -38.2% Fibonacci correction- supported by the SMA 50 that is preventing the pair from further downside movement. On the other hand, Stochastic provided positive signs supporting the upside correction and from here we recommend observing the pair today and the daily closing around the support as ignoring the positive signs shows that the pair settled for the 50% upside correction and returned to continue the general downside move.

The trading range for today is among the major support at 81.60 and the major resistance at 85.65.

The short term trend is to the downside as far as 89.35 remains intact with targets at 77.70.


Support 82.75 82.15 81.60 81.15 80.60

Resistance 83.50 83.90 84.50 85.00 85.65

Recommendation Based on the charts and explanations above our opinion is observing the pair for more confirmations


Swiss Franc (CHF)


CHF

The pair is hovering around the support at 0.8900 with signs on a upside bias due to the positive momentum. This positivity might push the pair to retest areas of 0.9030 utmost before resuming the intraday downside move expected for today supported by the negativity of the SMA 50, supporting the continued bearishness towards 50% correction of the last downside move from 0.9774 to 0.8900. Breaching 0.8900 will accelerate the awaited bearishness.

The trading range for today is among the major support at 0.8750 and the major resistance at 0.9075.

The short term trend is to the downside with steady daily closing below 1.0330 targeting 0.8000.


Support 0.8900 0.8810 0.8750 0.8700 0.8670

Resistance 0.8950 0.9000 0.9030 0.9075 0.9105

Recommendation Based on the charts and explanations above our opinion is selling the pair around 0.9030 targeting 0.8885 and stop loss above 0.9125 might be appropriate


Canadian Dollar (CAD)


CAD

The pair retested the previously breached support at 0.9665 and reversed lower to close below the resistance for the intraday descending channel shown above. Therefore, we hold onto our intraday bearish expectations today which might be preceded by sideways fluctuation due to the positivity on Stochastic. Targets start from 0.9500 then 0.9400 and require stability below 0.9665.

The trading range for today is among the major support at 0.9400 and the major resistance at 0.9740.

The short term trend is to the downside as far as 1.0665 remains intact targeting 0.9000.


Support 0.9615 0.9560 0.9495 0.9470 0.9400

Resistance 0.9630 0.9700 0.9740 0.9795 0.9865

Recommendation Based on the charts and explanations above our opinion is selling the pair around 0.9630 targeting 0.9470 and stop loss above 0.9740 might be appropriate




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