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Major Currencies Morning Report 28 - July - 2011

The pair is back to trade inside the correctional channel shown in the image below, while Stochastic puts negative pressure on price
eur28_07_2011.gif


These factors could add more bearish causing bearish trend in the coming period, while EMA50 is acting as a good support that forces us to stay neutral today to monitor the next trading to watch the price behavior with the 1.4455 and 1.4315 level.

Main supports to watch: 1.4315, 1.4235, 1.4155 , 1.4100
Main Resistances to watch: 1.4400 , 1.4455 ,  1.4500 , 1.4575, 1.4640 , 1.4700

I’ll stay a side today



USDJPY

jpy28_07_2011.gif


The pair touched the waited retest level shown in the image above, while stochastic provides positive signs that add strength to the support level that goes lower to 77.55 now. In general, the pressure that EMA50 puts beside the stability below the main broken support level of 79.65 encourage us to expect continuation of the bearish bias. Next targets located at 77.00 then 76.60

Main supports to watch: 77.65 , 77.20 , 77.00 , 76.50
Main Resistances to watch: 78.50 , 78.90, 79.65 , 80.00 , 80.50 , 81.00

I’ll stay short on this pair 



USDCHF

chf28_07_2011.gif


Trading continue in tight range after the break of the critical 0.8070 support level, mean while, the psychological level 0.8000 prevented the price of making more downside actions. The ideal trading inside the main downside channel shown above beside EMA50 are technical factors that make the bearish trend preferred, towards 0.7900 followed by 0.7850. Holding below 0.8070 is important to keep this scenario valid.

Main supports to watch: 0.8000 , 0.7960 , 0.7900 , 0.7850
Main Resistances to watch: 0.8070, 0.8100, 0.8150, 0.8205 , 0.8285 , 0.8325 , 0.8400

I’ll stay short on this pair too




USDCAD

cad28_07_2011.gif


The pair rallied to the upside touching the main resistance level of the downside channel, while EMA50 protects the bearish bias. Stochastic shows overbought signs, and this encourages us to keep our bearish expectations for today. Targets located at 0.9300, while holding below 0.9490 is highly required to keep our expectations intact.

Main supports to watch: 0.9400 , 0.9350 , 0.9300 , 0.9260
Main Resistances to watch: 0.9495, 0.9530, 0.9560, 0.9625 , 0.9700 , 0.9770 

I’ll go short on this pair today


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