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Major Currencies Morning Report 29-April-2011

The tight range trading yesterday provided Stochastic with upside momentum as seen over four-hour basis after going towards 23.6% Fibonacci correction shown below.


EUR

Those factors alongside trading within the minor ascending channel support an intraday upside move targeting 1.5000 and  stability should be above 1.4750.

The trading range for today is among the major support at 1.4700 and the major resistance at 1.5150.

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


Support 1.4795 1.4750 1.4700 1.4630 1.4600

Resistance 1.4850 1.4900 1.4995 1.5050 1.5100

Recommendation Based on the charts and explanations above we recommend buying the pair around 1.4795 targeting 1.4995 and stop loss below 1.4700 might be appropriate

Previous

Great British Pound (GBP)


GBP

The pair declined approaching 23.6% Fibonacci correction for the last upside wave shown above, while Stochastic unloaded the negativity seen yesterday. Therefore, we expect the intraday bullishness to prevail today towards targets at 1.6850 and require stability above 1.6610.

The trading range for today is among the major support at 1.6525 and the major resistance at 1.6910.

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


Support 1.6610 1.6525 1.6505 1.6455 1.6385

Resistance 1.6675 1.6700 1.6745 1.6800 1.6850

Recommendation Based on the charts and explanations above our opinion is buying the pair around 1.6610 targeting 1.6745 and stop loss below 1.6525 might be appropriate
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Japanese Yen (JPY)


JPY

The pair is moving towards the retest mentioned in our previous reports at 81.00 accompanied by Stochastic trading within oversold areas. Therefore, we expect an intraday bullish movetoday targeting 82.50 then 83.50 and require stability above the aforementioned retest area.

The trading range for today is among the major support at 80.25 and the major resistance at 83.50.

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


Support 81.50 81.00 80.75 80.20 80.00

Resistance 82.25 82.55 83.00 83.50 83.90

Recommendation Based on the charts and explanations above our opinion is buying the pair around 81.00 targeting 82.55 and stop loss below 80.25 might be appropriate
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Swiss Franc (CHF)


CHF

Over four-hour basis, the minor support halted the current downside and pushing the pair for an upside correction. This trading carried Stochastic into overbought areas. Therefore, we expect the pair to resume the intraday bearishness today pressured by the SMA 50. This downside move requires the clear breach of 0.8700 and stability below 0.8795.

The trading range for today is among the major support at 0.8500 and the major resistance at 0.8900.

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


Support 0.8700 0.8670 0.8600 0.8545 0.8500

Resistance 0.8745 0.8795 0.8820 0.8900 0.8950

Recommendation Based on the charts and explanations above our opinion is selling the pair with hourly closing below 0.8700 targeting 0.8545 and stop loss above 0.8795 might be appropriate

Previous

Canadian Dollar (CAD)


CAD

We have signs of a rising wedge confining the intraday move for the pair. This pattern signals that the pair is about to resume the intraday bearishness expected for today. The downside move requires first the clear breach for the pattern’s support at 0.9505 and then the support for the sideways channel at 0.9465. Breaching 0.9555 will extend the upside correction towards 0.9615-0.9665.

The trading range for today is among the major support at 0.9300 and the major resistance at 0.9665.

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


Support 0.9505 0.9465 0.9400 0.9350 0.9300

Resistance 0.9515 0.9555 0.9615 0.9665 0.9700

Recommendation Based on the charts and explanations above our opinion is selling the pair with hourly closing below 0.9465 targeting 0.9300 and stop loss above 0.9555 might be appropriate

Previous



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