Fundamental

Technical

Futures

Central Banks

Forex Brokers

Trading Tools

More Tools

 

Cross Rates

By:   Crown Forex
  • 10-10-2008
0
votes
 
View Comments (0)
Previous Analysis | Next Analysis
Text Size
Print
Email
Add a Comment

EUR/JPY

Risk filled the markets yesterday resulting in a major sell off of the Euro against the Yen as it was able to breach and close below the key support for the long term descending channel at 135.00. Today, the support has now become the resistance at about the 134.30s levels and we see so far several failed attempts of break this mentioned level. The pair is need of an upside correction as seen on the stochastic and RSI indicators yet mixed signals from direction indicators could suggest high volatility with slight potential to further downside movements.

Support 133.06 132.87 132.60 132.34 132.05
Resistance 133.81 134.18 134.43 134.75 135.03
Recommendation ...

GBP/JPY

The confirmation of the breach of the 74.6% correction for the long term upside channel at 174.59 has sent the pair to trade currently at the 166.70 levels as it faces a support level at 166.56. The unwinding of carry trades has added downside pressures to the Pound and it seems like it still has the potential to extend its losses to 165 before reaching the next medium to long term target at the 160 levels as it is supported by the ADX indicator. However, momentum indicators show the pair trading in an oversold area.

Support 165.84 165.40 165.04 164.60 164.11
Resistance 167.14 167.65 168.15 168.72 169.23
Recommendation ...

EUR/GBP

As the pound faces more downside pressures than the Euro, this helped send the EUR/GBP pair higher as it couldn't breach the resistance level at 0.8045 sending it back down to the 0.8020s as the current resistance level has now become 0.8033. On the daily and four hour charts, momentum indicators show the pair being overbought and as the ADX indicator is supporting the downside direction, we expect a downside correction that could take the pair down to 0.7990 – 0.8000 to gather momentum and breach the mentioned resistance level.

Support 0.8006 0.7991 0.7978 0.7963 0.7951
Resistance 0.8033 0.8045 0.8053 0.8067 0.8076
Recommendation ..

Share:
Digg
Del.icio.us
Next Analysis: Deltastock Daily Forex Analysis
Content Provided by:
Crown Forex
CROWN FOREX SA, located at St-Hubert 38, 2854 Bassecourt, P.o.box 247, Switzerland, is fully regulated as a financial intermediary under Swiss federal law on the prevention of money laundering (LBA, MLA). Our company is also affiliated with the ARIF association, thus overseen by the Swiss federal de

DISCLAIMER:

The above may contain information for investors/traders and is not a recommendation to buy or sell currencies, gold, silver & energies, nor an offer to buy or sell currencies, gold, silver & energies. The information provided is obtained from sources deemed reliable but is not guaranteed as to accuracy or completeness.  I am not liable for any losses or damages, monetary or otherwise that result.  I recommend that anyone trading currencies, gold, silver &energies should do so with caution and consult with a broker before doing so.  Prior performance may not be indicative of future performance. Currencies, gold, silver &energies  presented should be considered speculative with a high degree of volatility and risk


Comments
Add a Comment
Please Login to Post a Comment
User Email:
Password:
  Remember Me Register For Free
  Forgot Password | Help
Become a member and get 6 free Forex courses by OTA!

 
  • Webinar
 
  • Charts
 

 
  • Survey

How much are you willing to deposit with a fund manager?

0-$1000
$1000-$5000
$5000-$10,000
$10,000-$50,000
$50,000+

 
ForexPros.com Newsletter
 

 
 

Special Offers: