AUDUSD’s fall from 0.9404 extended to as low as 0.8946 level last week. Range trading between 89.16 and 0.9404 is expected in next several day. As long as 0.8916 support holds, the price action in the trading range is treated as consolidation of uptrend from 0.7703 (July 13 low), and one more rise towards 0.9500 is still possible after consolidation. However, below 0.8916 will indicate that the uptrend from 0.7703 has completed at 0.9404, then the following downtrend could take price to 0.8500 zone.
Archive for November, 2009
GBPUSD breaks below the support of the lower border of the price channel on 4-hour chart, suggesting that the uptrend from 1.5708 (Oct 13 low) has completed at 1.6875 already and another fall towards 1.6300-1.6350 area is on the way. Initial resistance is at 1.6535, as long as this level holds, downtrend from 1.6745 will continue. Key resistance is now located at the falling trend line from 1.6875 to 1.6745, only rise above the trend line resistance could take price back to upwards trend.
GBPUSD broke above 1.6647 resistance, suggesting that a short term cycle bottom has been formed at 1.6460 level on 4-hour chart. Another rise towards 1.6875 could be seen in a couple of days. Initial support is at 1.6635 as long as this level holds, uptrend from 1.6460 is expected to continue. Key support is located at the lower border of the rising price channel, only fall below the channel support could take price back to 1.6300-1.6350 area.
After breaking above the falling trend line on 4-hour chart, EURUSD traded in a narrow range between 1.4888 and 1.4999. A break above 1.4999 will confirm the the rise from 1.4801 is resumption of longer term uptrend from 1.3748 (June 16 low), then another rise towards 1.5200 is expected to follow. Support level is at 1.4888 followed by 1.4801, only fall below these levels could indicate that the pair remains in a larger trading range between 1.4626 and 1.5062 and lengthier consolidation in the range is expected to follow.
After a sharp drop from 1.6875, GBPUSD rebounded from 1.6460 level. However, the rise could possibly be consolidation of downtrend, another fall to 1.6300-1.6350 area is still possible after consolidation. Resistance is now at 1.6670 followed by 1.6720, only rise above these levels will indicate that the uptrend from 1.5708 has resumed, then another rise towards 1.6950-1.700 area could be seen to follow.
USDJPY stays in a falling price channel on 4-hour chart and remains in downward trend. Deeper decline towards 88.01 previous low is still possible later today, however, rebound is expected before breaking below this level. Initial resistance is at 89.15 followed by 89.55, key resistance is at the upper border of the price channel, a clear break above the channel resistance will suggest that the downtrend from 92.32 has completed, then the following uptrend could bring price back to 91.00 or even 92.00.
USDJPY remains in downtrend from 92.32 and the fall extended further to as low as 88.64 level. Deeper decline is still possible later today. Rebound would more likely be seen before breaking below 88.01 previous low. Support and resistance are located at the borders of the falling price channel. A clear break above the channel resistance will indicate that the downward trend from 92.32 has completed, then the following uptrend could bring price back to 91.00 or even 92.00.
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