Daily Forex Analysis – February 20, 2013

EURUSD Analysis.
EURUSD breaks above the downward trend line on 4-hour chart, suggesting that a cycle bottom is being formed at 1.3306 on 4-hour chart, and lengthier consolidation of the downtrend from 1.3711 is underway. Further rally could be expected and the target would be at 1.3475 area. Key resistance is at 1.3519, as long as this level holds, one more fall towards 1.3100 is still possible, only break above 1.3519 could signal completion of the downtrend.


USDJPY Analysis.
USDJPY continues its sideways movement in  range between 92.17 and 94.43. Support is at 92.17, as long as this level holds, the sideways movement could be treated as consolidation of the uptrend from 79.07 (Nov 9, 2012 low), one more rise to 96.00 area is still possible. On the downside, a breakdown below 92.17 will indicate that lengthier consolidation of the uptrend is underway, then pullback to 91.00 area could be seen.


GBPUSD Analysis.
GBPUSD’s downward movement from 1.5843 extends to as low as1.5414. Resistance is at 1.5550, as long as this level holds, the downtrend could be expected to continue, and next target would be at 1.5350 area, only break above 1.5550 could signal completion of the downtrend.


AUDUSD Analysis.
AUDUSD is facing 1.0373 key resistance, a break above this level will indicate that the downtrend from 1.0597 had completed at 1.0226 already, then the following upward movement could bring price to 1.0700 zone. However, as long as 1.0373 resistance holds, the price action from 1.0226 would possibly be consolidation of the downtrend, and one more fall to 1.0200 area is still possible.


USDCHF Analysis.
USDCHF remains in uptrend from 0.9021, the fall from 0.9257 is likely consolidation of the uptrend. Another rise could be expected after consolidation, and next target would be at 0.9300 area. Initial support is at the lower line of the price channel on 4-hour chart, and the key support is at 0.9150, only break below this level could signal completion of the uptrend.


USDCAD Analysis.
USDCAD breaks above 1.0100 previous high resistance, suggesting that the uptrend from 0.9815 has resumed. Further rise could be seen over the next several days, and next target would be at 1.0160 area. Support is at 1.0080, as long as this level holds, the uptrend will continue.