Daily Forex Analysis – May 10, 2013

USDCAD Analysis.
USDCAD remains in downtrend from 1.0293, the price action from 1.0051 is likely consolidation of the downtrend. Resistance is now located at the upper line of the price channel on 4-hour chart, as long as the channel resistance holds, the downtrend could be expected to resume, and another fall towards 1.0000 is possible. On the upside, a clear break above the channel resistance will suggest that the downward movement from 1.0293 had completed at 1.0013 already, then further rally to 1.0200 area could be seen.


GBPUSD Analysis.
GBPUSD’s fall from 1.5605 extends to as low as 1.5426. Key support remains at the upward trend line from 1.4831 to 1.5034, as long as the trend line support holds, the fall could be treated as consolidation of the uptrend from 1.4831 (Mar 12 low), another rise towards 1.5800 is still possible after consolidation, and a break above 1.5605 could signal resumption of the uptrend, only a clear break below the trend line support could indicate that the uptrend is complete.


USDJPY Analysis.
After consolidation, USDJPY breaks above 99.94 resistance and reaches as high as 101.19, suggesting that the uptrend from 77.14 (Sep 13, 2012 low) has resumed. Further rise is still possible and next target would be at 102.50 area.


EURUSD Analysis.
EURUSD moves sideways in a range between 1.2955 and 1.3242. Lengthier consolidation in the range would likely be seen in a couple of days. As long as 1.2955 support holds, we’d expect the uptrend from 1.2747 to resume, a break above 1.3242 could trigger another rise towards 1.3500.


USDCHF Analysis.
USDCHF continues its upward movement from 0.9247, and the rise extends to as high as 0.9507. Support is now located at he upward trend line on 4-hour chart, as long as the trend line support holds, the uptrend could be expected to continue, and next target would be at 0.9550 area.


AUDUSD Analysis.
AUDUSD’s downward movement from 1.0384 extends to as low as 1.0046. Further decline is still possible after a minor consolidation, and next target would be at 1.0000 area. Resistance is at 1.0165, only break above this level could signal completion of the downtrend.