Daily Forex Analysis – August 7, 2013

AUDUSD Analysis.
AUDUSD stays within a downward price channel on 4-hour chart, and remains in downtrend from 0.9317, the rise from 0.8847 is treated as consolidation of the downtrend. Resistance is at the upper line of the channel, as long as the channel resistance holds, the downtrend could be expected to resume, and further decline to 0.8800 area is still possible. On the upside, a clear break above the channel resistance will indicate that the downward movement from 0.9317 has completed, then the following upward movement could bring price back to 0.9150 – 0.9200 area.


USDCHF Analysis.
USDCHF is testing 0.9228 support, a breakdown below this level will indicate that the downtrend from 0.9751 has resumed, then further decline to 0.9000 area could be seen. On the other side, as long as 0.9228 support holds, consolidation of the downtrend could be expected to continue, and one more rise to 0.9450 area to complete the consolidation is still possible.


USDJPY Analysis.
USDJPY breaks below 97.58 support, suggesting that the downtrend from 101.53 has resumed. Further decline could be expected, and next target would be at 96.00 area. Key resistance is now at the downward trend line on 4-hour chart, only a clear break above the trend line resistance could signal completion of the downtrend.


EURUSD Analysis.
EURUSD stays in a trading range between 1.3189 and 1.3344. As long as 1.3100 key support holds, the price action in the range could be treated as consolidation of the uptrend from 1.2756, and one more rise towards 1.4000 is still possible after consolidation. Resistance is at 1.3344, a break above this level could signal resumption of the uptrend.


USDCAD Analysis.
USDCAD remains in uptrend from 1.0245, the fall from 1.0403 is likely consolidation of the uptrend. Support is at 1.0300, as long as this level holds, the uptrend could be expected to resume, and another rise towards 1.0608 previous high is still possible.


GBPUSD Analysis.
GBPUSD is facing 1.5433 resistance, a break above this level will indicate that the uptrend from 1.4813 has resumed, then further rise towards 1.5600 – 1.5700 area could be seen. Support is now at 1.5240, only break below this level could trigger another fall towards 1.5000.