Daily Forex Analysis – January 9, 2009

USDCHF Analysis.
USDCHF formed a short term cycle top at 1.1277 level on 4-hour chart. Deeper decline is still possible to retest 1.0366 previous low support. Initial resistance is located at 1.1082 followed by 1.1277, only rise above 1.1277 level will signal further rally towards 1.1500 zone.

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EURUSD Analysis.
EURUSD is in downtrend, and the rebound from 1.3313 is more likely consolidation of downtrend. Deeper decline is possible to 1.3100 zone after consolidation. Initial support is now at 1.3533, a break below this level will indicate that the consolidation from 1.3313 has completed.

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USDJPY Analysis.
USDJPY formed a short term cycle top at 94.61 level on 4-hour chart. Further fall is still possible to test 89.72 support in next several days. Initial resistance is located at 92.20, only rise above this level will signal consolidation of downtrend.

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AUDUSD Analysis.
AUDUSD rebounds from 0.6957 and is forming a short term cycle bottom on 4-hour chart. Further rise is expected to retest 0.7267 previous high resistance in next several days. Initial support is at 0.6957, only fall below this level will signal deeper decline towards 0.6800.

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USDCAD Analysis.
USDCAD pulls back sharply from 1.2070, suggesting that a short term cycle top has been formed. Deeper decline is now in favor, first target would be at 1.1600, however, a break below 1.1761 is needed to confirm the resumption of downtrend.

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GBPUSD Analysis.
GBPUSD is in uptrend. Further rise is still possible to test 1.5722 previous high resistance. Initial support is at the rising price channel and followed by 1.4983, as long as this level holds, we’d expect uptrend to continue.

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