USDJPY traded in a narrow range between 90.72 and 92.40. As long as 90.72 support holds, we’d expect uptrend to resume, and further rally could be seen to test 94.61 (Jan 6 high) resistance. A break above this level will indicate that the fall from 110.66 (Aug 8, 2008 high) has completed, and the following medium term uptrend will take price to 102.00 area. However, below 90.72 level will signify that a short term cycle top has been formed at 92.40 level on 4-hour chart, and then lengthier consolidation of the short term uptrend could be seen to follow.
No changed in our view, USDCHF remains in short term uptrend. The pullback from 1.1742 is treated as consolidation of the uptrend. Sideways consolidation in a range between 1.1399 and 1.1742 could be seen in a couple of days. Near term support is at 1.1399 and key support is at 1.1313. As long as 1.1399 support holds, we’d expect uptrend to resume, and further rally is expected to 1.2000 zone in next several days. Only fall below 1.1313 will indicate that the medium term uptrend from 1.0366 (Dec 29,2008 low) has completed.
EURUSD breaks above 1.3069 previous high resistance, suggesting that lengthier correction of the medium downtrend from 1.4719 (Dec 18 high) is underway, and further rally is possible to test 1.3329 resistance. As long as 1.3329 level holds, we’d expect sideways consolidation in a range between 1.2706 and 1.3329 to continue.
USDCAD is in short term downtrend. Further fall to test 1.2024 support could be seen in a couple of days. A break down below this level will signal deeper decline to 1.1800-1.1850 area. Initial resistance is now at 1.2297, as long as this level holds, downtrend will continue.
AUDUSD is now in short term uptrend. Further rise is still possible to 0.7000 zone in a couple of days. Initial support is located at 0.6700, and key support is at 0.6627, only fall below 0.6627 will indicate that a short term cycle top on 4-hour chart has been formed, and then pullback could be seen to 0.6500 level.
GBPUSD remains in short term uptrend and the rise from 1.3503 extends to 1.4985 level. Further rise is still possible to 1.5200 zone in a couple of days. Initial support is now at 1.4702, as long as this level holds, we’d expect the short term uptrend to continue.