Daily Forex Analysis – March 16, 2009

AUDUSD Analysis.
AUDUSD remains in short term uptrend from 0.6284. Further rise is still possible to 1.6700 zone later to days. Near term support is now located at the lower border of the price channel on 4-hour chart. Break below the channel support will indicate that a short term cycle top has been formed and then pullback could be seen to 0.6350 zone.

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GBPUSD Analysis.
GBPUSD’s rebound from 1.3654 extends to 1.4070 level. Further rise to 1.4200 zone is still possible in a couple of days. As long as 1.4305 key resistance holds, the rebound is treated as correction of the medium term downtrend from 1.4985 and deeper decline to 1.3550 is possible after correction. However, above 1.4305 will indicate that the fall from 1.4985 has completed at 1.3654 level and the following uptrend will take price to 1.4600 zone.

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USDCHF Analysis.
USDCHF remains in short term uptrend from 1.1430. Further rise to 1.2100 level could be seen after consolidation. Near term support is at 1.1830 and followed by 1.1760, as long as 1.1760 level holds, the uptrend will continue.

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USDJPY Analysis.
USDJPY continues to move sideways between 95.65 and 99.67. Further rebound to test 99.67 would more likely be seen in a couple of days and pullback is expected before breaking above this level. The price action from 99.67 is treated as consolidation of the medium term uptrend from 87.12 (Jan 21 low), further rise to 102.00 is still in favor after consolidation.

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EURUSD Analysis.
EURUSD remains in short term uptrend. Further rise to test 1.2991 key resistance is still possible later today, a break above this level will indicate that the fall from 1.4719 (Dec 18, 2008 high) has completed at 1.2456 level, and the following medium term uptrend will bring price to 1.4000 zone.

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USDCAD Analysis.
USDCAD broke below 1.2709 support and dropped lower to 1.2624 level. Rebound to 1.2950 zone would more likely be seen later today and consolidation in a range between 1.2500 and 1.3063 is expected in next several days.

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