Daily Forex Analysis – May 28, 2009

EURUSD Analysis.
EURUSD’s pullback from 1.4050 extends further to as low as 1.3823 level. Deeper decline to test the support of the lower border of the price channel on 4-hour chart is expected in a couple of days. Rebound would more likely be seen after touching the lower border of the channel. However, a clear break below the channel support will take price to 1.3500 zone.

20090528_eurusd_1

USDCHF Analysis.
USDCHF is in consolidation of downtrend from 1.1740. Further rebound toward 1.1000 level is in favor later today. As long as 1.1056 resistance holds, we’d expect downtrend to resume and pullback to re-test 1.0810 support could be seen to follow.

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USDJPY Analysis.
USDJPY’s rebound from 93.85 extends to as high as 95.93 level. Further rise is expected to test 96.69 resistance. Pullback would more likely be seen before breaking above this level. Near term support is at the rising trend line from 93.85 to 94.65, and key support is now at 94.65, a break down below this level will indicate that the rise from 93.85 has completed.

20090528_usdjpy_1

AUDUSD Analysis.
AUDUSD might be forming a short term cycle top at 0.7890 level on 4-hour chart. Deeper decline to test 0.7668 key support is expected later today, and a break down below this level will confirm the cycle top, then further fall could be seen to 0.7500 zone.

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GBPUSD Analysis.
GBPUSD pulls back from 1.6085 level, suggesting that a short term cycle top is being formed. Further pullback to test 1.5777 key support is possible later today. A break below this level will confirm the cycle top and indicate that the uptrend from 1.5059 has completed at 1.6085 already. Then deeper decline could be seen to 1.5500 zone.

20090528_gbpusd_1

USDCAD Analysis.
USDCAD remains in downtrend and the price action from 1.1187 is more likely consolidation of the downtrend. Rebound to test 1.1354 is expected in a couple of days. Pullback would more likely be seen before breaking above this level.

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