Short Term Analysis – November 7, 2006

USDCHF

20061107_usdchf_1.gifUSDCHF bottomed at 1.2405 on 4 hours chart, and further rise higher to test the resistance of the down trend line, drawing from 1.2768 (the day high of October 13) to 1.2704 (the day high of October 24), is still possible in the next couple of days. Near term support is at 1.2510, a break below this level implies that the pair is topping on 4 hours chart and pullback towards 1.2450 area can be expected.

EURUSD

20061107_eurusd_1.gifEURUSD would form a sideways consolidation in a range between 1.2677 and 1.2797 in the next several days. Near term resistance is at 1.2797, a break above this level may signal the resumption of the up trend.

GBPUSD

20061107_gbpusd_1.gifGBPUSD is in correction to the up trend, and further fall lower to test the support of the up trend line, drawing from 1.8523 (the day low of October 16) and 1.8672 (the day low of October 24), is still possible in the next couple of days. Key resistance is at 1.9135, a break above this level may signal the resumption of the up trend.

USDCAD

20061107_usdcad_1.gifUSDCAD is forming a sideways consolidation in a range between 1.1266 and 1.1372, and up trend will resume after breaking above the key resistance at 1.1372 previous high. Near term support is at 1.1266, only break below this level may delay the resumption of the up trend.

USDJPY

20061107_usdjpy_1.gifUSDJPY is in up trend, and further rise towards 119.00 level is still possible in the next couple of days. Near term support is at 117.70 level, a break below this level implies that the pair is topping on 4 hours chart and pullback towards 117.00 area can be expected.

AUDUSD

20061107_audusd_1.gifThe price channel support is broken below and AUDUSD is in down trend. The rebound from 0.7669 is treated as in correction to the down trend, and further fall below 0.7669 can be expected in the next several days.