Short Term Analysis – November 8, 2006

EURUSD

20061108_eurusd_1.gifEURUSD rose above 1.2797 and failed to test the resistance at 1.2829 (the day high of September 22), and a pullback towards the previous low support at 1.2677 can be expected in the next couple of days. Near term resistance is at 1.2818, a break above this level may signal the resumption of the up trend.

USDCHF

20061108_usdchf_1.gifUSDCHF topped at 1.2578 on 4 hours chart, it would form a sideways consolidation in a range between 1.2405 and 1.2578 in the next several days. Near term support is at 1.2437, a break below this level may signal the resumption of the down trend.

GBPUSD

20061108_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.

USDJPY

20061108_usdjpy_1.gifUSDJPY topped at 118.44 on 4 hours chart, it would form a sideways consolidation in a range between 116.57 and 118.44 in the next several days. Near term support is at 117.24 and follow by 116.57, a break below 116.57 level may signal the resumption of the down trend.

USDCAD

20061108_usdcad_1.gifUSDCAD is in correction to the up trend, and further fall below 1.1254 to reach the next cycle bottom can be seen in the next several days. Near term support is at 1.1254 and follow by the up trend line, drawing from 1.1085 (the day low of September 28) and 1.1176 (the day low of October 30).

AUDUSD

20061108_audusd_1.gifAUDUSD failed to test the previous high resistance at 0.7766, and further fall below 0.7669 previous low can be expected in the next several days. Near term resistance is at 0.7766, only break above this level may signal the resumption of the up trend.