Daily Forex Analysis – May 12, 2010

USDCHF Analysis.
USDCHF remains in uptrend from 1.0434 and the price action from 1.1245 is more likely consolidation of uptrend. Support is at the rising trend line on 4-hour chart, as long as the trend line support holds, another rise to 1.1400 is still possible after consolidation and a break above 1.1245 could signal resumption of uptrend, only a clear break below the trend line support could suggest that the upward movement from 1.0434 has completed.


EURUSD Analysis.
EURUSD formed a cycle top at 1.3093 on 4-hour chart and the fall from 1.3093 could possibly be resumption of downtrend from 1.3691. Deeper decline to test 1.2526 previous low support is possible later today, a breakdown below this level could trigger another fall towards 1.2329 (Oct 28, 2008 low).


AUDUSD Analysis.
AUDUSD’s bounce from 0.8715 extends to 0.9077 and the pullback from 0.9077 suggests that a cycle top is being formed on 4-hour chart. Range trading between 0.8850 and 0.9077 would more likely be seen in a couple of days. However, the price action from 0.9077 is more likely consolidation of uptrend from 0.9715, another rise to 0.9200-0.9250 is still possible after consolidation.


USDCAD Analysis.
USDCAD’s bearish movement extends to as low as 1.0148. Consolidation of downtrend is needed and rebound to 1.0350-1.0400 area would more likely be seen. Near term resistance levels are at 1.0230 and 1.0300.


GBPUSD Analysis.
GBPUSD might be forming a cycle top at 1.5053 level on 4-hour chart. Another fall towards 1.4475 previous low is possible, a breakdown below this level will trigger another fall to 1.4000 area. However, above 1.5053 could take price back to uptrend from 1.4475, then another rise could be seen to 1.5200 or even 1.5300.


USDJPY Analysis.
USDJPY is in uptrend from 88.25 and the fall from 93.53 is treated as correction of uptrend. Range trading between 91.00 and 93.53 would more likely be seen in a couple of days. Resistance is located at 93.53, a break above this level could indicate that the uptrend has resumed, then next target would be at 94.50 area.


For long term forex analysis.

Get Your Free Elliott Wave Tutorial Now!

See also:
Forex Articles
Powerful Profit System
Automate Your Trading Profits
Boost your Profit to Extreme