Short Term Analysis – March 19, 2007

EURUSD

Up trend of EURUSD extended to as high as 1.3338 last week. The next cycle top on 4 hours chart is nearing now, and a sideways consolidation can be expected before breaking above 1.3364 (the day high of Dec 8, 2006). Near term support is at the up trend line, from 1.3086 to 1.3193, now at 1.3238 level.

USDCHF

Down trend of USDCHF extended to as low as 1.2029, further fall towards 1.2000 is still possible later today. Near term resistance is at the down trend line, as long as the trend line resistance holds, down trend will continue.

AUDUSD

AUDUSD is in up trend and further rise above 0.7977 (the day high of Jan 3) is still possible in the next several day after a slightly consolidation. Near term support is at the up trend line from 0.7680 to 0.7798, only break below the trend line support may signal the reversal to the up trend.

USDJPY

No changed in our view, USDJPY is in correction to the up trend and is bottoming at 115.75 on 4 hours chart, key resistance is now at 117.77, and a break above this level will confirm the cycle bottom. Key support is at 115.75, only break below this level may signal the resumption of the down trend.