Daily Forex Analysis – September 6, 2010

AUDUSD Analysis.
AUDUSD’s upward movement extended to as high as 0.9175 level. Further rise towards 0.9221 previous high is still possible later today, minor consolidation would more likely be seen before breaking above this level. Support is now at 0.9053, a breakdown below this level will indicate that consolidation of uptrend is underway, then deeper decline could be seen to 0.9000 area.


GBPUSD Analysis.
GBPUSD moved sideways above 1.5326. Resistance remains at the falling trend line on 4-hour chart, as long as the trend line resistance (now at 1.5510) holds, downtrend is expected to continue and one more fall to 1.5200 is still possible. However, a clear break above the trend line resistance will suggest that a cycle bottom is being formed at 1.5326, then further rally could be seen to test 1.5597 key resistance.


USDCAD Analysis.
USDCAD broke below 1.0471 support and the fall from 1.0672 extended to as low as 1.0380. Deeper decline would more likely be seen later today and next target would be at 1.0250 area. Resistance is at the downtrend line from 1.0672 to 1.0568, as long as the trend line resistance holds, downtrend could be expected to continue.


EURUSD Analysis.
EURUSD is facing 1.2921 resistance, a break above this level will confirm that the downtrend from 1.3333 has completed at 1.2587 already, then the following upward movement could bring price to  1.3000-1.3100 area. Key support is at 1.2740, below this level could turn price back to downward movement, then one more fall towards 1.2500 could be seen.


USDCHF Analysis.
No changed in our view, USDCHF stays below the falling trend line from 1.0624 to 1.0450 and remains in downtrend from 1.0624, and the bounce from 1.0064 is treated as consolidation of downtrend. Another fall would more likely be seen after consolidation and next target would be at 1.0000 area.


USDJPY Analysis.
USDJPY traded in a range between 83.62 and 85.89. Lengthier sideways movement in the range would more likely be seen in a couple of days. As long as 85.89 resistance holds, another fall towards 82.00 is still possible, and a breakdown below 83.62 could signal resumption of downtrend.


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