Daily Forex Analysis – March 20, 2012

GBPUSD Analysis.
GBPUSD’s rise from 1.5602 extends to as high as 1.5913. Further rise to test 1.5991 previous high resistance would likely be seen later today, a break above this level will signal resumption of the uptrend from 1.5236 (Jan 13 low), then next target would be at 1.6100 area. On the downside, as long as 1.5991 key resistance holds, the rise from 1.5602 could be treated as correction of the downtrend from 1.5991, another fall towards 1.5000 is still possible.


AUDUSD Analysis.
AUDUSD’s rise from 1.0421 extends to as high as 1.0636. Further rise to test 1.0668 resistance is possible, as long as this level holds, the price action from 1.0507 could be treated as consolidation of the downtrend from 1.0855, and another fall toward 1.0200 could expected. On the upside, a break above 1.0668 will suggest that the fall from 1.0855 has completed at 1.0421 already, then the following upward movement could bring price to test 1.0855 previous high resistance.


USDJPY Analysis.
USDJPY breaks below the upward trend line on 4-hour chart, suggesting that lengthier consolidation of the uptrend from 76.02 is underway. Range trading between 82.50 and 84.17 is expected in a couple of days. As long as 82.50 support holds, uptrend could be expected to resume, and another rise towards 85.00 is still possible.


USDCAD Analysis.
USDCAD’s fall from 1.0028 extends to as low as 0.9859. Further fall to test 0.9841 previous low support is possible later today, a breakdown below this level could signal resumption of the downtrend from 1.0422 (Dec 14, 2011 high), then next target would be at 0.9700-0.9800 area.


USDCHF Analysis.
USDCHF continues its downward movement from 0.9333, and the fall extends to as low as 0.9092. Further decline is still possible later today, and next target would be at 0.9000-0.9050 area. Resistance is at 0.9180, only break above this level could signal completion of the downward movement.


EURUSD Analysis.
EURUSD breaks above the downward price channel on 4-hour chart, and reaches as high as 1.3264. Further rise to test 1.3290 resistance would likely be seen later today, a break above this level could trigger another rise towards 1.3486 previous high.