Daily Forex Analysis – July 30, 2010

USDJPY Analysis.
USDJPY formed a cycle top at 88.11 level on 4-hour chart. Now the fall from 88.11 is treated as resumption of downtrend from 92.88 (Jun 4 high). Further fall towards 84.82 (2009 low) is expected in next several days. Key resistance is at 88.11, only rise above this level could indicate that lengthier consolidation of downtrend is underway.

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USDCHF Analysis.
USDCHF failed to break above 1.0675 key resistance and dropped sharply to as low as 1.0374 level. A cycle top had been formed at 1.0639 on 4-hour chart. Further decline could be seen in next several days and next target would be at 1.0200 area.

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EURUSD Analysis.
EURUSD’s uptrend from 1.2732 level extends to as high as 1.3106. Support levels are at 1.3010 and 1.2960, as long as these levels hold, uptrend will continue. On the downside, below 1.2960 will indicate that the rise from 1.2732 is complete, then pullback towards the lower boundary of the price channel could be seen.

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USDCAD Analysis.
USDCAD is forming a cycle bottom at 1.0255 level on 4-hour chart, key resistance is at 1.0394, a break above this level will confirm the cycle bottom, then further rise could be seen to 1.0550 area. Key support is at 1.0255, only break below this level could trigger another fall to 1.0200 area.

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GBPUSD Analysis.
GBPUSD remains in uptrend from 1.5124 and the rise extends to as high as 1.5661 level. Further rise is still possible later today and next target would be at 1.5800 area. Key support is now at 1.5545, a breakdown below this level could indicate that the rise from 1.5124 is complete, then pullback to 1.5400 area could be seen.

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AUDUSD Analysis.
AUDUSD formed a trading range between 0.8905 and 0.9068. As long as 0.8905 support holds, one more rise to 0.9150 is still possible later today. Support is at 0.8970, below this level will suggest lengthier consolidation of uptrend is underway, then pullback to the lower border of the price channel to reach next cycle bottom could be seen.

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