Currency Majors Technical Perspective

Valeria Bednarik from FXstreet.com Independent Analyst Team at 11/02/09

 

EUR/USD Current price: 1.4774


Pair is trapped between 1.4700/1.4800,  still not clear in the hourly chart, as candles keep printing higher highs, yet indicators had turned down suggesting not enough upside strength. 20 SMA under current price remains flat, while bigger time frames also failed to give clear definitions. U.S. data and consequent stocks reaction could define today’s trend.

Support levels: 1.4740 1.4710 1.4680 

Resistance levels: 1.4780 1.4810 1.4840

GBP/USD Current price: 1.6367


Still under pressure, pair is consolidating close to daily lows; well under 20 SMA with a strong bearish slope, indicators point for some upside correction before next down leg, expected to remain limited do to negative sentiment. Break under 1.6430 will likely trigger downside momentum, as bigger time frames support the bias

Support levels:  1.6340 1.6290 1.6250

Resistance levels:  1.6410 1.6440 1.6485

USD/JPY Current price: 89.98


Holding just under the 90.00 level, pair found dynamic resistance today at the 20 SMA in the hourly chart that remains strongly bearish. With slightly bullish indicators at this point, we need a confirmation above 90.30 today’s high, to revert current downside trend. Bigger time frames support some upside movements, yet pair likely follow stocks/sentiment than technicals as usual.

Support levels:  89.80 89.50 89.15

Resistance levels:  90.05 90.35 90.70

USD/CHF Current price: 1.0217


The 1.0200 level continues acting as a barrier to the downside; hourly indicators gave no clear clues as remain to flat, yet had turned slightly bullish after failure to break mentioned zone. 20 SMA however, has lost the bullish slope and is slowly changing to the downside above current price. Bigger time frames support the bearish bias, watch for an acceleration at the key level.

Support levels: 1.0200 1.0165 1.0130

Resistance levels: 1.0235 1.0285 1.0320