EUR: Possibly attempt longs at 1.4295; stop below 1.4200

Nicole Elliott from Mizuho Corporate Bank at 01/06/10

Comment: Little to add as we struggle to try and form an interim base. The Euro is no longer oversold and momentum has yet to turn bullish, so room for a variety of different views.

Strategy: Possibly attempt longs at 1.4295; stop below 1.4200. Short term target 1.4450.

Comment: Dropping suddenly towards the bottom of the daily Ichimoku ‘cloud’. Expect it to hold above here, and the 26-day moving average at 130.93, this morning and maybe all day. Then down again later this week.

Strategy: Attempt small shorts at 131.75; stop above 132.85. Short term target 131.00, then 130.00.

Comment: Struggling below a decent-sized daily Ichimoku ‘cloud’. This could continue for some time.

Strategy: Possibly attempt small longs at 1.6000; stop below 1.5800. First target 1.6200 then 1.6400.

Comment: Retreating from Fibonacci retracement and medium term trendline resistance, closing clearly below the 9-day moving average for the first time since late November. The lagging Span did find support from the Ichimoku ‘cloud’ but later this week we favour a slow drift lower.

Strategy: Attempt shorts at 92.10; stop above 92.55. Short term target 91.25/91.00, then 90.00.