FX Thoughts for the Day
Kshitij Consultancy Service Team from Kshitij Consultancy Service at 11/05/09
USD-CHF @ 1.0175/79...Holding Short
R: 1.0185-0200 / 1.0230-50 / 1.0285
S: 1.0150 / 1.0100-0080 / 1.0050
The Resistance region 1.0185-0200 mentioned in the morning held during the day as expected. As any sharp move on either side was not seen during the day, our view remains the same on the pair. We expect the Resistance region (1.0185-0200) to hold in the US session also and the overall downtrend to continue. However, a break above 1.0200 might see a rise towards 1.0230-50.
On the downside a break below the immediate Support at 1.0150 might pull it down towards 1.0100-1.0080
Holding:
USD 10K Short at 1.0260, TSL 1.0220 (down from 1.0225), TP Open
As soon as the market trades 1.0140 bring TSL down to 1.0200
GBP-USD @ 1.6528/32...BoE meeting ahead
R: 1.6642-83 / 1.6751
S: 1.6473 / 1.6439 / 1.6389
Cable has fallen towards 1.6464 during the day and has been trading between 1.6464-1.6564 over the last few hours. The interest rate announcement is scheduled in the next few minutes. Any negative surprise might bring the pair down towards the Projected Max Low for the day at 1.6389 and until then, the bullishness is intact. Else, a fall towards 1.62 over the next few days may as well be seen. Positive surprise is likely to take the pair towards 1.6642. A comprehensive break of 1.6642 may take it up towards 1.6750 over the next few days.
AUD-USD @ 0.9068/72...Support in the region 0.9000-0.8980
R: 0.9090-0.9100 / 0.9134 / 0.9200
S: 0.9000-0.8980 / 0.8930 / 0.8870
After continuing to trade lower and recording a low of 0.9025, Aussie has risen during the day, thereby keeping the bullish sentiment alive. As mentioned earlier Support is seen in the region 0.9000-0.8980 which we expect to hold in the US session today. However, a break below 0.8980 might pull it down towards the significant Trendline Support seen at 0.8930. To see the Trendline Support on the AUD-USD graph click on the following link:
http://www.kshitij.com/graphgallery/audcandle.shtml#candle
On the upside the 21-DMA (currently at 0.9134) is the significant Resistance to be watched for, a break above which might see a rise towards 0.9200-20 in the coming sessions.
Limit Buy Order:
Buy AUD 10K at 0.8990, SL 0.8910, TP Open
Happy Trading!
