FX Thoughts for the Day
Kshitij Consultancy Service Team from Kshitij Consultancy Service at 12/31/09
USD-CHF @ 1.0293/97...Support at 1.0290
R: 1.0350 / 1.0395 / 1.0430
S: 1.0290 / 1.0220-00 / 1.0150-30
Swiss has fallen during the day and tested the Support at 1.0290. It has risen slightly from the low of 1.0284 and is now trading just above Support at 1.0290. If this Support continue to hold, we might see a rise towards 1.0350-80. We expect the Resistance at 1.0395 to hold in the US session today. On the other hand a strong break below 1.0290 might pull it down towards 1.0220-00 on the downside.
GBP-USD @ 1.6196/99...Max High at 1.6231
R: 1.6178-80 / 1.6231 / 1.6270
S: 1.6072-69 / 1.6027 / 1.5995-70
The Cable has risen during the day towards 1.62 mentioned in the morning. It is likely to move come down a little having risen from a level of 1.5833 over the last two days. We believe we might have to allow for 1.63 before the pair comes down. As mentioned in the morning that the surge has been accompanied with thin volumes and hence the bearish view is not completely negated. On the downside, the target would still be the 55-week MA which is at 1.5639 today. Once there the chances of a double top on the weekly will have to be assessed. For today, the Projected Max High and Low for the day is at 1.6231 and 1.5970 respectively.
AUD-USD @ 0.8997/0.9000...Might rise further
R: 0.9030 / 0.9060-75 / 0.9120
S: 0.8950 / 0.8901 / 0.8861
Aussie is continuing to trade higher. As mentioned earlier, we might see a rise towards 0.9030 in the US session today. A strong break and a further upmove above 0.9030 might see 0.9120 on the upside. A the pair is not showing much strength on the downside, we expect it to continue to trade above 0.8900. Remember the 100-DMA (0.8901) and the 61.8% Fibonacci Fan line (0.8861) are the significant Support levels seen on the downside.
Happy Trading!
