Wednesday, January 25, 2012

Forex Pairs to observe

Pairs to observe.

I hope you had a chance to take advantage of the weekly analysis most pairs, if not all, reacted as anticipated. We are currently in 5 trades, long on aud.usd, nzd.usd, eur.usd aud.jpy and aud.cad. These are the other pairs we are currently waiting for.

Eur.Jpy and Chf.Jpy
Both pairs are in a nice uptrend, currently retracing back to support levels. Eur.Jpy is expected to find some support around 100.50 area before continuing north. Seeing how aggressive this market rallied this week it is quite possible to see a continuation of the trend before the bears hit 100.50 area. The D extension of the current fib swing is 102.36, so be very cautious in holding your position at this level. Chf.Jpy is currently retracing back towards 83.00 area where it probably will find some support and if it holds I anticipate a nice rally upwards. Just like its euro counterpart against the yen, it is quite possible to see this pair continuing further north with a smaller retracement. Keep in mind the D target of this pair is 84.73.
Nzd.Jpy and Cad.Jpy

The weakening of the yen across the board resulted in similar market patterns across different pairs. These two are a great example. Just like the euro and the Swiss, The Nzd and the Cad enjoyed a nice rally north in the last little while. Nzd.Jpy is currently retracing to meet support around 62.50 area, if support holds I anticipate a nice rally up towards the fib target of 63.60’s area. Cad.Jpy is mirroring the Nzd in its moves and is currently heading to support levels at 76.50’s area. The D target of this pair is 77.60.

1 comment:

  1. AvaTrade is the #1 forex broker for newbie and professional traders.