Friday, March 23, 2012

Forex pairs to observe-3.22.2012

A lot of good moves in the market today. The yen has been gaining strength over the last little while and I believe this will continue for some time to come. I’m currently bearish on the European countries Vs the Yen (Eur.Jpy, Chf.Jpy & Gbp.Jpy), Commodity dollars Vs. Yen ( Aud.Jpy, Cad.Jpy & Nzd.Jpy) & Commodity dollars Vs Usd (Nzd.Usd, Aud.Usd and bullish on Usd.Cad). I also believe the Euro Vs Commodities (Eur.Aud, Eur.Cad & Eur.Nzd) will continue to rally north for some time to come. Therefore I’ll be anticipating the Yen and the Dollar to rally tomorrow with Commodities dollars being the weakest crosses. At the moment I do want to take a closer look at:

Eur.Usd & Usd.Chf

Eur.Usd failed to remain above resistance levels these couple days and the bears took out a major low today which seriously challenges the bullish momentum we have been seeing on this pair. At the moment the bears are currently after the bottom of the channel around 1.3030. A nice bearish formation might justify a short entry. If the bulls do decide to take charge of this pair they will have to take out that high around 1.3255 area, and if this happens, don’t hesitate to switch from a bear to a bull. Usd.Chf shows the opposite picture with the bulls taking out the previous high today; which is partially why I’m currently bullish on this pair. The bulls are after 0.9227 with a fib target of 0.9240. If the bears do take charge of this pair they will be after the low around 0.9094.


The cable had a nice move down today and went through support with momentum. This pair is currently pushing against resistance levels around 1.5822 and if this area holds I expect a further move down. The bears are currently after the bottom of the channel around 1.5650 where major support levels can be found. However, if resistance levels don’t hold, than I expect this pair to try and break through major resistance levels around 1.5900 once more.

1 comment:

  1. eToro is the most recommended forex trading platform for new and advanced traders.