InvestMacro FX

USD/CHF

Daily graph: http://www.real-forex.com/charts-daily/221010/CHF_DAILY_221010.JPG

3 sessions ago, the trend changed its orientation from down to uptrend. During the third day of the increase, the pair crossed a resistance at 0.9734. This breach, in fact, confirmed the new bullish trend and closed the decreases, creating an opportunity for “Long trade”.

The candles being very strong, according to our analyses, there is a high probability that the pair’s current trend will last for several sessions.

The identification of an increasing configuration on one-hour graph could confirm the uptrend for today.

Potential trade

1H graph: http://www.real-forex.com/charts-daily/221010/CHF_1H_221010.JPG

Once the resistance of 0.9681 crossed, the required configuration should be created, and it could be the best moment to order a transaction. Following, our analysts’ transaction:

• “Limit” order on “Long” position 10 pips above the mentioned resistance, meaning 0.9691.
• “Stop Loss” order on the last low occurred: 0.9611
• “Take Profit” order on the next resistance: 0.9724.

USD/JPY

Daily graph: http://www.real-forex.com/charts-daily/221010/JPY_DAILY_221010.JPG

For the last 7 sessions, there is a clear navigation between 80.89 and 81.92. Once the pair will reach one of those two levels, there are two different ways to act:

• Waiting for a vain breach of the level in question (resistance or support). We suggest looking for a price configuration in the opposed direction and ordering “Take Profit” on the next level.
• The pair is stopped on one of the two levels for at least a session and a half: We suggest waiting for a price configuration in the opposed direction, and once identified run with it until the second level (resistance or support).

Have a profitable day!

Real forex team.

AUDUSD’s uptrend from 0.8771 has completed at 0.9998 already. Range trading between 0.9661 and 0.9890 would more likely be seen later today. Support is at 0.9661, a breakdown below this level could trigger another fall to 0.9500 area. Key resistance is at 0.9998, only break above this level could indicate that the uptrend from 0.8771 has resumed, then further rise to 1.0100-1.0200 could be seen.

Daily Forex Signals

By Corporate-Fx.co.uk

We summarise the most important news stories that occurred in the past week in the world of forex. We start with the week commencing 18/10/2010 as the USD drops in value against its counterparts…

On Monday the biggest news story was the fall of the dollar against the yuan and the euro. Early during the week China announced that they will continue to appreciate the yuan at a moderate pace following the IMF summit where currency was high on the agenda. However, as the talks ended in stalemate policymakers will have to rely on the IMF to address trade imbalances and capital outflows. The central bank was also accused of flooding foreign markets with capital by keeping interest rates at record lows.

Tuesday saw the dollar rise marginally against the euro and a basket of other currencies in global forex, supported by investors covering short positions. Traders said automatic sell orders were beginning to accumulate just below the dollar’s current price of around $1.380-35 against the euro. Traders were cautious of selling the dollar ahead of the Federal Reserve announcement in a month’s time. It was expected that a further stimulus would be announced. Forex traders expected the yuan to rise a further 3.6 per cent within the next 12 months, extending the 1.7 per cent gain seen in September.

Then on Wednesday tensions between the world’s two largest economies threatened to deepen after China’s foreign currency holdings surged to new record levels.

Although the size of China’s currency holdings increased at its lowest pace in 11 years in the second quarter of the year, figures for the following three months show a $194 billion increase, taking total reserves to $2.65 trillion. The dollar slumped in global forex trading during the third quarter, flirting with 15-year lows against the yen while the yuan appreciated at a modest pace that has accelerated in recent weeks. Calls for a more rapid appreciation of the yuan were called as more were blaming China for keeping its currency artificially low.

Meanwhile in the UK Andrew Sentence (BOE) suggested interest rates need to be raised incrementally to avoid routinely missing inflation targets. In a speech delivered in London yesterday (October 13th), the Monetary Policy Committee member said that while the central bank must be careful not to curtail growth during this tentative stage of recovery, it should not be seen to tolerate persistently high inflation.

Then on the Friday the pound rose to an eight-month high against the dollar despite remaining close to a six-month low against the euro. The dollar’s broad losses were attributed to Singapore’s decision to widen the trading band of the Singapore dollar, which put selling pressure on the greenback. The Bank of Japan took the decision to buy dollars in a bid to curb the rise in the yen – many other regional economies were preparing to take similar currency action.

The Canadian dollar was also in the news as it hit parity with the USD for the first time in six months. The Canadian dollar gained 2.3 per cent against the US dollar in the last month, while the USD itself has fallen against all 16 major counterparts.

Hard commodities began to gain traction in the US as investors look for alternatives to currency, with gold at an all-time high and crude oil breaking out of recent range trading above $84 a barrel.

Summary provided by Corporate FX. Registered in 2001 and based on Cornhill in the City of London since 2007, Corporate FX are a market leader in supplying commercial forex trading services and hedging strategies including trading Forex Spot.

About the Author

Article by corporate-fx.co.uk

By CountingPips.com

Economic news releases out of the US showed that the Leading Economic Indicators Index (LEI) published by the Conference Board today increased for a third consecutive month in September. The Leading Indicator Index, which measures future economic activity, rose by 0.3 percent in September following increases of 0.1 percent in August and a 0.2 percent in July.

The September LEI advance matched the market forecasts which were expecting a gain of 0.3 percent for the month.

The coincident index, which is viewed as a gauge of the current economic activity, returned a flat reading for a second month in a row while the lagging index rose by 0.4 percent after advancing by 0.1 percent in August.

An economist at the Conference Board, Ataman Ozyildirim commented in the report saying, “The LEI remains on a general upward trend, but it is growing at its slowest pace since the middle of 2009. There isn’t any indication of a relapse into another downturn through the end of the year.”

Philly Fed Business Survey turns positive

The Philadelphia Manufacturing Business Index released today by the Philadelphia Federal Reserve Bank showed that its survey increased in October and turned into positive territory after a negative reading for two straight months. The Philly general business diffusion index rose to 1.0 in October after September’s score of -0.7. A positive score is consider growth in that business sector while a negative score is considered a contraction.

Contributing to the higher level this month were increases in the indexes for new orders, shipments, delivery times, prices paid, average employee workweek and number of employees.

Jobless Claims fall by 23,000

A release by the U.S. Labor Department showed that weekly U.S. jobless claims declined in the week that ended on October 16th. New jobless claims dropped to a total of 452,000 unemployed workers, a decrease over the prior week by 23,000 workers. The 4-week moving average of unemployed workers fell by 4,250 workers from the prior week to a total of 458,000.

Workers seeking continuing claims for unemployment benefits for the week ending October 9th decreased by 9,000 workers to a total of 4,441,000 unemployed workers. The 4-week moving average of continuing claims declined by 23,250 to 4,478,000.

US Dollar rises as Stock Markets positive

The US dollar has been higher in the forex market trading following today’s US economic news while the US stock markets ended the day in positive territory. The dollar has advanced versus the euro, British pound, Japanese yen, Swiss franc, Australian dollar, New Zealand dollar and the Canadian dollar in today’s forex trading action.

The U.S. stock markets, meanwhile, ended today’s session in positive territory with the Dow gaining 38.60 points, the Nasdaq increasing by 2.28 points while the S&P 500 is higher by 2.09 points. The Dow Jones had briefly gained by over 100 points and touched above its highest closing level of the year at 11,205 (April 26 close) in earlier trading before reversing course lower.

In commodities, oil has traded lower by $1.89 to $80.65 while gold has fallen by $18.10 to trading at the $1325.20 per ounce level.

Good day stock market lads! Here’s a technical update on the shares of Hewlett-Packard Company (HP). HP’s shares or HPQ as they are traded in the New York Stock Exchange appear to be bound for a move north after declining to a low of just below $38.00 during the last week of August. After finding some support at the $38.00 level, it then rallied and moved on to form whats appears to be a cup and handle pattern. As some of you might know, such formation usually indicates a likely bullish reversal. Therefore, if and when HPQ is able to make a move past the neckline around $43.00, HP’s shares would more likely hit $48.00 or even $49.00. A failure to break the necline, on the other hand, could send the company’s stocks back to its low at $48.00.

Hewlett-Packard Company, by the way, is a US-based multinational IT corporation. The company specializes in both hardware and software computer development and manufacturing. Its line of products include personal computers and notebooks. In August 6, its CEO, Mark Hurd, resigned from his office amid claim of sexual harassment by actress Jodie Fisher. While he was not found guilty of the said claim, several expense-irregularities were found during the company’s investigation. His resignation then led to a broad-based selling of the stock (represented by the long red candle on August 6).

More on LaidTrades.com …

By FxNewsChina.com

China’s gross domestic product continued to grow at a robust pace in the third quarter of 2010, according to the latest data released by the National Bureau of Statistics. The Chinese GDP increased by 9.6 percent in the third quarter of 2010 from the third quarter of 2009. Despite the rapid GDP growth pace, this is the third straight quarter of decline in the GDP following the 10.3 percent advance in the second quarter and the 11.9 percent growth in the first quarter.

Economic analysts were expecting the GDP numbers to register a 9.5 percent gain for the third quarter.

Sheng Laiyun, the Spokesman for National Bureau of Statistics of China, stated that, “In the first three quarters of 2010, faced with the complicated and volatile domestic and international environment and various grand challenges, under the correct leadership of the Central Party Committee and the State Council, all regions and departments consistently carried out the packages of policies dealing with the impacts of international financial crisis and other policies and measures, and proactively pushed forward the transformation of economic development mode and the adjustment of economic structures.”

“As a result, the good developing momentum of economy was further consolidated, and the national economy kept moving towards the expected direction of macro economic control.”

Government report highlights

• According to the report, China’s GDP grew by 10.6 percent for the first three quarters of 2010 on an annual basis to a total 26,866.0 billion yuan.

• Industrial production in China had growth of 13.5 percent in the third quarter of 2010 following 15.9 percent growth in the second quarter and 19.6 percent growth in the first quarter.

• Chinese retail sales data rose by 18.3 percent through the first three quarters of 2010 on an annual basis to a total of 11,102.9 billion yuan. The data shows that furniture sales decreased by 38.4 percent while motor vehicle sales advanced by 34.9 percent and household appliances and audio video equipment sales rose by 28.1 percent.

• Consumer price inflation, a worry for the Chinese economy, increased by 2.9 percent in the first three quarters of 2010. Food prices were higher by 6.1 percent while tobacco, liquor and articles prices rose by 1.6 percent, health care prices increased by 2.9 percent and housing prices gained by 4.1 percent. Clothing prices fell by 1.1 percent, transportation take medication prices declined by 0.3 percent and household facilities & and maintenance services fell by 0.3 percent.

• Producer prices rose by 5.5 percent on an annual basis while the September annual change was an increase by 4.3 percent. The August to September month on month change was an increase of 0.6 percent.

Read the full report from the National Bureau of Statistics.

About the Author

By FxNewsChina.com

The equities market reversed to the upside Wednesday posting a light volume broad based rally. Remember light volume tends to have a neutral to upward bias on stocks, But it was mainly the sharp drop in the dollar which spurred stocks and commodities higher.

Today’s bounce was not much of a surprise for several reasons…
• Overall trend is up, one day sell offs are generally profit taking
• Panic selling on the NYSE tipped us off that the market was oversold
• I don’t think they will let the market fall before the November election
• Intermediate cycle is turning up this week, 3 weeks of upward momentum…

US Dollar Index – 4 Hour Chart

The dollar put in a big bounce this week filling its gap window… Remember most gaps get filled with virtually every investment vehicle so when you see them remember this chart….

SPY ETF – Daily Chart

SP500 has been riding the key moving average up and Tuesday’s sell off tagged the 14MA along with extreme market internal readings telling intraday traders that a bounce is about to take place.

Gold Futures – Daily Chart

You can see gold has done much the same… A sharp profit/stop running sell off, which took the price back down to support. We took a long position to catch this bounce and hopefully a larger move going forward.

Market Sentiment Readings

Tuesday’s pullback was a great reminder of just how over extended the equities market was. These heavy volume sell offs are typical in a bull market. Without regular pauses in price, traders tend to place trailing stops moving them up each day. With traders chasing stocks higher bidding them up instead of waiting for a pullback we get a very large number to stop orders following the price up each day. Then, it’s only a matter of time before a key short term support level is broken at which point the flood gates open and everyone’s stops turn to market orders flooding the stock exchanges with sell orders causing a rapid decline and panic selling. This is exactly what happened on Tuesday which I show in the chart below.

Understanding how to read market internals provides great insight for short term traders looking to make quick high probability trades every week… Market internals are just part of the equation but very powerful on their own with proper money/position management. Both of these intraday extremes were bought on Tuesday in the advanced chatroom (FuturesTradingSignals.com).. We quickly booked profits and moved our stops up in order to protect our capital as the market surged higher.

Mid-Week Market Trend Analysis:

In short, the US Dollar is still in a down trend overall. The Fed’s I would think will continue to hold the market up into the election. It works well for them… they print money which devalues the dollar, and in return boosts stocks and commodities, plus they get trillions of dollars to spend… I’m sure its like kids in a candy store over there.

While everyone is trying to pick a top in this over extended market I think it is crucial to stick with the overall trend and to not fight the Fed. Using the key moving averages on the daily chart as shown in the charts above, continue to buy on dips until the market closes below the 20 day moving average at which point you should abandon ship.

Get My Reports and Trade Ideas Here for Free: http://www.thegoldandoilguy.com/specialoffer/signup.html

Also Follow Me on Twitter in Real-Time: http://twitter.com/GoldAndOilGuy

Chris Vermeulen

By Dan Eduard – Over the last several weeks, the Canadian dollar has been steadily losing ground to the Japanese yen. The yen, widely considered to be a safe-haven currency, has been making gains across the board as investors continue to shy away from risk taking. Since October 7th, the CAD/JPY pair has gone down over 250 pips. As we will demonstrate through a number of technical indicators, the pair may be due for an upward correction.

We will be looking at the daily chart for CAD/JPY, provided by Forexyard. The technical indicators we will use are the Williams Percent Range, Stochastic Slow and the Relative Strength Index (RSI).

1. The Williams Percent Range is currently right above the -80 level. Should the indicator drop below -80, traders could take this as a sign that the pair is in oversold territory and due for a bullish correction.

2. Traders will notice the bullish cross formed below the support line on the Stochastic Slow. Typically when a cross, such as the one shown here forms, an upward correction takes place.

3. Finally, in what may be our strongest signal yet of an impending bullish move, the RSI is floating in oversold territory, and has been for some time. Traders can take this as a sign that the pair will see an upward correction in the very near future.

Forex Market Analysis provided by ForexYard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.

By GCI Forex Research

Fundamental Outlook at 0800 GMT (EDT + 0400)

USD

The dollar briefly strengthened sharply during the Asia session on wire headlines citing US Treasury Secretary Geithner as telling the Wall Street Journal that there is no need for the dollar to sink further against the euro and the yen. However, given the lack of a supporting quote, the market came to doubt the accuracy of the remark, and the dollar gave back most of its gains against the yen. EURUSD traded 1.3872-1.3983, USDJPY 80.99-81.83. Asian equities closed slightly weaker, despite a strong finish in New York that took the S&P 500 over +1% higher. Gold continued to lose ground, and it is changing hands for $1341.98/oz at the time of writing. During the US session, the dollar hit a sizable weak patch, which was variously attributed to German Chancellor Merkel’s comments or the appearance of an early draft of a G20 statement. The draft suggested the group may take a clear stand against what has been called a global “currency war” as the G20 economies vow to “refrain from competitive undervaluation” of their currencies. But the move may have been due more to market talk of a US think-tank saying that the Fed will, at its Nov. 3 meeting, launch $500 bn worth of QE over three to six months. QE2 expectations remain firmly in place as the latest Fed Beige Book said economic activity continued at a modest pace, though the tone was slightly more positive than previously, and investors paid no heed to Philadelphia Fed President Plosser being somewhat disinclined to pursue further easing. Richmond Fed President Lacker, an FOMC voter in 2012, said the dollar seems to be responding to shifting expectations about policy in different countries. Initial jobless claims are due and the Fed’s Hoenig and Bullard are likely to sound more hesitant on QE2 prospects.
EUR

German Chancellor Merkel said fiscal problems persist in the Eurozone but that rescue mechanisms cannot run beyond 2013. Merkel added that the euro is still being shielded by the various rescue packages. While near-term dollar weakness is the overwhelming factor supporting EURUSD, Merkel’s comments underscore our concern for the medium-term prospects for the euro.
PMIs are in focus for the Eurozone today as they are expected to ease slightly in October but the recent euro strength will likely not deter growth prospects in the near term.
GBP

The minutes from the October 7 MPC meeting revealed a three-way split in the policy vote. As expected, MPC policymaker Sentance voted for a policy rate hike and at the other end of the spectrum MPC policymaker Posen voted to begin another round of quantitative easing. Sterling fell slightly on the split vote and the size of the asset purchases Posen had in mind was a factor as he voted for £50bn more, a substantial sum that would have increased the BoE’s stock of Gilts by 25%. The minutes also noted most MPC members stood ready to alter policy in either direction although some felt that the chances of more stimulus being needed had increased. November’s Inflation Report was explicitly mentioned as providing the next opportunity to review the economic outlook thoroughly.
The Comprehensive Spending Review (CSR) provided few surprises, as the budget deficit forecasts were held unchanged. The lack of surprises and continued dollar weakness overcame any hangover from the latest BoE MPC minutes and cable remained supported. But while the CSR was as expected, it still means the UK faces a significant period of austerity, which keeps us cautious on sterling in the medium-term.
M4 money supply made another all-time low, coming in well below expectations at +0.9% y/y. BoE Governor King said M4, pay, and demand growth are likely the best guides to the inflation path and this print could be concerning.
JPY

Finance Minister Noda repeated that excessive FX moves are undesirable and that Japan will take decisive action on FX, including intervention when needed. Noda went on to say that the yen’s appreciation against other Asian currencies puts Japan’s trade at a disadvantage.
CAD

The BoC MPR provided more details on the forecast changes mentioned in the earlier policy statement. But the report did mention that the inflation forecast assumes a “gradual” rise in rates and in the ensuing press conference Governor Carney sounded less dovish on the domestic economy than the policy statement reflected, which helped support the Canadian dollar during the session.

TECHNICAL OUTLOOK

EURJPY break of 111.77 exposes 110.66
EURUSD BULLISH Break of 1.3775 reaction low exposes 1.3637/1.3559 support zone.
USDJPY BEARISH Next support at 79.75 ahead of 77.91. Upside potential capped at 83.03.
GBPUSD BULLISH Look for a break below 1.5606; till then pullback is seen as a correction. Resistance at 1.5942 ahead of 1.6107.
USDCHF BEARISH Rise through 0.9729 exposes 0.9918 breakout low. Next big support below 0.9463 at 0.9225.
AUDUSD BULLISH Upside gains held at 1.0004; move above the level would expose 1.0166. Support defined at 0.9662 ahead of 0.9542 reaction low.
USDCAD BEARISH Tough resistance in 1.0380/1.0407 area. Initial support at 1.0162 ahead of 0.9981.
EURCHF BULLISH While 1.3494 continues to cap recoveries, support lies at 1.3265 ahead of 1.3072.
EURGBP BULLISH Momentum is positive; expect gains to target 0.8840 with scope for 0.8894 and 0.9039 next. Near-term support holds at 0.8689.
EURJPY BULLISH Move below 111.77 exposes 110.66 ahead of 107.73. Upside capped at 115.68.

Forex Daily Market Commentary provided by GCI Financial Ltd.

GCI Financial Ltd (”GCI”) is a regulated securities and commodities trading firm, specializing in online Foreign Exchange (”Forex”) brokerage. GCI executes billions of dollars per month in foreign exchange transactions alone. In addition to Forex, GCI is a primary market maker in Contracts for Difference (”CFDs”) on shares, indices and futures, and offers one of the fastest growing online CFD trading services. GCI has over 10,000 clients worldwide, including individual traders, institutions, and money managers. GCI provides an advanced, secure, and comprehensive online trading system. Client funds are insured and held in a separate customer account. In addition, GCI Financial Ltd maintains Net Capital in excess of minimum regulatory requirements.

DISCLAIMER: GCI’s Daily Market Commentary is provided for informational purposes only. The information contained in these reports is gathered from reputable news sources and is not intended to be U.S.ed as investment advice. GCI assumes no responsibility or liability from gains or losses incurred by the information herein contained.

Source: ForexYard

The U.S. dollar on Wednesday gave back most of the gains against major counterparts, dropping against the EUR and felling to a 15-year low against the Japanese yen, as the knee jerk reaction to China’s interest rate hike subsided.

Economic News

USD – USD Reverses Gains, Dropping versus Most Currency Counterparts

The USD fell yesterday, reversing Tuesday’s gains, as the knee jerk reaction to china’s small interest hike subsided and a renewed interest in growth linked currencies such as the EUR and Australian Dollar reemerged. The dollar was put under further pressure as the release of the Beige Book showed continued weakness in the U.S economy, intensifying expectations of renewed quantitative easing measures by the Federal Reserve. The dollar plunged to a new 15-year-low against the yen, falling to a low of Y80.84, before recovering to around Y 81.08.

The USD briefly rallied during today’s overnight trading after comments by Treasury Secretary Timothy F. Geithner to the WSJ, reiterating his support for a stronger dollar. The effects, however, were short lived and the greenback has since reversed most of its gains versus its major counterparts.

The dollar is currently at 81.22 yen from 81.09 yen in New York yesterday. It touched 80.85 yesterday, after briefly reaching a high of 81.83 yen. The dollar gained to $1.3917 per euro from $1.3964.

Today traders should follow the release of the Unemployment Claims data at 12:30 as well as the Philly Fed Manufacturing Index at 14:00 GMT which will likely contribute to the debate surrounding monetary easing and provide volatility to the USD pairs.

EUR – EUR Surges on Merkel Comments

The EUR gained broadly against major counterparts Wednesday following optimistic comments by German Chancellor Merkel on the one hand and renewed expectations of continued monetary easing by the Federal Reserve on the other.

Merkel stated that though the global economy has yet to fully recover from the recession, there are “good reasons to turn now to exit strategies” and away from further easing measures. This bolstered expectations of a stronger euro supported by increasing confidence in the European recovery.

The pound rose against the dollar after U.K. Chancellor of the Exchequer George Osborne stated his plan of tackling the nation’s 156 billion-pound ($246 billion) budget deficit. The pound climbed to $1.5851; however, it gave up some of its gains and is currently trading around $1.5820.

A slew of economic data is expected from the euro-zone today which is expected to shed light on the manufacturing and services industries in the euro-zone. Furthermore, retail sales data is expected from the U.K at 8:30 GMT as well as comments by MPC Member Posen at 9:15 GMT. With the abundance of news releases, today is expected to be an exciting day for the EUR and GBP.

JPY – AUD Declines on Lower Equities, Chinese Data

The Australian dollar retreated during today’s early trading as Asian shares fell and following the release of mixed economic data from China. However, the Aussie still remains within two U.S. cents of parity on speculation the Federal Reserve will resume quantitative easing measure, namely injecting more money into the U.S economy, debasing the greenback.

The Aussie is currently at 98.28 U.S. cents from 98.71 cents in New York yesterday. It climbed to $1.0004 on Oct. 15. The Aussie is at 79.92 yen from 80.04 yen, after rising to 81.83 yen on Oct. 7.

Crude Oil – Crude Declines on Growth Prospects

The December contract lost as much as 52 cents, declining to $82.02 a barrel in electronic trading on the New York Mercantile Exchange. Crude declined as the Dollar reversed some of its earlier loses and a report during today’s early trading showed the Chinese economic growth slowed.

Crude oil climbed the most in five weeks yesterday as the dollar tumbled to a 15-year low against the yen and a drop in total U.S. crude-oil and fuel supplies.

Today, traders are advised to follow the numerous data releases from the U.S and Europe as they will likely determine the crude price levels for today.

Technical News

EUR/USD

The pair may see some downward correction today as the RSI for the pair is floating in the overbought territory on the 2 hour chart with a bearish cross evident on the 4 hour chart’s Slow Stochastic. Going short with tight stops may be preferred for the day.

GBP/USD

While mostly flat, with most indicators floating in neutral territory, some downward movement may be expected for the pair today as the RSI for the pair is floating in the overbought territory on the 2 hour chart while a bearish cross is evident on the 4 hour chart’s Slow Stochastic. Going short with tight stops may be a preferred for the day.

USD/JPY

The pair seems to be range trading at the moment with most indicators floating in neutral territory. It seems to have found a comfortable range between 80.90 and 81.50. Waiting on a clearer direction for the pair may be advised for today.

USD/CHF

Following a sharp rise over the past few days, the pair seems to be back in its range trading with most indicators floating in neutral territory. Waiting on a clearer direction for the pair may be advised for today.

The Wild Card

EUR/SEK

Following a sharp drop some upward correction may be expected for the pair today. The RSI for the pair is floating in the oversold territory hourly and 2 hour charts indicating upward pressure. The Williams Percent Range for these charts also supports upward direction. Furthermore, a bullish cross is seen on the 4 hour and 2 hour charts’ Slow Stochastic. Forex traders may be advised to go long for today, at a great entry price.

Forex Market Analysis provided by ForexYard.

© 2006 by FxYard Ltd

Disclaimer: Trading Foreign Exchange carries a high level of risk and may not be suitable for all investors. There is a possibility that you could sustain a loss of all of your investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with Foreign Exchange trading.