Monday December 1, 2008

EURO


The euro versus the dollar declined in the awaited correctional wave to test the major support levels which have formed to acquire the pair with upside momentum as the upside signals are clear, if the support level at 1.2650 remains intact will be a positive signal for the upside move expected today while the short term upside wave is still intact and steady with continued trading above 1.2445 while closing on a daily basis below this level reinitiates the downside wave.
The trading range is among the key resistance level at 1.2985 and the key support level at 1.2385.
The general trend is to the downside as far as 1.5080 remains intact; targets are set at 1.2340 and 1.2225.

Support 1.2655 1.2610 1.2525 1.2490 1.2445
Resistance 1.2735 1.2785 1.2820 1.2850 1.2920
Recommendation Buy euro above 1.2655 with targets at 1.2735, stop loss with hourly closing below 1.2610

EUR-USD Overall structure is bearish. Decelerating momentum could attract it towards supports at 1.2646 or 1.2578. Major support is clustered around 1.2498 limit.
GBP-USD It should be subject to more sell off towards 1.5296 or 1.5184. Corrective upward swings should face resistance around 1.5516 area. A break of 1.5522 is bullish.
USD-JPY Market looks set for gains towards 95.81 or above in extension. Dips should find support at 95.48 - 95.36 zone.
USD-CHF Uptrend is still intact in a triangle configuration. It should continue to rally to 1.2182 or 1.2339 if support around 1.2100 hold. After which a pullback to 1.2100 - 1.2050 zone is possible.