Forex Trading

Trade Idea: GBP/USD - Sell at 1.6325

Candlesticks Trades |  Written by ActionForex.com |  Dec 18 09 15:24 GMT |

Trade Idea: GBP/USD - Sell at 1.6325 GBP/USD - 1.6184 Most recent candlesticks pattern : N/A Trend : Near term down Tenkan-Sen level : 1.6184 Kijun-Sen level : 1.6246 Ichimoku cloud top : 1.6444 Ichimoku cloud bottom : 1.6290 Original strategy : Sell at 1.6325, Target: 1.6130, Stop: 1.6390 New strategy : Sell at 1.6325, Target: 1.6130, Stop: 1.6390 Although cable retreated after intra-day rebound to 1.6250, break of 1.6110 minor support is needed to signal decline from 1.6879 has resumed and bring retest of yesterday’s low at 1.6080, break there would extend weakness towards 1.6000, however, loss of near term downward momentum would prevent sharp fall below there and reckon 1.5940/50 would hold, bring correction next week. Above said minor resistance would bring stronger rebound to the Ichimoku cloud bottom (now at 1.6290), however, renewed selling interest should emerge around 1.6325 (38.2% Fibonacci retracement of 1.6722 to 1.6080) and bring another decline later. In view of this, we are looking to sell cable on recovery. Only above resistance at 1.6412 would confirm low has been formed. Trade Idea: USD/CHF - Buy at 1.0290 Candlesticks Trades |  Written by ActionForex.com |  Dec 18 09 15:22 GMT |  Trade Idea: USD/CHF - Buy at 1.0290 USD/CHF - 1.0414 Most recent candlesticks pattern : N/A Trend : Near term up Tenkan-Sen level : 1.0447 Kijun-Sen level : 1.0403 Ichimoku cloud top : 1.0284 Ichimoku cloud bottom : 1.0165 Original strategy : Buy at 1.0290, Target: 1.0490, Stop: 1.0225 New strategy : Buy at 1.0290, Target: 1.0490, Stop: 1.0225 Dollar’s retreat after rising to 1.0509 yesterday suggests further consolidation below there would take place and correction to 1.0345 is likely, however, reckon the Ichimoku cloud top (now at 1.0284) would limit downside and bring another rally. Above said resistance would extend recent upmove from 0.9910 low for a stronger retracement of early downtrend towards 1.0550 but dollar is expected to falter below resistance at 1.0592 (previous support turned resistance). In view of the above analysis, we are still looking to buy dollar on pullback. Only below minor support at 1.0235 would signal a temporary top is in place, then correction to 1.0190/95 would follow but support at 1.0140 would remain intact. Trade Idea: EUR/USD - Sell at 1.4515 Candlesticks Trades |  Written by ActionForex.com |  Dec 18 09 15:21 GMT |  Trade Idea: EUR/USD - Sell at 1.4515 EUR/USD - 1.4353 Most recent candlesticks pattern : N/A Trend : Down Tenkan-Sen level : 1.4365 Kijun-Sen level : 1.4493 Ichimoku cloud top : 1.4864 Ichimoku cloud bottom : 1.4703 Original strategy : Sell at 1.4550, Target: 1.4350, Stop: 1.4615 New strategy : Sell at 1.4515, Target: 1.4325, Stop: 1.4580 Although the single currency retreated after meeting renewed selling at the Tenkan-Sen, loss of near term downward momentum should prevent sharp fall below 1.4281-82 (38.2% Fibonacci retracement of 1.2885 to 1.5145 and also 61.8% Fibonacci retracement of 1.3747 to 1.5145) and risk remains for a minor correction. Above intra-day resistance at 1.4412 would bring retracement to the Kijun-Sen (now at 1.4493) but reckon 1.4544 (50% Fibonacci retracement of 1.4783-1.4304) would hold, bring another selloff later. In view of the above analysis, we are looking to sell on recovery. Only a firm break above said resistance at 1.4591 would suggest a temporary low is formed and risk correction to 1.4665/75. Trade Idea: USD/JPY - Buy at 89.30 Candlesticks Trades |  Written by ActionForex.com |  Dec 18 09 15:20 GMT |  Trade Idea: USD/JPY - Buy at 89.30 USD/JPY – 90.34 Most recent candlesticks pattern : N/A Trend : Sideways Tenkan-Sen level : 89.75 Kijun-Sen level : 89.42 Ichimoku cloud top : 88.81 Ichimoku cloud bottom : 88.68 Original strategy : Buy at 89.30, Target: 90.75, Stop: 88.65 New Strategy : Buy at 89.30, Target: 90.75, Stop: 88.65 As dollar has maintained a firm undertone after finding renewed buying interest at 88.83, suggesting recent rise from 84.82 would resume for retest of 90.78 and break there would confirm and bring a stronger retracement of early decline towards 91.34-91.63 resistance area probably next week, however, near term overbought condition would limit upside to 92.00 and risk has increased for a retreat later. In view of the above analysis, would not advise chasing this move at current level and we prefer to wait for a pullback as the Ichimoku cloud area (now at 88.68-79) would limit downside. Only below 88.32 support would prolong choppy consolidation and risk weakness to 87.90/00. EUR/CAD Candlesticks and Ichimoku Analysis Canadlesticks and Ichimoku Analysis |  Written by ActionForex.com |  Dec 18 09 11:25 GMT |  EUR/CAD Candlesticks and Ichimoku Analysis Last Candlesticks pattern Time of formation Trend bias Weekly Doji star 6 July 2009 Sideways Daily Bearish engulfing 28 June 2009 Down As the single currency is still under pressure, suggesting downside risk remains and test of 1.5231 support cannot be ruled out, however, only breach of 1.5186 would signal the erratic decline from 1.7509 has resumed, then a stronger correction of the rise from 1.3289 would be seen for further weakness to 1.5000, then towards 1.4825 but euro should stay well above support at 1.4719, bring another rebound probably in Q1 of 2010. On the upside, whilst recovery to 1.5500 cannot be ruled out, only a weekly close above the Tenkan-Sen (now at 1.5667) would prolong consolidation and bring rebound to the Kijun-Sen (now at 1.5757) but resistance at 1.6010 is likely to hold from here, then the currency pair shall continue to trade within recent established range of 1.5186-1.6096 for the rest of this month. Looking ahead, only a weekly close above resistance area at 1.6096-1.6114 (previous resistance and current level of the Ichimoku cloud bottom) would retain bullishness and signal the fall from 1.7509 has ended at 1.5186 earlier and extend gain to 1.6329 (previous resistance). On the daily chart, euro’s selloff from 1.6010 is much stronger than expected and has continued to keep the currency pair under pressure, dampening our previous bullish view and price looks set to test support at 1.5231, however, below there is needed to signal a downside break of recent 1.5186-1.6096 range has taken place, then retest of recent low at 1.5186 would follow. Looking ahead, only breach of this latter level would signal the decline from 1.7509 top has resumed, then subsequent weakness towards 1.5000 would follow. On the upside, whilst recovery to the Tenkan-Sen (now at 1.5527) cannot be ruled out, renewed selling interest is likely to emerge around 1.5600 and bring such a decline to aforesaid downside targets. Only a daily close above 1.5663-67 (current level of the Ichimoku cloud bottom and Kijun-Sen respectively) would suggest the fall from 1.6010 has ended, then test of upper Kumo (now at 1.5719) would follow and later to 1.5850. EUR/JPY Candlesticks and Ichimoku Analysis Canadlesticks and Ichimoku Analysis |  Written by ActionForex.com |  Dec 18 09 11:23 GMT |  EUR/JPY Candlesticks and Ichimoku Analysis Last Candlesticks pattern Time of formation Trend bias Weekly Evening star June 2009 Sideways Daily Shooting star 14 Aug 2009 Up Although the retreat in euro from 134.54 was stronger than expected and price dropped to as low as 127.32 this morning, as indicated key support at 126.95 has held, suggesting further choppy consolidation within recent range of 126.95-139.26 would be seen and as long as said support level holds, mild upside bias is seen for another rebound to 131.60 and then the Kijun-Sen (now at 132.80). Looking ahead, it is necessary to see a rise above this level to signal the retreat from 138.49 has ended, then test of resistance at 136.00 and possibly towards 137.00 would follow. On the downside, expect pullback to be limited to 128.00 and support at 127.32 should hold, bring such a rebound to aforesaid upside targets later. Only a drop below 126.95 support would shift risk back to the downside for at least a strong correction of the rise from 112.08 to 125.67 (50% Fibonacci retracement of 112.08 to 139.26) and later next chart support at 124.39. On the daily chart, although euro’s stronger-than-expected retreat from 134.54 has dampened our bullish view and price dropped sharply to 127.32 this morning, the subsequent rebound after holding above indicated key support at 126.95 suggests further choppy trading within 126.95-139.26 would continue and mild upside bias is seen for a test of the Kijun-Sen and Tenkan-Sen (now at 130.96 and 131.32 respectively). However, only a daily close above resistance at 131.60 would revive our bullishness and signal the retreat from 134.54 is over, then stronger bounce to 133.00 would follow. On the downside, whilst pullback to 129.00 cannot be ruled out, reckon 128.00 would contain weakness and bring another rally later to aforesaid upside targets. Below 128.00 would risk another fall to 127.32 and breach there would risk test of key support at 126.95 but break there is needed to turn outlook bearish again for further decline to 125.00 and possibly test of support at 124.39 later this month.