Friday, January 24, 2014

DAILY FOREX POST – EUR/USD, GBP/USD, AUD/USD, GOLD JANUARY 24, 2014

EUR/USD Technical view

SPOT EUR/USD Previous day OHLC
OpenHighLowCloseChange
1.35461.36981.35291.36940.0148
Today's Support and Resistance
Resistance
Support
R31.3930
R21.3800
R11.3700
S11.3650
S21.3620
S31.3550
EURO ended the session on Thursday with gains of 1.09%, versus the greenback, rallying to settle at more than 3 - weeks high. The close above 1.3650 has negated the near term term bearish view. However, concerns if the rally will sustain will be known over the next couple of sessions. As long as prices do not close below 1.3600- 1.3650; top end of the near term bearish channel, the near term view remains bullish and the gains should extend to 1.3800. The medium to long term view is also bullish for targets of 1.4200; targets for the symmetrical triangle in an uptrend

TREND DIRECTION

  • Short term: Bullish
  • Medium term: Bullish
  • Long term: Bullish

TRADING RECOMMENDATIONS

  • Short:

    • N/A
  • Long:

    • At 1.3630 with a stop at 1.3580 for a profit target of 1.3760


GBP/USD Technical view

SPOT GBP/USD Previous day OHLC
OpenHighLowCloseChange
1.65741.66431.65541.66360.0062
Today's Support and Resistance
Resistance
Support
R31.6700
R21.6680
R11.6650
S11.6610
S21.6580
S31.6520
Sterling ended the session on Thursday with gains of 0.37%, versus the greenback, extending its gains to the fifth successive session and closing at more than 32- months highs. The gains however look to be capped around the 1.6675- 1.6700 levels; top ends of the near and medium term bullish channels respectively. Leading indicators are also signalling negative divergences, so Sterling for now remains a sell on rally strategy. ONLY a close above 1.6700 will negate the near term bearish view with the rally likely to extend to 1.7200- 1.7300

TREND DIRECTION

  • Short term: Bearish
  • Medium term: Bullish
  • Long term: Bullish

TRADING RECOMMENDATIONS

  • Short:

    • Hold on to short positions initiated at 1.6610 with a stop at 1.6650 for a profit target of 1.6520
    • If stops are triggered, short again at 1.6680 with a stop at 1.6730 for a profit target of 1.6520
  • Long:

    • N/A


AUD/USD Technical view

SPOT AUD/USD Previous day OHLC
OpenHighLowCloseChange
0.88510.88520.87300.8767-0.0084
Today's Support and Resistance
Resistance
Support
R30.8970
R20.8850
R10.8820
S10.8750
S20.8730
S30.8500
The Aussie ended the session on Thursday with losses of 0.95%, versus the US dollar, closing at the lowest levels since July 2010. Near term view bearish with the upside likely to be capped at 0.8800- 0.8850; near term breakouts. ONLY a close above 0.8850 will negate the near term bearish view. Supports placed at 0.8730- 0.8750, the final barrier before the Aussie could slide to 0.8500, with the medium to long term targets placed at 0.8400- 0.8500; targets for the symmetrical triangle in a downtrend

TREND DIRECTION

  • Short term: Bearish
  • Medium term: Bearish
  • Long term: Bearish

TRADING RECOMMENDATIONS

  • Short:

    • At 0.8830 with a stop at 0.8880 for a profit target of 0.8750
    • At 0.8850 with a stop at 0.8900 for a profit target of 0.8750
  • Long:

    • N/A


GOLD Technical view

SPOT GOLD Previous day OHLC
OpenHighLowCloseChange
1236.241265.401231.361263.9527.90
Today's Support and Resistance
Resistance
Support
R31280.00
R21276.00
R11266.00
S11262.00
S21244.00
S31232.00
Spot gold ended the session on Thursday with gains of 2.25%, rallying sharply to close at more than 2 months highs. The precious metal is closing in on crucial near term resistances at 1275.00- 1280.00; top end of the medium term bearish channel, where the near term upside is likely to be capped, before prices could begin sliding to 1225.00- 1230.00. The medium to long term view is extremely bearish with the precious metal likely to target 1000.00- 1050.00 per troy ounce; targets for the symmetrical triangle in a downtrend. Short the precious metals on gains up to 1280.00

TREND DIRECTION

  • Short term: Bearish
  • Medium term: Bearish
  • Long term: Bearish

TRADING RECOMMENDATIONS

  • Short:

    • At 1265.00 with a stop at 1273.00 for a target of 1230.00
    • At 1275.00 with a stop at 1283.00 for a target of 1230.00
  • Long:

    • N/A






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