EUR/USD: Technical Analysis
The price continued to correct within the current maximums and failed to breach level 1.3500 and fix above, after which it pulled back downwards to 1.3430/20. However, the price is currently rising again, residing at the moment around level 1.3470/80. Indicators are turning up again, although MACD divergence suggests to be cautious and be ready for the upcoming large-scale correction. Besides, the "bears" have failed to bring the trading beyond the up channel trend line (blue lines), which indicates that the "bullish" trend is currently stronger. Range 1.3500-1.3450 breakout and fixation above will initiate further growth, possibly even to 1.3780/1.3800. Nevertheless, there is a strong resistance on the way up - level 1.3580, wherefrom the correction, MACD has warned of, may begin. Support 1.3150/40 breakout will trigger a reversal to a down trend.
GBP/USD: Technical Analysis
The price remained within the range 1.6060 - 1.5930/00, like it has been mentioned in the previous analysis, and the trading is currently carried out at 1.5990/1.6000. Indicators are neutral, although they seem to prefer a down trend more. No significant changes have been made to the structure since the last analysis, so the scenario is the same - sideways trading within the range 1.6060 - 1.5930/00 with a possible expanding to support 1.5840. As for a medium-term outlook, the up trend is considered as dominating. Further growth to 1.6270/60 is anticipated.
Analysis by: Forex4you.com written by Forex4you analyst
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20-01-2011, 12:48 PM #1
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Forex4you Technical Analysis 20 January 2011
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