On-Line Forex Trading Tips

The EURUSD made indecisive movement yesterday, formed a Doji formation on daily chart. Even after some positive data from the Euro zone and a better than expected US Consumer Confidence which rose to 54.1 in August the Dollar still have some support at 1.4375 resistance area. However, growing optimism that the global economy crisis is ending should support the Euro and wane the demand for the Greenback. Today we will have US Core Durable Goods Order and New Home Sales data. The market is expecting a positive results to support it’s optimistic view so a disappointing numbers could be bad for the Euro as risk aversion may increase.

On h1 chart below we can see that the pair is consolidating, moving in rectangle area between 1.4250 – 1.4375. The scenario should remains potential bullish but so far the Dollar seems to have good technical support at 1.4375 area. The bias remains neutral in nearest term. A break from the range area should give us a clearer direction. I am expecting a break above 1.4375 to continue bullish scenario towards 1.4719. However a break below 1.4250 should diminished the bullish view and could lead us back into 1.4170 or even 1.4050 area.

The GBPUSD continued it’s bearish momentum yesterday, bottomed at 1.6329 and closed at 1.6341. On daily chart below we can see that the pair is making a minor bearish channel (red) after some bullish momentum which form a bullish channel (blue) since July 08. The bias remains bearish and still targeting 1.4270 area but I prefer to stand aside for now since the lower line of the bullish channel could provide a good support, giving me a bad risk- reward ratio. A break below 1.4270 and violation to the bullish channel should trigger further bearish momentum and outlook. If the bullish channel hold, we might see an upside rebound testing 1.6440/70 area.

Today we will have US Core Durable Goods Order and New Home Sales data. The market is expecting a positive results to support it’s optimistic view so a disappointing numbers could be bad for the Sterling as risk aversion may increase.

USDJPY Forecast:
The USDJPY attempted to push lower yesterday, bottomed at 93.78 but failed to closed below 94.00 area. On h4 chart below we can see that after violated the bearish channel to the upside, the pair is now making a new bullish channel indicating a potential bullish rebound. So, as long as the pair able to stay above 94.00 area, expect further bullish rebound back towards 95.05 area. However a failure to stay above 94.00 and break below 93.78 should continue the bearish momentum.

USDCHF Forecast
The USDCHF made indecisive movement yesterday, formed a Doji on daily chart. On h1 chart below we can see that the pair is trapped is rectangle area between 1.0560 – 1.0640 indicating consolidation. A break from the rectangle area should give us a clearer direction. A breakout to the upside should trigger further bullish momentum towards 1.0750 area while a breakdown to the downside should continue the bearish scenario towards 1.0430 and 1.0360 area.

EURJPY Forecast
The EURJPY had a volatile market yesterday. The pair attempted to push lower, bottomed at 133.94 but further bearish momentum was rejected as the pair whipsawed to the upside, hit the top at 135.85 and closed lower at 134.69. On h4 chart below we can see that the bullish channel (blue) was tested but still hold so far keep the bullish scenario intact. Only a violation to the bullish channel could cancel the bullish outlook. We seem to have a downside pressure right now testing the lower line of the bullish channel. I prefer to stay away and wait for further development. Immediate support is seen at 133.94 (yesterday’s low). Break below that area should trigger further bearish momentum towards 132.90 area. Initial resistance at 135.85.

GBPJPY Forecast
The GBPJPY continued it’s bearish momentum yesterday. On h4 chart below we can see that after had some bearish momentum since August 07, the pair has been consolidated in triangle area and now the triangle has been break to the downside suggests a bearish view/continuation. The bias is bearish in nearest term targeting 152.10 area. Immediate resistance at 154.20. Break above that area should lead us into no trading zone and could be potential threat to the bearish outlook.

AUDUSD Forecast
The AUDUSD attempted to push higher yesterday, topped at 0.8425 but further bullish momentum was rejected as the pair closed lower at 0.8341. On h4 below we can see that the pair is now re-testing the trendline support. The bias is bearish in nearest term but we need a consistent move below the trendline support before heading for 0.8261 area. Initial resistance at 0.8425/50 area.

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