Daily Technical Analysis Forex & Gold

Daily Forex Technicals | Written by Mizuho Corporate Bank
EURUSD
Comment: Three consecutive days of consolidation in a tiny range at the very top of this year's range. The Euro is not overbought (though bullish momentum could be stronger) so expect another burst higher hopefully today because a weekly close above 1.4400 (highest since September ) should cause another round of short-covering next week. Our measured targets are 1.4600 and eventually the psychological 1.5000.
Strategy: Attempt longs at 1.4350; stop well below 1.4200. Short term target 1.4435, then 1.4545 and after that 1.4635 Direction of Trade: → ↗ Chart Levels:
Support Resistance
1.4328 " 1.4423/1.4448*
1.43 1.45
1.423 1.4545*
1.4200* 1.4635*
1.41 1.473
GBPUSD
Comment: Yesterday's drop feels very big because of the previous two days of tiny ranges but it has done wonders for the overbought situation. The almost 3 cent move is the same size as Monday's rally and well within the scope of daily moves over the last ten weeks. Allow for a rather nervous probe of the top of the 'triangle' and the 9-day average at 1.6691 and Fibonacci support today. Watch for a reversal candle to form (marking an interim low) setting off for another short squeeze next week and certainly throughout August.Strategy: Buy at 1.6765; stop well below 1.6700. First target 1.7000/1.7044 again, then 1.710/1.71250 and after that 1.7500.Direction of Trade: →↗Chart Levels:
Support Resistance
1.6744 " 1.6813
1.6691 1.6911
1.664 1.7005
1.6500* 1.7044*
1.64 1.7100*
USDJPY
Comment: Same old, same old: nothing to add as we continue to struggle above moving averages and below a descending Ichimoku 'cloud'. Be careful as many of these look over-extended. The Lagging Span is just under the candles which drop dramatically over the next three days. We continue to favour generalised US dollar weakness and therefore eventually dollar/yen ought to move lower.Strategy: Attempt shorts at 95.45; stop above 96.25. Short term target 94.45, then 93.00.
Daily Forex Technicals | Written by India Forex | Aug 07 09 06:35 GMT |
Gold : Gold maintaining bullish bias above 950 dollars. Buy on dips around 953-948 for 10-15 dollars. Break of 960 dollars has started a new range for gold. (Gold- $960.63) Bullish
Dollar Index : The Dollar Index (basket against 6 currencies with EUR accounting for 57% of the basket) broke the important support of 78.33. It is expected to touch the low of 77 and rebound.(Dollar Index - 78.35) Bearish