Technical analysis 23/12/09 of FXCBS
This is technical daily and provided by specialists and analysts from FXCBS
Previous session overview
The major currencies have been trading in a narrow range against the dollar during the Asian session, EUR against the U.S. dollar was traded in a narrow range during the Asian session recording a high of 1.42749 and a low of 1.42354, now the pair is trading around 1.42519 levels.
The pound against the U.S dollar was also trading in a narrow range during the Asian session; the highest was at 1.59777 and the lowest at 1.59375, now the pair is trading around 1.59427 levels.
The dollar against yen was also traded in a narrow range at the Asian session, and achieved the highest at 91.864 and the lowest price at 91.544, now the pair is trading around 91.779 levels.
The pair Euro against the U.S. dollar continues its fluctuation around the resistance level at 1.42650, we expect today the pair will make small correction which should not cross the level of 1.4350. Then the pair continue the downward move towards the new targets at the levels of 1.41000 then to the level 1.40400.
We expect today that the pair Sterling against the U.S. dollar will decline again , after the pair achieved the goals that we have set yesterday at 1.59450, we expect today that this decline will take the pair to a new target at the level 1.58350, these expectations require stability of trading below 1.60050.
We expect today that the pair U.S. dollar against the Japanese Yen will make a correction to the support point 90.700 and then return to complete its bullish trend to the point 92.80 , these expectations require stability of trading above 90.700.
Positive signs that are coming from momentum indicators are making us hold onto our previous expectations, which points to a bullish direction over an intraday basis targeting mainly 1.07800 while being cautious from achieving a clear breach and stabilizing below 1.05450, will make the expected bullish scenario fail and reverse the direction to a bearish one.
Senior Analyst / Ali Hasan / FXCBS