Forex-Metal Daily Analysis - 19/08/10

Forex-Metal

Master Trader
Jul 12, 2010
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The BOE meeting minutes pushed pound to maximums.

Asian and European trading sessions:
Euro: The EUR/USD pair dropped to its minimums of $1,2820, since investors’ risk appetites reduced. But the European session showed maximums at $1.2908. Among the released fundamentals, we should mention the Euro-zone construction output for June, which demonstrated growth to 2.7%.
US Dollar: Expectations for the decrease in the initial jobless claims level, which is planned to be published tomorrow, rendered support to the US dollar. The forecast was set at 480 thousand against the previous level of 484 thousand.
British Pound: The GBP/USD rate dropped to the range of $1,5490.
The British Pound managed to reach maximums at the level of $1.5669 during the European session as the released Bank of England minutes showed that one of the members suggested to raise the principal rate to 0.75%. The board member Andrew Sentence expressed his confidence that “economic conditions had improved over the past 12 months”.
Japanese Yen: The USD/JPY pair traded in the range of Y85,30-Y85,70. Japanese yen showed consolidation against the US dollar, and the rate showed minimums at Y85,20.
Canadian Dollar: Canadian dollar was supported as the negotiations for the purchase of Canadian company Potash Corp. by the Australian company BHP Billiton Ltd. for $40 billion were released.
Gold and Silver: Gold prices dropped to $1218 per ounce, and Silver rate decreased to $18.28 per ounce.
Oil: The oil rate reduced at the morning trading on Wednesday to the level of $75.64 per barrel. The release of the US oil inventories today showed decrease, which rendered support to the oil prices.

American trading session:

Euro:
US Dollar: The greenback could not strengthen considerably against its major competitors as the economic docket was fairly weak on Wednesday.
Japanese Yen: The yen rate continued to keep the reached 6-weeks maximums against the euro and strength against the US dollar as well, as a safe-haven currency.


Technical analysis
EURUSD
The pair is between support 1.27009 and resistance 1.28630. If the pair breaks 1.28630 the pair may rise to 1.30277.
Resistance: 1.28630, 1.30277, 1.33142
Support: 1.27009, 1.25690, 1.23907
GBPUSD
The pair is closed between 1.56722 and 1.54842.
Resistance: 1.56722, 1.58543, 1.60322
Support: 1.54842, 1.52523, 1.50581
USDCHF
MACD divergence doesn’t let pair to decline. If 1.05139 is broken the pair will rise to 1.06179. If the pair stays below 1.03987 the pair will decline to 1.02747.
Resistance: 1.05139, 1.06179, 1.07258
Support: 1.03987, 1.02747, 1.01498
USDJPY
MACD divergence forces pair to rise. If the pair stays above 85.161 the pair will rise to 86.246.
Resistance: 86.246, 87.014, 87.728
Support: 85.161, 84.260, 83.330
AUDUSD
The pair has reached 0.90284. If the pair is unable to stay above this level, the pair will drop to 0.89029. If the pair stays above 0.90284 the pair will rise to 0.92170.
Resistance: 0.90284, 0.92170, 0.93787
Support: 0.89029, 0.87243, 0.85760