Forex Daily Forecasts - Friday, Oct 5th

By Crown Forex | Oct 05 07 07:03 GMT

Technical Analysis for Major Currencies

EURO

The European currency tended to end the downside correction after it faced the solid support level at 1.4060. In the meantime, the technical studies reflect some bullish potential after the euro stopped the downside correction to hold the euro up until the levels of 1.4150s.

The trading range for today might be between the key resistance level at 1.4230 and the key support level at 1.4050.

The general trend is up as far as 1. 3470 remains intact targets now at 1.4500 and 1.4780

Support: 1.4068, 1.4032, 1.4010, 1.3977, 1.3950
Resistance: 1.4121, 1.4157, 1.4187, 1.4202, 1.4228

Recommendation: We expect buying Euro above 1.4115 with a target at 1.4185, stop loss below 1.4060.

GBP

The British pound yesterday reached the downside band which is a very critical support to hold the pound up towards the upside as long as the technical parameters show some reversal signals. Therefore, we expect the pound to move in a progressive pattern towards the upside with new target at 2.0700 in the week ahead.

The trading range for today might be between the key resistance level at 2.0500 and the key support level at 2.0320.

The general trend is up as far as 1.9700 remains intact targets now at 2.0635 and 2.0740

Support: 2.0350, 2.0325, 2.0305, 2.0280, 2.0262
Resistance: 2.0380, 2.0405, 2.0424, 2.0448, 2.0495

Recommendation We expect buying sterling above 2.0380 with a target at 2.0490 stop loss below 2.0325

JPY

The dollar against the Japanese yen remained so quiet yesterday at the peak of the bullish wave it formed the week ago. The technical studies show the currency had reached to the over bought area which in role pushed it down again.

The trading range for today will be between the key resistance at 117.40 and the key support at 115.40.

The general trend is down as far as 124.60 remains intact, targets at 112.40 and 111.20.

Support: 116.34, 116.17, 115.88, 115.57, 115.30
Resistance: 116.50, 116.90, 117.21, 117.42, 117.65

Recommendation: We expect selling USD/JPY below 116.65 with a target at 115.40, stop loss above 117.00.

CHF

The dollar against the SWISS Frank formed a reversal pattern after it couldn't break the tough resistance at 1.1815 to reach the downside target at 1.1730s again. The expected move for the currency might be towards the downside.

The trading range for today will be between the key resistances at 1.1830 the key support at 1.1650.

The general trend is down as far as 1.2540 remains intact, targets at 1.1665 and 1.1445.

Support: 1.1750, 1.1726, 1.1705, 1.1680, 1.1645
Resistance: 1.1778, 1.1802, 1.1819, 1.1845, 1.1865

Recommendation: We expect selling USD/CHF below 1.1765 with a target at 1.1685, stop loss above 1.1800.

CAD

The dollar against the Canadian remained quiet due to the low volume without major moves, and that is because the pair was unable to breach the key resistance level at 1.0020s. Today we expect it to move towards the downside.

The trading range for today will be between the key resistance at 1.0060 and the key support at 0.9870.

The general trend is down as far as 1.0850 remains intact, targets will be 0.9700 at and 0.9450.

Support: 0.9950, 0.9931, 0.9900, 0.9875, 0.9850
Resistance: 0.9985, 1.0025, 1.0045, 1.0065, 1.0095

Recommendation: We expect selling USD/CAD below 0.9980 with a target at 0.9900, stop loss above 1.0025.

Technical Analysis for Crosses

GBP/JPY

The Pound against the Yen is still consolidating, as the pair is yet to form a bullish wave that will take the pair to the next target at the 238.08 level, the general trend is still to the upside, and the point at 236.57 seems to offer good demand for the pair

Support: 236.94, 236.57, 236.10, 235.85, 235.36
Resistance: 237.52, 238.04, 238.57, 238.93, 239.35

EUR/JPY

The Euro is also consolidating against the Yen, as the pair started heading towards the upside once again, to progress the pair's general trend, the target is set to be above the 166 level, and the point at 163.93 seems to offer good demand for the pair.

Support: 164.30, 163.93, 163.66, 163.39, 163.12
Resistance: 164.61, 164.91, 165.22, 165.59, 165.89

EUR/GBP

The Euro gained back slightly against the Pound, after the pair completed the 38.2% correction on febunacci's retracement, yet the general trend for the pair is still to the upside, and the target is still at the 0.0754 level, and the point at 0.6916 seems to offer strong demand for the pair.

Support: 0.6937, 0.6927, 0.6916, 0.6900, 0.6890
Resistance: 0.6957, 0.6969, 0.6980, 0.6990, 0.7002

Crown Forex

disclaimer:The above may contain information for investors/traders and is not a recommendation to buy or sell currencies, gold, silver & energies, nor an offer to buy or sell currencies, gold, silver & energies. The information provided is obtained from sources deemed reliable but is not guaranteed as to accuracy or completeness. I am not liable for any losses or damages, monetary or otherwise that result. I recommend that anyone trading currencies, gold, silver & energies should do so with caution and consult with a broker before doing so. Prior performance may not be indicative of future performance. Currencies, gold, silver &energies presented should be considered speculative with a high degree of volatility and risk.