Forex Daily Forecasts - Thursday, Oct 4th

By Crown Forex

Technical Analysis for Major Currencies

EURO

The European currency dropped down yesterday extending the downside wave since it couldn't breach the key resistance at 1.4200. The Euro succeeded to break the minor upside trend line to hit the low at 1.4070s. Hence, we expect it to progress today towards the downside until the levels of 1.4000.

The trading range for today might be between the key resistance level at 1.4120 and the key support level at 1.3970.

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 selling Euro below1.4120 with a target at 1.4000, stop loss above 1.4160.

GBP

The British pound yesterday managed to move towards the downside since it failed to keep the bullish potential. Meanwhile, the technical studies have adjusted to reflect the downside movements for today as well.

The trading range for today might be between the key resistance level at 2.0420 and the key support level at 2.0220.

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

Support: 2.0305, 2.0280, 2.0262, 2.0235, 2.0200
Resistance: 2.0325, 2.0350, 2.0380, 2.0405, 2.0424

Recommendation: We expect selling sterling below 2.0340 with a target at 2.0260 stop loss above 2.0385

JPY

The dollar against the Japanese yen just started the real move yesterday passing the upside band in an irregular pattern with obvious high levels of volume. Nevertheless, the technical parameters still show some weakness in the upside direction.

The trading range for today will be between the key resistance at 117.70 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: 116.50, 116.34, 116.17, 115.88, 115.57
Resistance: 116.90, 117.21, 117.42, 117.65, 117.85

CHF

The dollar against the SWISS Frank took another step yesterday towards the upside correction from the solid support at 1.1715 to reach the critical resistance level at 1.1800. In fact, the technical studies reflected the upside potential after the pair broke through the minor downside trend line.

The trading range for today will be between the key resistances at 1.1850 the key support at 1.1680.

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

Support: 1.1802, 1.1778, 1.1750, 1.1726, 1.1705
Resistance: 1.1819, 1.1845, 1.1865, 1.1887, 1.1800

Recommendation: We expect buying USD/CHF above 1.1775 with a target at 1.1845, stop loss below 1.1730.

CAD

The dollar against the Canadian remained quiet despite hitting the low at the important level at 0.9930s. The pair has some bullish potential in the short term but the tendency it still to the downside as the currency kept trading below the downside trend line.

The trading range for today will be between the key resistance at 1.0080 and the key support at 0.9890.

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

Technical Analysis for Crosses

GBP/JPY

The Pound inclined against the Yen yesterday, yet could not hold above the 237.08 resistance represented by the 200 MA, even if the general trend is up, the pair has to breach this resistance in order to continue the upside move, and the point at 236.10 seems to offer good demand for the pair.

Support: 236.54, 236.10, 235.86, 235.30, 234.68
Resistance: 236.97, 237.52, 238.02, 238.51, 239.00

EUR/JPY

Yesterday the Euro also inclined against the Yen, yet declined back in a correctional move, the pair is still gathering some momentum to take it to the upside and reach the first target at the 166.10 level, and the point at 163.76 seems to offer good demand for the pair.

Support: 164.23, 163.99, 163.76, 163.40, 163.04
Resistance: 164.59, 164.87, 165.22, 165.58, 165.90

EUR/GBP

The Euro started gaining against the Pound, and the pair moved slightly to the upside, the general trend for the pair is still to the upside, and the long term target remains around the 0.7064 level, and the point at 0.6924 seems to offer good demand for the pair.

Support: 0.6935, 0.6924, 0.6912, 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.