As expected the RBNZ left the OCR unchanged but the accompanying statement stated that they are watching for increased inflation pressure and expect growth to rise to 2.5% and 3% over the next two years and suggested rates could be on hold until 2014. The Kiwi ran higher to break key 0.8275 trend resistance on its way to a high - so far - of 0.8293. The next hurdle sits at 0.8308, 7th Nov high and possibly on to the 0.8356 28th…Continue
Added by FX Charts: www.fxcharts.com.au on December 5, 2012 at 9:54pm — No Comments
Technically, the Euro has now broken the major resistance trendline that we have been watching and headed towards the next resistance at 1.3083 (22 Oct high). A break of this would suggest an acceleration on towards the 17 Oct high at 1.3139 although the growing bearish divergence on the 4 hour charts is warning us of a possible reversal and thus to bring up trailing stops on long positions. Above 1.3140, although doubtful at this point, a continuation of the rally…Continue
Added by FX Charts: www.fxcharts.com.au on December 3, 2012 at 10:01pm — No Comments
The Euro looks like it may be trying to carve out a Head Shoulder top, but really needs to stay under 1.3100 to remain valid. 1.3090 is 23.6% of 1.2623/1.3234 and currently acts as short term resistance.If it works, 1.2925 would be the target, so not a bad risk reward!…Continue
The Aud made good gains following the China GDP, trading almost to the point where trendline rsistance is to be seen reaching 1.0449 before failing and dropping back to resistance-turned-support at 1.0370 area. The hourlies are pointing to further near term downside moves and it looks as though the recent range will continue to dominate.
We may again see tests of…Continue
Added by FX Charts: www.fxcharts.com.au on January 17, 2012 at 9:06pm — No Comments
As with the Eur/Aud, Eur/Nzd posted a key reversal today, suggesting the chance of further gains towards the trend resistance at 1.6330, ahead of the Fibo resistance at 1.6440.Support is at around 1.6085 and 1.6050, and the low at 1.5927 now looks to be pretty safe. The MACDs have all turned higher, with good momentum behind them suggesting that dips will see good buying interest.…Continue
Added by FX Charts: www.fxcharts.com.au on January 13, 2012 at 12:44am — No Comments
As per yesterdays blog, the Eur/Aud bottomed out right on the channel support at 1.2298 before seeing a good rebound. In the process it has made a key reversal and further gains to trend resistance 1.2530 and possibly Fibo resistance at 1.2630 my lie ahead. Support now lies at 1.2385 and 1.2350 ahead of the 1.2298 low. The 4 hour oscillators are supportive of further gains.…Continue
Added by FX Charts: www.fxcharts.com.au on January 12, 2012 at 10:09pm — No Comments
EUR/AUD 1.2335. Those who have missed this move lower should be a bit wary of getting short down here. There is big channel support just under 1.2300 and a nasty squeeze higher may not be far away before the resumption of the downtrend, where the next major target is at 1.2000Continue
Added by FX Charts: www.fxcharts.com.au on January 12, 2012 at 12:00am — No Comments
DAILY CHART: The Aud looks as though it will continue in its wide and choppy 1.0040/1.0385 range. Suspect we may see a test higher towards the top end, where it may fail ahead of the 200DMA @1.0410 before heading back down to test the bottom end. Eventually looking for another retest of 0.98 level. May take a while. China CPI later this morning may give us a clue,…Continue
Added by FX Charts: www.fxcharts.com.au on January 11, 2012 at 11:41pm — No Comments
The DXY(Dollar Index) divergence that we mentioned last week, heralding possible US$ weakness has worked very well, as the attached chart shows and it has come to rest at the important 79.60 support. The Indicators on most charts are pointing to the possibility of further US$ weakness in sessions ahead although for the time being the hourly charts are oversold (ie overbought Aud/Usd, Nzd/Usd + Eur/Usd in particular) and are currently in the process of unwinding. While risk sentiment remains…Continue
Added by FX Charts: www.fxcharts.com.au on January 3, 2012 at 10:42pm — No Comments
With everyone being so bearish on the Euro and genrally bullish on the US$, it is worth noting that the Dollar Index (DXY) is sounding some warning signals.
The divergence that is building on the daily charts is not suggesting that the weakness that we saw in the US session is necessarily going to be repeated in sessions to come.
Similarly the Euro looks to have more or less reached its channel objective, as per the chart, so be wary of a decent bounce with SL building above…Continue
Added by FX Charts: www.fxcharts.com.au on December 30, 2011 at 12:27am — No Comments