EURUSD Daily Outlook 23 Feb 2012

Hello everyone

Today I’m gonna show you some of swing techniques on daily chart!

If you look to the daily chart above, you’ll notice that the pair failed in finding resistance around 1.2975 last month, later the pair attacked 1.3300 levels and declined strongly towards 1.2975, at this level we witnessed strong pullback, with the beginning of this week, I got a long entry on daily chart @ 1.3170 but we’re in downward trend, what is that supposed to mean?!!!

It means we have a light bullish trend – bullish correction – on daily chart, this correction is valid as long as the level 1.2975 holds testing 1.3330/90 – possible resistance – a clear break above this area is gonna take us towards 1.3600 levels – strong resistance?!!

How to deal with this situation?

We need to watch these 2 levels on daily chart: 1.3170 & 1.2975

1- A daily close below 1.3170 is gonna test 1.3000 levels – light bearish trend.

2- A daily close below 1.2975 is gonna eliminate this swing and it’s supposed to lead for a massive bearish move towards 1.2500/200 levels…

The other question;  how far this bullish correction could go?!!

We need to watch 1.3330/90 on daily anticipating a sell or pullback from this level! , a clear break above this level is gonna take us towards 1.3600 also we’ll be anticipating a short entry on daily chart around this level in medium term?!!!

By the way, Williams on daily suggests possible bullish breakout in the next few days or may be today, let’s shift down to the 4 hour to figure out what would happen the next 24/48 hours?!!

According to Williams on 4 hour, the most important levels area 1.3120/1.3145?!!

The pair may test 1.3145 before heading towards 1.3330 levels, the other option; 4 hour close below 1.3120 is gonna take us towards 1.2950/30 area

Anyway, the pair may continue rising without testing 1.3145?!!

Hint: a clear break on 4 hour (high, low, close) above 1.3250 probably is gonna take us towards 1.333/90 levels!!!

Trend Direction is Upward, the trend will remain valid as long as the daily close is above 1.2975, technical targets are around 1.3314 & 1.3395

Trading range: 1.3000: 1.3300

Support: 1.3190,1.3159,1.3127,1.3100 , 1.3044 1.3000,1.2933

Resistance: 1.3285, 1.3330, 1.3390,1.3440, 1.3500, 1.3550

Recommendations: Upon the chart and the explanation posted above; my recommendation is selling the pair with a 4 hour closing below 1.3120 targeting 1.3025 and 1.2930 , stop loss at 1.3200.

Silver Daily Outlook 23 Feb 2012

As shown on the 4 hour chart, the pair may test 34.10/34.00 and pullback towards 34.50 or break above this level, I still consider buying the pair around 34.00 risky a bit since momentum indicators suggests possible correction towards 33.50/33.75 before heading towards 35.00 levels

Anyway , If you wanna buy it around 34.00 , you may but remember that your stop is 32.90

Trend Direction is Upward , the trend will remain valid as long as the daily close is above 32.80 technical targets are around 36.60 levels.

Trading range: 33.50 - 35.00

Support:  33.90,33.40, 33.10, 32.80, 32.50

Resistance: 34.40 , 34.75, 35.30, 35.85

Recommendations: Upon the chart and the explanation posted above; my recommendation is buying the pair around 33.65 targeting 34.50 and 34.95 , stop loss at 32.90

Best Regards

Haitham653

Thursday 23 Feb 2012  07:07 AM