EURUSD Trades Near Key Resistance Cluster Around 1.3360!

The EURUSD trades now near to an important resistance level around 1.3365 ,what do we have here:

1- The long-term bear channel resistance around 1.3350/70 area.

2- 38.2% Fibonacci retracement of  August 2011 highs to January 2012 lows at 1.3360.

3- The neckline of double top pattern on 4 hour at 1.3365.

4- The low of Sept 2011 1.3361 , the first monthly candle that closed below EMA 50.

5- Daily RSI touched the 60 level, suggests possible reversal , a trend continuation, a break below the 60 level would give the pair strong bearish momentum..

Well, A rejection from this level probably would test the neckline 1.3000, a break below 1.3290 is supposed to add strong bearish tune to the pair but losing 1.3190 definitely would test/ break 1.3000.

A clear break below 1.3000 would confirm the head and shoulders patterns and it would test 1.2500 levels very soon , that would be a trend continuation for long term trend..

If however the market breaks above 1.3365, the area around 1.3800 is suggested , according to monthly EMA 50 , a  monthly close above 1.3361 - a few days left -  would test the area around 1.3800 high of Nov 2011 , around this level as I said we have also 61.8 retracement of late Aug high and Jan low around 1.3800..

Best Regards

Tuesday 27 Mar 2012 06:44 AM

Views: 1999

Tags: EUR, EUR/USD, USD

Comment by Haitham653 on March 27, 2012 at 7:06am

Daily Recommendations:

1- Buy EURUSD around 1.3310 , S/L 1.3260, T/P 1.3360 & 1.3420

2- Buy GBPUSD around 1.5920,  S/L 1.5860, T/P 1.5970 & 1.6025

3- Sell USDCHF around 09060 , S/L 0,9100, T/P 0.9020 & 0.8970

Regards..

Tuesday 27 Mar 2012 07:03 AM

Comment by Haitham653 on March 27, 2012 at 7:22am

Sell GBPJPY at 132.15 ,S/L above 132.55 , T/P 131.45 & 130.95

Comment by Bassam Abou Rabia on March 27, 2012 at 9:39am

Hi Heitham

If u r recommending selling GBP/JPY while in the same time recommending buying GBP/USD then what ur saying is that USD/JPY will fall sharply...Then shorting USD/JPY is more safe and by far more profitable than shorting GBP/JPY

Comment by Haitham653 on March 27, 2012 at 10:17am



Hello Bassam..

My entry on GBPUSD  around 1.5920, market price is around 1.5990 now, So It may drop 50 pips at least even more...

USDJPY is ranging between 82.30/83.00 ,..

Anyway GBPJPY , according to 30 min chart I have bearish breakout at 132.15, it's normal to drop 50 pips even 100 pips is suggested..

According to 4 hour , I have bullish breakout at 131.90 It could be fake since the level 132.50 was rejected so a clear break above 132.50 is indeed to resume the upward move , the 4 hour suggests a test to the area around 131.60/20 before pulling back towards 132.50...

The last thing the bearish breakout on 4 hour happened last week around 130.70 is protected by 132.50 area this is where the bullish breakout was rejected ..

Conclusion: a clear break above 132.50 would test 133.50 If this important resistance is taken out the next target would be 140.00 area..

Losing 130.00 level would test 126.00 level  then a big reversal towards 140.00 levels is suggested.

So the pair is ranging in medium term between 130.00 and 133.50....both sides are suggested in this area...

About selling USDJPY, yes is more safety but not more profitable..

Regards..

Comment by muhammad aswad on March 27, 2012 at 10:41am

hello mr haitham.....

how about eur usd ...now i hold buy 1.3388 and sell stop 13348.............any suggest for 4 housr to go.........

Comment by Bassam Abou Rabia on March 27, 2012 at 11:10am

Thnak u heitham for ur detailed reply.

In my opinion i would never analyze the graphs of pairs like GBP/JPY beacuase they are merely the resut of the behaviour of the MAJOR pairs GBP/USD and USD/JPY graphs and thats why i can not talk about specific supports or resistances or psychological levels for GBP/JPY.

And yes u r right GBP/JPY is more profitable than USP/JPY.

 

 

Comment by Areej Shehri on March 27, 2012 at 11:53pm

thank you such a great review (:

Comment by Haitham653 on March 28, 2012 at 8:37am

Hello Muhammad aswad, sorry for late, I've already seen your comments, EURUSD is 1.3365 now , I recommend to exit both trades since the market is unclear yet...Regards..

If you wanna risk a bit hold your short with stop 1.3410...

Comment by 3MM on March 28, 2012 at 8:56am

Hi Mr.Heitham.

Please, check your inbox. I asked you something.

Regards.

Comment by Haitham653 on March 28, 2012 at 9:10am

I've already checked , check yours...

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