Euro/Usd weerstanden voor 8 maart 2011

[Armijn]

Coming up Today (All Times GMT)
CAD Housing Starts (13:15)
GBP BoE Governor Mervyn King Speaks (Tentative)
Forex traders are watching Oil and Gold prices, as both are under pressure this morning. Their weakness has caused a small fall in safe haven currencies as both the Yen and Swiss Franc are marginally lower. Nonetheless, with fighting in Libya continuing, this morning’s easing in Gold and Oil may be short lived.

EURUSD

After hitting a four month high of 1.4018 yesterday, the EURUSD traded lower on yesterday’s overall risk selling. Nonetheless, the pair continues to look strong as 1.3940 support held up well. As such, the EURUSD looks poised for another move back above 1.4000 today, and could have more room to rally if yesterday’s high’s are broken.

Support/Resistance 1.3940/1.4020

GBPUSD

The GBPUSD continues to look weak as it once again failed to trade above its 1.6350 resistance, before selling off hard yesterday. Most importantly, the pair closed the evening session below its 1.6200 support which could indicate that buyers that were stepping in to support the pair at the level are backing off. Therefore, the pair is vulnerable to additional weakness and could hit the 1.6100 level today, if 1.6180 support is broken.

Support/Resistance 1.6180/1.6350

USDCAD

Although we usually don’t report on the USDCAD in our morning analysis, the pair is in an interesting formation as it has traded it a tight trading range of 0.9700 & 0.9770 for the past 10 days. The USDCAD has been in a multi month downtrend as US economic fundamentals have been lagging its northern neighbor. However, the trading action appears to be revealing that sellers may be putting on the brakes as US employment figures were better than expected last week. As such, the pair could be an upside breakout candidate if it trades above and closes the day above its upper resistance level.

Support/Resistance 0.9700/0.9770