EURUSD

Trading strategy: stand aside

Downside comes under renewed pressure as support around 1.3650 formed by the descending trend line coming from 1.3840 along with last week's top side failed to hold. As the pair continues to bounce off support zone around 1.3450 but fall back from resistance region around 1.3700 too in a ping-pong manner, it's not possible to maintain a clear course. Therefore, bullish momentum has weakened on a short-term basis since holding gains above last 3 weeks opening prices - above 1.3650/60 - would have been an important sign that recent fast recoveries from the 1.3450 zone were pointing upwards, to 1.3850, perhaps higher. Speaking of current conditions - intra-day support zone formed by the fib retracement ratios of the last up leg from 1.3435 to 1.3735 - at 1.3550, respectively 1.3585 - are providing an interim support region. If it holds, resistance comes very near - at 1.3630, but I don't expect it to hold, as bouncing off fib ratios usually means re-testing swing's top - 1.3700/35 in this case. On the lower side, below 1.3550 comes 1.3500 and recent bottom region around 1.3450. Today is the NFP day - data being released at 13:30 GMT, expected to print -20k. Current exchange rate is 1.3581  @07:15 GMT

Support: 1.3550, 1.3500 and 1.3440/50
Resistance: 1.3630, 1.3700, 1.3735/50, 1.3780 and 1.3840/60
Market sentiment: long term - bullish, medium term - bearish, short term - bearish, intra-day - bearish

EURUSD
EURUSD 4hrs chart 3-5-2010

USDJPY

Trading strategy: short at 90.00, stop at 90.40(1% risk), objective at 89.40

Resistance around 89.40 is under pressure as the dollar recovered some ground against the yen but renewed selling may emerge around the 90.00 so I'm considering an opportunity to sell if it gets up there.Current exchange rate is 89.32 @07:15 GMT

USDJPY
USDJPY 4hrs chart 3-5-2010

GBPUSD

Trading strategy: small short at 1.5150, stop at 1.5210 (0.5% risk), objective at 1.5050

Cable is still facing solid selling on its attempts to recover and the 1.5000 mark provides intra-day support, backed by 1.4950/65 lower. The falling trend line coming from 1.5810 is limiting the upside and provides a selling point - now around 1.5070. Short-term sentiment remains highly bearish and more downside action is likely. Current exchange rate is 1.5026 @07:15 GMT

GBPUSD
GBPUSD 4hrs chart 3-5-2010

Have a great weekend!