Daily Forecast for Crosses: May 06

By @ibtimes on

EURJPY Forecast

The EURJPY had a significant bearish momentum yesterday, bottomed at 116.13 and closed at 116.91. The bias is bearish in nearest term especially if price able to make a clear break below 116.00 which can be a good intraday support at this phase testing 114.00 area. As you can see on my daily chart below, since the fall from 123.31, price may form a descending triangle bearish formation which would be validated on a clear break below 116.00. Immedidate resistance at 118.00 followed by 119.50. Huge movement yesterday forces our support/resistance level much wider so unless you have a good risk – reward ratio, do not rush jumping into the market.

GBPJPY  Forecast

The GBPJPY continued its bearish momentum yesterday, bottomed at 130.89 after made a clear break below 132.97 as you can see on my h4 chart below. The bias remains bearish in nearest term targeting 130.20. Immediate resistance at 132.97, which is the best place for a short position with good risk –reward ratio. A clear break above 132.97 would lead us to neutral zone in nearest term as direction would become unclear testing 134.00 area.

AUDUSD Forecast

The AUDUSD continued its bearish momentum yesterday, slipped below 1.0581 but had a strong bullish pullback earlier today in Asian session and hit 1.0733. The bias is neutral in nearest term. The major scenario remains bullish but price is still in a bearish correction/consolidation phase. A clear break and daily close below 1.0581 could continue the bearish correction. Immediate resistance at 1.0770. A clear break above that area could trigger further bullish momentum testing 1.0877 . We need a clear break at least above 1.0877 to keep the major bullish scenario strong aiming for another new all time high projection.

©2011 FX Instructor Forex Blog - For Traders, By Traders. All Rights Reserved.

.

Join the Discussion