EURUSD: Loss Of Momentum Puts Pressure On The Downside

EURUSD-As loss of upside momentum triggered at the 1.4446 level, its Aug 05'09 high continues pushing the pair further lower on Monday, risk of additional downside pressure towards the 1.4006/00 level, its July 29'09 low/psycho level is now envisaged. If a snap below there occurs, its MT rising trendline currently at 1.3850 will be targeted where a cap is expected. Further evidence is provided by its weekly shooting star candle last and its bearish daily momentum indicators. To the topside, its invalidated support at the 1.4339 level will now be targeted as the next resistance on any recovery higher with a break setting the stage for further upside gains towards the 1.4446 level, marking its Aug 03'09 high. Beyond that level if seen will turn attention to the 1.4719 level, its Dec 18'08 high and possibly higher. On the whole, having halted its recent upside gains, corrective declines are now seen.

Support / Comments
1.4071 / July 09'09 high
1.4006/00 / July 29'09 low/psycho level
1.3850 / MT rising trendline

Resistance / Comments
1.4339 / Jun 03'09 highs
1.4719 / Dec 18'08 high
1.4865 / Sept 2009 high


USDJPY: Corrective Pullback Triggered, Targets The 95.87 Level

USDJPY: With its recent gains through its falling channel halting at the 97.77 level, USDJPY has begun the correction of its rise off the 91.73 level, its YTD low and now targets the 95.87 level, representing its July 30'09 high. Reversal of roles is expected at that level to provide support and possibly turn the pair higher again. Other supports are located at the 94.82 level, its July 30'09 low and then the 92.70 level, its July 14'09 low. Its daily RSI is bearish and trending lower supporting this view. On the upside, its Aug 07'09 high comes in as the initial resistance with a clearance of there pushing the pair further higher towards the 98.88 level, its Jun 05'09 high and then its May 07'09 high at 99.76. On the whole, although the pair has lost upside momentum and triggered corrective pullbacks, as long as it maintains above its invalidated broken falling, nearer term outlook remains higher.

Support Comment

95.87 / July 30'09 high
94.82 / July 30'09 low
93.08/ July 23'09 low

Resistance Comments
98.88 / Jun 05'09 high
99.76 / May 07'09 high