GBPUSD: Resumption Of Its MT Trend To Target The 1.7000 & Beyond..
GBPUSD-As a sharp rally saw GBP breaking and holding above its YTD high at 1.4742 to close higher at 1.6938 on Monday, threats of a continuation of that breakout is now seen towards the 1.7000 level, its psycho level with a loss of turning focus to the 1.7100 level and then the 1.7200 level. This view is clearly supported by its daily, weekly and monthly studies which are bullish and pointing higher suggesting more strength. However, on a pullback from its current price levels, the 1.6742 level will be targeted ahead of the 1.6584 level, its July 23'09 high and subsequently its July 22'09 low at 1.6308. Further down, the 1.6034 level, its July 13'09 low and its July 08'09 low at 1.5984 come in as next supports. Its MT rising trendlinealso provides a strong upside case medium term. All in all, having retargeted the 1.6742 level and triggered its medium term uptrend, further upside momentum is now expected.


Support Comments

1.6742 Jun 30'09 high
1.6584 July 23'09 high
1.6308 July 22'09 low

Resistance Comments
1.7000 Psycho level
1.7100 Psycho Level
1.7200 Psycho level

EURUSD: Breaks Out, Keeps Sight On The 1.4719 Level.
EURUSD-Having decisively taken out its strong resistance at the 1.4339 level, its YTD high and the 1.4363 level, marking its Dec'08 high, EUR has now cleared the way for further price incursions towards the 1.4719 level, its Dec 18'08 high. Invalidating the latter will set the stage for further upmovetowards the 1.4865 level, its Sept 2009 high and possibly higher. Its daily studies are bullish and trending higher suggesting further strength. However, pullbacks if seen should target its eroded resistance turned support at 1.4363/39 where a cap is expected. If that level gives in, further downside could be seen aiming at the 1.4303 level, its July 28'09 high and then the 1.4200 level followed by its July 09'09 high at 1.4072. As momentum has turned higher having resumed its medium term uptrend, further upside gains are expected. On the whole, with medium term uptrend triggered, EUR is now poised to head further higher.


Support Comments
1.4363/39 Dec'08/Jun 03'09 highs
1.4303 July 28'09 high
1.4071 July 09'09 high

Resistance Comments
1.4719 Dec 18'08 high
1.4865 Sept 2009 high
1.5000 Psycho Level