Starting from this week, our FX Thoughts service will cover the Weekly view on all currencies every Monday. This will be sent in two parts covering three currencies in each part as WEEKLY I and WEEKLY II. The Weekly I will be sent in the morning which will cover EUR-USD, USD-JPY, EUR-JPY and Weekly II will be sent in the evening which will cover GBP-USD, USD-CHF and AUD-USD.

This weekly report will cover the outlook for the entire week and it will also include the Trade plan and possible Trades that would be taken for the week.

Please let us know as how do you find this new FX Thoughts-Weekly service so that we can make further enhancement in this accordingly.

 

SwissUSD-CHF @ 0.9578/81...Bearish. Sell rallies
R: 0.9600-20 / 0.9700-20 / 0.9771
S: 0.9520-00 / 0.9460 / 0.9340-30

 

Dollar-Swiss is continuing to remain bearish. Though it bounced back sharply from its 0.9520-00 Support region, it failed to see a break above 0.9700 last week. Also 0.9520-00 is a very significant Support region to watch for and a break below it might trigger further downmove towards 0.9350-30 this week. 0.9340-30 is a significant Trendline Support region on the Monthly and Weekly.

On the upside, immediate Resistance is seen in 0.9600-20 region a break above which might see 0.9700-50 this week. 0.9700-50 is a very strong Resistance Region seen on the upside. 0.9744 is the 21-Week-MA. As such a rally towards 0.9700 can be considered for taking Short positions. But whether we will see a rally towards 0.9700 is a big question.

Limit Sell Order:
Sell USD 10K at 0.9710, SL 0.9800, TP 0.9350

Trade Ideas for the Week:
1) Sell rallies to 0.9700-20

CableGBP-USD @ 1.5948/50...Might rise to 1.6150-6200
R: 1.6000 / 1.6049 / 1.6150
S: 1.5920-00 / 1.5800 / 1.5750

 

A sharp recovery last Friday is keeping the overall bullish sentiment intact in Cable. But it has very important Resistances ahead at 1.6049 [38.2% Retracement level of the fall from 2.0149 (Jul-08) to 1.3514 (Jan-09)], 1.6107 (Trendline Resistance on the Monthly) which is holding very well as of now. A break above this Resistance might see further upmove towards 1.6150-6200 this week. We expect profit booking to kick in at this 1.6150-6200 region. As such a rally towards 1.6150-6200 can be considered for taking Short position. On the downside 1.5800-5750 is a very good Support region which is expected to hold. A dip towards this Support region can be considered for taking Long position. If the dip towards 1.5800-5750 does not happen and the pair bounces back from the immediate Support in 1.5920-00 region, then we might consider going Long at the market.

Trade Ideas for the week:
1) Sell rallies to 1.6150-6200
2) Buy on dips to 1.5800-5750.
3) Consider going Long if a bounce from 1.5920-00 region happens.

 

AussieAUD-USD @ 0.9907/10...Bullish
R: 1.0000-20 / 1.0100 / 1.0200
S: 0.9830-00 / 0.9720-00 / 0.9600

 

Aussie is trading near its very important Support in 0.9830-00 region. Note that 0.9829 is the 21-Week-MA. The overall uptrend is still intact. Only a strong break below 0.9830-00 Support region increase the chance of a trend reversal. On the upside 1.0000 is a very important Resitance level which has been holding well for sometime. A strong break above 1.000 would take the pair further up towards 1.0200-0300 in the coming days/weeks. Overall the broader uptrend is intact and we would want to enter a Long at the market and would want to add to this position if a dip towards 0.9830-00 Support region is seen in the coming sessions. Also there are chances of the Resistance at 1.0000 to continue to hold. As such we would also take a short position at 1.0000. But since the broader trend is up we will be keeping a very tight stop for this Short position.

Market Trade (at the time of writing:
Buy AUD 10K at current level, SL 0.9780, TP 1.0000

Limit Buy Order:
Buy AUD 10K at 0.9830, SL 0.9780, TP 1.0000