Here is the Weekly view for three currency pairs (USD-CHF, GBP-USD and AUD-USD). We have started giving from last week the Weekly outlook for the currencies every Monday. This would cover the outlook and Trade plans for the entire week.
 
SwissUSD-CHF @ 0.9430/33...Bearish
R: 0.9500 / 0.9550 / 0.9600-20
S: 0.9400 / 0.9320-00 / 0.9250

 

Dollar-Swiss remains in its strong downtrend. Last week it failed to see a strong break above 0.9600. Immediate Support is seen at 0.9400 and a break below it might pull it down towards 0.9300-9250. A break below 0.9250 would trigger fresh downmove towards 0.9000-0.8800 going forward. On the upside Resistance is seen in 0.9500-50 region. If the Support at 0.9400 holds, we might see a test of this 0.9500-50 Resistance region. A rally to this Resistance region can be considered for taking Short position.

However, given that USD-CHF has fallen 20.7% from 1.1731 (Jun-10) to 0.9300 (Jan-11), will there be a short covering rally? We will have to wait and watch. But at the moment while below 0.9500-50 Resistance region, the stance would be bearish targeting 0.9250-9000.

Trades for the Week:

Limit Sell Order:
Sell USD 10K at 0.9500, SL 0.9590, TP 0.9250
Sell USD 10K at 0.9540, SL 0.9620, TP Open

Stop Loss Sell Order:
Sell 0.9380, SL 0.9440, TP 0.9250

CableGBP-USD @ 1.5887/90...Support in 1.5800-5780 region
R: 1.5920 / 1.6000 / 1.6050
S: 1.5800-5780 / 1.5700 / 1.5600

 

The Support at 1.5750 mentioned in our Weekly view held very well and Cable has bounced back very well from the low of 1.5750 last week. Support is seen in the broad 1.5800-5700 region. Immediate Support is seen in 1.5800-5780 region which is expected to hold incase a dip is seen from current levels. The overall outlook is bullish and we might see a bounce back once again towards 1.6000-6050 in the coming days. A break above 1.6050 might take the pair further up towards 1.6200-50. As such we will be playing from the long side on the pair for the week. A dip to 1.5800 can be considered for taking long.

In the broader picture, 1.6200-50 is a significant Resistance region to watch for. A strong break above this Resistance region would open doors for a rise to 1.6700. However, failure to see a break above 1.6250 might see a fall towards 1.5000 in the long term.

Trade ideas for the week:
1) Buy on dips to 1.5800 with tight stop for a rise to 1.6000

Limit Buy Order:
Sell GBP 10K at 1.5800, SL 1.5770, TP 1.6000

 

AussieAUD-USD @ 0.9932/35...Mixed
R: 1.0000-20 / 1.0070 / 1.0150
S: 0.9863 / 0.9800 / 0.9720

 

Aussie is consolidating between over the last three weeks within its overall uptrend. The 21-Week-MA (currently at 0.9863) is very crucial Support level to watch for on the downside. The outlook is mixed and it is not clear whether the uptrend is over and an eventual fall below the important 21-Week-MA looks likely? or we could see a lengthy sideways move in the wide range of 0.9600-1.0300? Things are not clear to give an answers to these questions. But as of now there is no damage to the trend and as such we would want to be on the Long side rather than selling the rallies. We are already holding a long and we would want to add to this if a dip to the 21-Week-MA is seen.

Holding:
AUD 10K Long at 0.9942, SL 0.9850, TP 1.0000

Limit Buy Order:
Buy AUD 10K at 0.9870, SL 0.9830, TP Open
As soon as the market trades 1.0000 after entry trail SL to 0.9890.