Looking Ahead to Thursday by reflecting back on Wednesday's trading
New Contract Highs for the Canadian and Australian Dollar (but is a retracement now expected?)
CURRENCIES: 04/08/10 Higher settlements yesterday for the Japanese Yen, Aussie Dollar and dollar index while lower for the Euro Fx, Swiss Franc, British Pound and Canadian Dollar. The Euro continues to be in a down-trend while the franc continues to have a different chart pattern but was hurt by Tuesday's acton and is back in a strong support area. Normally, these two currencies have the same chart pattern. The yen settled higher again also but is still in a strong down-trend overall. On the other hand the yen has some resistance around the 1080 area but really very little up to 1100 basis the June contract. The Canadian Dollar made another new CONTRACT HIGH but closed lower this time in reversal type action. Now we can look for a possible retracement down to the 9800 area. Still this currency is is in a strong uptrend overall. The pound closed one tick lower still forming a possible bottom while relatively close to a buy signal. The Aussie Dollar made another new CONTRACT HIGH AND CLOSE as shown below while the dollar settled higher again, after holding a strong support around the 8100 area last week, continuing to be in an uptrend overall acting like it will test its highs. BUY SIGNALS FOR THE DOLLAR INDEX, CANADIAN AND AUSSIE DOLLAR. SELL SIGNAL FOR THE EURO FX. CALL FOR DETAILS!