EURUSD-EUR traded higher on Tuesday breaking above its .786 Ret at 1.3231 to close at 1.3282.Maintaining above this level puts the pair in position to run at its 20 months high at 1.3365 where a successful break if seen should trigger gains targeting 1.3405, its broader range breakout target followed by its April’05 high at 1.3482.Above here,a stronger resistance lies at 1.3667, its Dec’04 high. Its longer-term charts remain in support of this bullish outlook. If the 1.3231 level gives way to the downside its April’05 high/Nov 27’06/Dec 11’06 high low at 1.3130/1.3086 becomes exposed with a break extending weakness towards its Jun’06 high/psychological level at 1.3000/1.2981.On the whole,this zone should hold and preserve EUR’s longer term upside campaign.
Support Comments 1.3219/19 Nov 28’06 high/.786 Ret(1.3667-1.1640) 1.3126/1.3086 April’05 high/Nov 27’06 low 1.3000/1.2981 psycho level/Jun’06 high 1.2901/39 Nov 10’06 high/Aug’06 high
Resistance Comments 1.3365 Dec’06 high 1.3405 Broader range breakout price target 1.3482 Mar’05 high 1.3667 Dec’04 high
GBP Extends Upside Gains
GBPUSD- GBP made a run to the upside on Tuesday following its Monday strength taking it back above its Dec’04 high at 1.9552.With this new strength, GBP should now attempt at challenging its Dec 08’06 high at 1.9726 ahead of its 14 months high at 1.9848 with a break paving the way for gains towards its psychological resistance at 2.000 and its 1991/1992 highs at 2.0045/2.0110.This view is supported by its longer term charts.On the other hand, a failure to hold above the present levels could see the pair targeting its Monday low/.382 Ret/Nov 29’06 low at 1.9465/34 where if further downside pressure continues, would push it lower towards its Mar’06 high/Nov 27’06 low at 1.9327/06.A loss of this level exposes its April’05/Nov 10’06 highs at 1.9218/1.9177.These key technical support zone is expected to hold and preserve the pair’s primary uptrend.
Support Comments 1.9552 Dec’04 high 1.9327/06 Mar’05 high/Nov 27’06 low 1.9218 April’05 high 1.9177 Nov 10’06 high
Resistance Comments 1.9726 Dec 08’06 1.9848 Dec 01’06 high 2.000 Psychological Resistance 2.0045/2.0100 1991/92 highs
Mohammed Isah Independent Analyst Exclusively for Spencer Financial LLC misah@spencerfx.com
The information has been prepared for information purposes only. The document is not intended as personalized investment advice and does not constitute a recommendation to buy, sell or hold investments described herein. This information contained herein is derived from sources we believe to be reliable, but of which we have not independently verified. Spencer Financial LLC assumes no responsibilities for errors, inaccuracies or omissions in these materials, nor it shall be liable for damages arising out of any person's reliance upon this information. Spencer Financial LLC does not warrant the accuracy or completeness of the information, text, graphics, links or other items contained within these materials. Spencer Financial LLC shall not be liable for any indirect, incidental, or consequential damages including without limitation losses, lost revenues or lost profits that may result from these materials. Opinions and estimates constitute our judgment and are subject to change without notice. Past performance is not indicative of future results
Disclaimer: All information on this web site is subject to change. The use of this web site constitutes acceptance
of our user agreement. All publisher financial articles at
FXtree.com are those of the individual authors and do not represent trading recommendations
of FXtree.com or its staff.
