Forex Technical Analysis 2012/02/03 (EUR/USD, GBP/USD, USD/CHF, AUD/USD, EUR/JPY) Forecast FX

Forecast for March 2^nd, 2012

EUR/USD

The EUR/USD currency pair continues falling down according to our forecast, it made a significant descending movement from the level of 1.3470 into the area 1.3290. Currently the price is moving at the level of 1.3330. The RSI indicator was supported, we should expect a rebound from the current levels and the start of the rising movement. One can consider buying the pair with the tight stop. The closest target of the growth is the level of 1.3565, the area for purchases is the level of 1.3215. If the price breaks the rising channel’s lower border, this case scenario will be cancelled and we should expect the pair to continue moving downwards.

GBP/USD

The GBP/USD currency pair is moving upwards, and it is not as we predicted. Yesterday the price reached a new local maximum at the level of 1.5990. Currently we should expect the pair to continue growing up. The closest target of the rising pattern is the area of 1.6100, one can consider buying Pound with the tight stop. The test of the trend’s rising line (which is a support line here) at the RSI is an additional signal to buy the pair. If the price breaks the level of 1.5870, this case scenario will be cancelled.

USD/CHF

Franc, like Euro, started the correction, in the area of 0.8940. At the moment the price is moving at the level of 0.9035, one can consider selling the USD/CHF currency pair with the tight stop at the current prices. The test of the trend’s descending line at the RSI is a signal to start selling the pair. Judging by the price movement structure, we can’t exclude a possibility that it may try to test the level of 0.9125. Right now the target of the fall is the area of 0.8680. If the price breaks the level of 0.9150, this case scenario will be cancelled.

AUD/USD

Australian Dollar didn’t fall down, and, just like Pound, tested local maximums at the level of 1.0855. At the H1 chart of the pair we can see the formation of the rising pattern, and right now the price is testing the rising channel’s lower border. One can consider buying the pair with the tight stop at the current prices. The target of the pattern is the area of 1.0910. If the price falls down lower than 1.0715, this case scenario will be cancelled.

EUR/JPY

The EUR/JPY currency pair continues moving inside the rising trend. After the correction from the level of 110, the price fell down into the area of 107.14. Currently the pair is moving at the level of 107.90. Judging by the price movement structure, we may assume that the target of the growth will be the area of 115. At the moment the RSI indicator is testing the trend’s rising line, we should expect a rebound from the current levels and the start of the rising movement. The closest target of the growth is the area of 112, which is expected to be a starting point of the correction to the channel’s lower border in the area of 109.