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Obsidian

FX Thoughts of the Day

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New day, new signals :) Let's see what we will have today...

If USD/CAD can't move above 1.0150, selling pressure may increase and may test 1.0040..if bulls take the control, 1.0240

short term is pointing north atm hmmm...

cad1.thumb.jpg.2095e1866ef6b43c2c0e269cb956c882.jpg

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What is moving the market:

The euro rallied broadly on Wednesday after a ratings agency appeared to soften its stance regarding its outlook on Italy, while a media report that the IMF would boost its funding capabilities also pushed the single currency higher.

(source:reuters)

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USD/CHF is sitting on its trend line, a close below 0.94 may push the pair to 0.9315...

I guess the market wants to test 1.20 level, EUR/CHF...I am thinking of longing if that happens...

Any thoughts?

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Asia session was pretty boring, hope we can see some action after London open...

 

It was not a surprise to see 1.2980 (my guess was 1.2970) after eur/usd was able to pass 1.2820...for now I prefer to wait and see what will happen today.

 

Most pairs are at support/resistance levels so don't want to get caught in a bull-bear battle:o

20jan.thumb.jpg.7e1ec55aee177f35b815cc1f6044ba6c.jpg

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next week EUR/USD will probably try to test 1.3121 level as long as we don't sink below 1.2820 area...If we get very good news from the eurozone, we may even see 1.3260. if the pair fails to stay above 1.2965 level the outlook will remain bearish and we may be back to 1.2634 and then 1.2454 level...

 

GBP/USD is in a better shape. Maybe EUR/GBP is helping as well, 0.8370 acts a strong resistance atm. Anyway, I think GBP/USD will test and 1.5587 first and then 1.5670, even 1.5771. However if we go back below 1.5490 I guess things will turn to bearish and we may see 1.5400 and maybe 1.5200.

weekly21jan.thumb.jpg.12819f762916a62db2f55fb6f6627188.jpg

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The market is still very sensible to the news from the eurozone. Yesterday EUR/USD climbed after eurozone finance ministers reached agreement on fund treaty; ESM can make loans without unanimous government backing. Later, EUR/USD slid on news that euro zone finance ministers had sent back for further negotiations a debt restructuring offer from private Greek bondholders. Meanwhile, Germany denied a report that it was ready to boost the combined firepower of the eurozone's rescue funds to €750 billion.

 

If we hear good news, EUR/USD will try 1.3084 and 1.3120/50 levels. Today’s expected range is 1.2907-1.3150. If we go below 1.29, the pair will head to 1.2802 and maybe 1.2730.

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I think USD/CHF will test 0.9315/55 today. Selling pressure will increase if the pair can’t stay above 0.9390 (0.9230 and 0.9150 will be the next targets).

 

Meanwhile, EUR/CHF is coming closer to 1.20 area and SNB will defend this level for sure.

24janusdchf.jpg.554dbb3def501d218b2183815936b17b.jpg

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USD/CAD is consolidating between 1.0150 and 1.0050. The pair does this often and explode in a direction...Waiting for that to happen.

 

EUR/USD is losing its momentum but German Ifo business climate data and the fomc meeting will move the market for sure...if we can pass 1.3120, look for 1.3260...if we go below 1.2960, that means we may test 1.2820.

 

USD/CHF will try to move above 0.9300/15, if it fails I expect to see some support at 0.9225. If it is broken, then 0.9160 is the next target. If the bulls break through 0.9300/15, 0.9360 and 0.9405 will be the levels for bears to defend.

 

GBP/USD is bullish but we are right below a strong resistance area; 1.5650/70...if it breaks, the cable will head to 1.5840...if it falls below 1.5587/78, we will possibly see support at 1.5500

 

I think we may see some retracement today...I am only keeping a long position which I opened earlier (eur/chf)

25jan.thumb.jpg.e619c88eb4df8fc4eb7807da13b4875c.jpg

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What is moving the market:

 

BOE Policy Vote

Tighten = 0 Unchanged = 9 Ease = 0

 

UK GDP

qq: -0.2% vs. -0.1% expected vs. +0.6% previous

yy: +0.8% vs. +0.8% expected vs. +0.5% previous

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USD/CAD made its move...The pair climbed and tested 1.0150 area, then the bears showed their strength and pushed USD/CAD below 1.0050. Even though 1.0000 level looks like the first support now (and it may bounce to 1.0070 from there), the pair is probably headed to 0.9900.

 

USD/CHF is coming closer to next support zone, but the outlook will remain bearish unless it can trade over 0.9300 again. (check chart for next s/r levels)

 

EUR/USD may pull back to 1.3050 before it breaks 1.3120 barrier. I will be looking to buy on dips as long as we stay above 1.2900.

 

If we can stay above 1.5630/00 GBP/USD will test 1.5770. As long as it stays over 1.55, I am bullish

 

Meanwhile, watching EUR/CHF. Thinking of going long 1.2000/50 (with a stop at 1.1970).

26jan.thumb.jpg.e86fea11ec4f70c73df585ce1ab7a743.jpg

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USD/CAD: 1.0000 is holding for now and the pair may bounce back to 1.0070. I am bearish as long as we are trading below 1.0150. If the pair goes below the parity, it may increase the selling pressure, next targets are 0.9905 and 0.9740/05.

 

USD/CHF: The pair will continue to dive unless it can't trade above 0.9300 area. 0.9080 looks like the nearest support. If that support is broken, I will be looking for 0.8930 and 0.8765

 

EUR/USD: Charts show that the market is buying the pullbacks at the moment and first resistance in front of us is 1.3240/60 area. 1.3395 is the next and tougher one. If the pair goes lower, 1.3115 will be first support level. I doubt if we will see 1.3020-1.2960 zone next week but anyway I guess that zone will show strong support. I am bullish as long as we trade above 1.2950.

 

GBP/USD: 1.5770 is a strong resistance so it may push the pair back to 1.5650/20. If bullish momentum continues, we will see 1.5900. 1.5580 is an important level to watch for next week/month. If the pair can't pass 1.58 and falls below 1.5580, we may go back to 1.54

29jan.thumb.jpg.529d4ba04f68f09d260973adc938fade.jpg

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USD/CAD: Bounced back to 1.0070 and headed to parity again. Waiting for a breakout to confirm the direction. Yesterday's candle shows that the usd bulls are not so strong though.

 

USD/CHF: The pair seems to be consolidating between 0.9200 and 0.9100. Close above 0.9225 would indicate that it is going to try 0.9315. If it breaks 0.9080, we will probably see 0.8950/30 next.

 

EUR/USD: 1.3100 support is holding but the bulls still have to break 1.3230 resistance first. News from the eurozone will determine the next levels. Levels which I mentioned in the previous post are still valid.

 

GBP/USD: Yesterday GBP/USD tested 1.5650 support as expected and now headed towards 1.5770 resistance. Let's see how the battle between bulls and bears will end at that level.

31jan.thumb.jpg.42d92879ef4470e3488d3e5d73bd0b64.jpg

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USD/CAD: The pair can't pass 1.0070 so it slipped below parity...

 

USD/CHF: 0.9225 is a tough nut as we can see. So I am going with the bears...

 

GBP/USD: 1.5770 is broken and I am following the bulls...

 

EUR/USD: 1.3230 is still a strong barrier so I am not touching this pair at the moment...

1feb.thumb.jpg.5a6dcc84e0e1f09ed2fab07fe215117f.jpg

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