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Mysticforex

Chart of the Day

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eur/gbp...0.7985 is holding so far but have to move above 0.8000 tomorrow else 0.7940 is not out of question...meantime, 4H chart is turning bearish

 

not surprisingly pulled back to 07940 after failing at 0.8000..

daily candle looks interesting but going to wait..

who said close of the bar is meanigless :doh:;)

eurgbp25.thumb.jpg.8d82cb74ce348cd55e5751b1aa95d826.jpg

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---------------------------------------------------------------------------------------------------------------------------------------

 

 

GBP/NZD is within reach of the yearly highs and a break above the 2.0300 level puts the pair on path towards 2.0500 while 2.000 now offers solid support.

GBPNZD01_30_14.COD_.jpg.eafe1d2ef3cae642a1cead90437b8516.jpg

Edited by Mysticforex

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Technically, today’s rally in AUD/NZD has taken the currency pair to the first standard deviation Bollinger Band, a potential level of resistance. If AUD/NZD breaks above this point, the next resistance will be at 1.0920. On the downside, there is some support at 1.07 but the more significant support is at the 8 year low near 1.05.

audnzd013014.png.68500795aef2b3a36a07e14ed2c86350.png

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Technically EUR/GBP is now consolidating and basing after a steep selloff with support coming in at 8160 while resistance is at 8350. If the pair can push higher then the next upside level is 8500 while a break below the year's lows opens a run towards 8000.

EURGBP2_04_14.COD_.jpg.ce1712e1c9d5cb2577829f02f557f296.jpg

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With the European Central Bank meeting later today, EUR is in play. EUR/JPY in particular has been confined within a narrow 200 pip range for the past 3 days between 136 and 138, making the currency pair prime for a breakout. Central bank rate decisions are the perfect catalyst for big moves even if the ECB does not change interest rates. Every month the head of the ECB delivers a press conference where he provides his latest economic and monetary policy outlooks. Mario Draghi’s comments almost always move the euro as traders express their enthusiasm or disappointment with the central bank’s views. EUR/JPY’s reaction to Draghi will depend on whether he acknowledges the recent economic improvements in the economy or ignores them again. Having only strengthened their forward guidance last month, the central bank will be wary of sounding overly optimistic and risk driving rates higher. The odds favor EUR/JPY negative comments from the ECB but most market participants expect the central bank to be dovish so any hint of optimism could send EUR/JPY sharply higher.

eurjpy020514.png.ce23559c72c00451526f23b7f542f7e2.png

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GBP/CAD:

GBP/CAD tested but failed to break below 1.80 for the past 4 trading days. This level was also an important area of resistance in mid January. Given the fundamental outlook, we think there is a chance this support will break at which point the next stop will be 1.78. On the upside, if GBP/CAD breaks above 1.82, the currency pair could extend to 1.84.

gbpcad020714.png.c3b6031ba6ca427aa4c0bf2959f05e51.png

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AUD/NZD remains in a broad 1.0500-1.0900 range with the pair still holding on at the top end of the channel. A break above 1.0930 opens the path to a test of the key 1.1100 figure, while a break below 1.0730 creates the conditions for a run to the lower end of the channel at the 1.0500 area

AUDNZD2_10_14.COD_.jpg.18f920ca191ae3bb2b746fb409130b9f.jpg

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AUD/USD:

 

The daily candle closed bearish, just missing a recent high from Jan 13th 2014

Look s like resistance at the upper B band.

 

Also , on the weekly chart it seems to have resistance at the middle band.

I don't use BB. I do know one well known analyst who would consider the daily chart, with the candle between the middle and upper band to be in the "Buy Zone". I have a hard time subscribing to that.

Any regular BB users out there care to give an opinion?

( the daily should have been first, I got it reversed. Sorry).

auw.thumb.png.debb33bd2ef7cc9a57cc0cc80b572b0f.png

aud.thumb.png.be579afa958afbb7946a23847b3efb16.png

Edited by Mysticforex

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EUR/CHF has been in a very long 1.2200-1.2500 channel spanning several years. Every time it has approached the 1.2100 level the pair has been able to rally, but if support is broken the cascade of stops could accelerate the momentumto a true test of the 1.2000 level.

EURCHF02_22_131.jpg.bc48bfa9c73773d64582ceec1847e0fe.jpg

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