Daily Close…Asian And European Trading Plan
2012
To start the week the markets gaped higher and appeared content with he situation in Europe. Then second thoughts and confusion set in and most of the majors retreated from significant support and resistance levels. I will be keeping an eye on the USDJPY and AUDUSD heading into Asian and European trading. The USDJPY broke below the ascending trend line that has supported the pair so far this month. This could trigger a move lower towards 79. The AUDUSD as of the close of New York trading is also testing trend line support. A break or hold of this level will be pivotal. If the cross bounces at this level we could be in for another test of parity and the 50 fib at 1.0027. If the pair gives this level away the AUDUSD could rapidly move down towards .98. In European trading the GBP will release Industrial Production and GDP. These number could dictate price action in the short run. Below is a rundown of the major. As always keep you trade KEANE.
STARTED WITH A BANG ENDED WITH A THUD
The EURUSD has steadily lost ground since jumping higher into the start of the week. Headline risk is still a concern. Any statement out of Europe could send the pair tumbling lower. Heading into Asian trading support can be found around the ascending trend line around 1.2450 followed by daily support at 1.2430. Solid resistance doesn’t begin until the .382 fib from the May decline around 1.2667.
Sup 1.2450/30
Res 1.266
GBPUSD GDP ON THE WAY
The big news out of the UK today was the 1-1 draw with France. Nothing else was really important. But if we must discuss the GBPUSD here we go. The Pound lost ground against the USD in North American trading after pushing higher into the beginning of the week. The pair appears to have found a bit of traction around 1.55 but technical support doesn’t begin until the ascending trend line around 1.5440. Resistance still begins around 1.56. Industrial production and GDP on tap for European trading
Sup 1.5440
Res 1.56
AUDUSD TESTING TREND LINE SUPPORT
The AUDUSD has had a wild ride so far this week the pair tested parity once again to start the week before starting a a journey lower. Into the close of New York trading the cross is testing the ascending trend line around .9890. a break of this level would open the pair up to a move down towards .98. Resistance can still be found at parity and the 50 fib just above at 1.0027.
Sup .9890
Res 1.00/1.0027
NZDUSD THE TREND IS UP
The NZDUSD has lost ground today in New York trading. The pair has yet to fill the gap from the jump into Monday’s trading. Looking at the pair with a larger view it is still clear the cross has followed an ascending trend line higher throughout the month. Until this line is broken we must assume that the trend is up. Trend line support is currently at .7670. A break of this level exposes .76. Resistance begins at .78 followed by the 50 fib just above at .7844.
Sup .7670
Res .78
USDCAD SAYS HELLO AND GOODBY TO 1.02
The USDCAD bounced quickly of the 1.02 level to start the week to test resistance up at 1.0310. If the pair break through current resistance we could see a test of the descending trend line at 1.0340. Support is still down at 1.02. We could see a bit of consolidation in the near future.
Sup 1.02
Res 1.0340
USDJPY BROKE TREND LINE SUPPORT
The USDJPY has been jogging higher throughout the month. On Monday in New York Trading the Pair broke below trend line support. The cross could move from this point to test daily price support at 79. Resistance begins at 79.75 followed by 80.10.
Sup 79
Res 79.75
