Archive for November 17th, 2009
GoLearnForex Analysis 17/11/2009
AUD/USD:
The Aussie continues to strengthen against the Greenback and is now retesting short term resistance at .9343. The Aussie completed the top portion of a double top (as depicted on the Chart by the 2 white boxes) last week but is on the verge of a breakout.
INSERT CHART
The AUD has been holding support along the 40 SMA since mid March. The 40 SMA is currently sitting at .9045. A break below support in addition to a close below the previous higher low (indicated by the red circle) would be a signal to open a Short AUD position.
For the moment we favor a Long AUD position. You can see the formation of an ascending triangle (dotted white lines) with the 40 SMA acting as the slope of the triangle. Anticipated continued weakness in the USD, the AUD’s close tie to commodities, the strength of Australian economy, the carry trade, and the strong trend on the Chart certainly point towards continued AUD strength. We are looking to take some profit at .95 and a further position reduction at .98
NZD/USD:
There are quite a few technicals to note on the Kiwi’s most recent price action. Firstly, similar to nearly all the other G-7′s versus the Dollar the NZD has been trending long and hard. However, back at the end of October it looked like the trend was about to break. The Kiwi hit .76 and started to fall as indicated by the 2 orange parallel lines. The appearance of those line when preceded by a strong trend is called a Pennant.
The 50 day MA has been holding support for the NZD since March. The Pennant reached the 50 SMA and price bounced off of support. Near term resistance is just north of .76. We would maintain a Long NZD position. Near term PNL could be taken at .76 while we target .78 for more significant profit taking.
Analysis by http://www.golearnforex.net
Daily Review 17/11/2009
USD Dollar (USD)
The Dollar dropped versus the other after Fed Chairman Bernanke said interest rates would remain low to spur growth. Retail Sales came out at 1.4% better than 1% forecast but Core Retail Sales came out 0.2% worse than 0.4% forecast. NASDAQ and Dow Jones reached new 13 month highs with 1.38% and 1.45% gains respectively after Bernanke\’s speech. Crude gained by 3.3% closing at 78.87$ a barrel and Gold (XAU) jumped by 2.02% closing at 1140.4$ an ounce. Today, PPI is expected stronger with 0.6% versus -0.6% prior. TIC Long-Term Purchases are expected with 27.3B versus 28.6B prior. Industrial Production is expected with 0.4% versus 0.7% prior. FOMC Member Lacker will speak about his economic outlook at the State House Appropriation Committee in Richmond.
EURO (EUR)
The Euro gained versus the Dollar after Fed Chairman Bernanke commented the interest rates will remain low, spurring Risk Appetite. European CPI and Core CPI came out as expected with -0.1% and 1.2% respectively. EUR/USD traded with a low of 1.4880 and with a high of 1.5014. Today, European Trade Balance is expected with -0.9B versus 1B.
EUR/USD – Last: 1.4970
|
Resistance |
1.5020 |
1.5050 |
1.5115 |
|
Support |
1.4880 |
1.4825 |
1.4740 |
British Pound (GBP)
The Pound reached new 3 month highs versus the Dollar after Bernanke\’s speech spurred risk appetite. Overall, GBP/USD traded with a low of 1.6657 and a high of 1.6876. Today, CPI is expected stronger with 1.4% versus 1.1% prior. RPI is expected with -0.9% versus -1.4% prior.
GBP/USD – Last: 1.6825
|
Resistance |
1.6875 |
1.6900 |
1.6955 |
|
Support |
1.6790 |
1.6750 |
1.6670 |
Japanese Yen (JPY)
The Yen gained versus the Dollar, Euro and the Pound as it Japan\’s economy showed the fastest growth pace in more than 2 years pulling Japan out of the recession. Tertiary Industry Activity came out weaker with -0.5% versus 0.1% expected and 0.3% prior. Overall, USD/JPY traded with a low of 88.74 and a high of 89.72 and EUR/JPY traded with a low of 133.18 and a high of 134.32. No major economic data is expected today.
USD/JPY-Last: 89.10
|
Resistance |
89.40 |
89.65 |
90.00 |
|
Support |
88.75 |
88.60 |
88.25 |
Canadian dollar (CAD)
The Canadian Dollar gained versus the Dollar as stocks and commodities gained. Manufacturing Sales came out 1.4% better than 1% expected and -1.8% prior. Overall, USD/CAD traded with a low of 1.0425 and a high of 1.0540. No major economic data is expected today.
CAD/USD – Last: 1.048
|
Resistance |
1.0515 |
1.0575 |
1.0610 |
|
Support |
1.0417 |
1.0380 |
1.0315 |
Research by http://www.ufxbank.com
How to Choose the Right Currency Trading System
The technological advancements have brought about a number of changes in the world of Forex trading. Many softwares and systems have been developed to make Forex trading easier for the Forex traders. Anyone from any part of the world can join Forex trading with the help of cheaper and more powerful computers and software, along with the rise of the Internet. The currency trading system is one such thing through which you can make huge profits from online Forex trading.
The basic theory of getting success in Forex trading is to buy a system, follow the signals, wait and start making daily profits. There are numerous systems available in the market, though most of them are not capable of making money for you. In this article, we will discuss about a few important things that you should remember while buying a trading system for you.
You need to follow some rules in order to find out the perfect currency trading system for you. You should try to know the way a Forex trading system works, as it will give you confidence on the system and also the discipline to follow it until it makes profits from the Forex market. You should verify the track record of the Forex trading system you are interested in. You should check whether the system has made money in real time, if you want not to be defrauded. You should also make sure the system has been audited in real time with all transaction costs deducted.
It is necessary for you to opt for the Forex trading system that has a simple operating process. It has been found that the simple systems give the best performances in Forex market, as they tend to be more robust in the real world of trading. They also have fewer elements to break in comparison to the complicated ones. You can easily understand the simple Forex trading systems and can also apply easily. As a result, they can be more profitable for you.
Another thing you should check before buying a Forex trading system is how much support the vendor of the system is offering to you. You should also research about the background of the vendor. These things are important as there are many trading systems developed and sold by the marketing organisations and they mostly use hypothetical track records and enticing sales copy. You should also look for a system offering money back guarantee, as it assures that you will not lose your money if the system turns out to be the wrong one for you.
You can easily find out the right Forex trading system for you, if you do your homework properly and keep the above mentioned things in your mind.
Advertisement
Tags
Recent Posts
Blogroll
Forex resources
