Wednesday April 20, 2005 - 08:28:29 GMT
Share This Story
FXstreet.com - www.fxstreet.com
Forex Morning Meeting - European Session, 20/4/2005
Good morning everyone from FXstreet.com. The Crude is near $54 again, after holding the $50 psychological level. In the US stock markets, the Dow Jones Industrial Average closed around 10.125, a bit of relief after previous losses.
Forex Technicals at a glance
Euro/Usd: At the time of this writing, the pair is trading around the 1.3045 level. Not much to be added to yesterday’s report. Price made another mini-rally and tried to reach the 1.31 level, but failed by some distance, capped by the 50-day resistance, situated around 1.3080. As pair moves up, we can clearly see the difficulties the EUR is finding in gaining real strength against the dollar. Taking into account the current geopolitical tensions between China-Japan, that if anything they should be dollar negative, the single currency is only gaining in marginal percentages. It remains weak while below 1.3150, therefore previous view still valid. Indicators are still mildly-positive for the pair.
Moving averages overview: EUR has its 200-day moving average today at 1.2808. Pair has a bearish cross by the shorter moving averages. Pair is above 20-day moving average now.
Indicators watch: Indicators watch-level 1 (signal generator): EUR Positive – no signal (flat). Indicators watch-level 2: EUR Neutral.
Gbp/Usd: At the time of this writing, the pair is trading around the 1.9170 level. Pair kept on gaining momentum and it is now seriously testing the downtrend line from december, 2004. Should it be broken on a closing basis, we could be talking of the start of a real bullish momentum for the british currency. We will see. Today, 8:30am GMT, we have the release of the Bank of England Minutes and I think that will drive the market either way. Though bearish view is preferred since we have a bearish trendline working, pair would need to go back below 1.89 to confirm this view by offering good risk/reward selling opportunities.
Moving averages overview: GBP has its 200-day moving average today at 1.8613. Pair has a bearish cross now from the short moving averages. Pair is above both moving averages now.
Indicators watch: Indicators watch-level 1 (signal generator) : GBP Neutral – no signal (flat). Indicators watch-level 2: GBP Neutral-Negative.
Usd/Chf: At the time of this writing, the pair is trading around the 1.1835 level. Unfortunately, pair did broke the 50-day moving average to the downside on a closing basis and it is fighting hard to re-gain it. Only a move back above 1.20 will enlighten the way. While holding above 1.1820-1.18 it may attract new buyers to further support. Biggest support around 1.16 for now.
Moving averages overview: USD has its 200-day moving average today at 1.2046. Pair has confirmed a bullish moving averages cross, but is below them both now.
Indicators watch: Indicators watch-level 1 (signal generator): USD Neutral - no signal – (flat). Indicators watch-level 2: USD Neutral.
Eur/Gbp: At the time of this writing, the pair is trading around the 0.6805 level. Pair did break the 0.68 level and made a new low, but quickly moved back up and currently is trading above that level. Though testing the 0.6775 level can’t be ruled out, pair could move up from here, though it has to face too many resistances on the way before giving clear bullish indications.
Moving averages overview: Pair has its 200-day moving average today at 0.6878. Pair has a bearish cross now from the short moving averages confirmed today.
Indicators watch: Indicators watch-level 1 (signal generator): EUR Neutral-Positive (no signal). Indicators Wacth-level 2 : EUR Neutral.
Indicators watch-Level 1: Trend indicators Direction, providing some useful investment information.
Indicators watch-Level 2: Momentum Indicators Direction (working in pairs), providing current market sentiment for the instrument.
Forex Trading News
Daily Forex Market News
Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."