The euro tested
key short-term resistance at $1.2985 before
retracing and closed for its fourth consecutive
positive daily gain. A movement through the
$1.2985 level opens up further short-term
resistance at $1.3008/10 but a near-term
pullback to $1.2944 can’t be ruled out.
Entry Limit Order:
Buy at
1.2929
Exit Limit (take profit):
Sell at
1.3043
Exit Stop (cut loss):
Sell at
1.2883
USD/JPY
05-May-2005; 11:00 GMT
The
yen extended its month-long appreciation against
the dollar today as the pair closed down from
yesterday’s close in an inner bar. Short-term
resistance at the ¥104.69 level capped the
pair’s upside and opens up a test of the key
¥104.03 support level.
Entry Limit Order:
Sell at
104.94
Exit Limit (take profit):
Buy at
103.93
Exit Stop (cut loss):
Buy at
105.59
GBP/USD
05-May-2005; 11:00 GMT
The British pound
closed above mid-term $1.9022 technical
resistance today and established a new weekly
high before consolidating to close at 50% of the
recent $1.9217 - $1.8881 range. A descending
triangle on longer-term charts shouldn’t be
ignored and the $1.9148 level represents a
near-term target for cable bulls.
Entry Limit Order:
Buy
at
1.9012
Exit Limit (take profit):
Sell
at
1.9129
Exit Stop (cut loss):
Sell
at
1.8954
USD/CHF
05-May-2005; 11:00 GMT
The Swiss franc
led all major currencies lower today as the
dollar was supported at the 38.2% retracement
level (CHF 1.1886) of its 2005 range. The 61.8%
retracement level of its CHF 1.2259 – CHF 1.1481
range coincides with the 50% retracement of its
recent CHF 1.2193 – CHF 1.1737 range and
prevented the pair from scoring any further
gains today.
Entry Limit Order:
Buy
at
1.1873
Exit Limit (take profit):
Sell
at
1.2011
Exit Stop (cut loss):
Sell
at
1.1807
USD/CAD
05-May-2005; 11:00 GMT
The Canadian
dollar closed with a minor gain on the day
against the U.S. dollar and has now appreciated
for four consecutive daily sessions. The U.S.
dollar’s upside was limited by the 23.6%
retracement (1.2476) of the move from C$ 1.1974
to C$ 1.2635 and its base today is around the
61.8% pullback of its move from C$ 1.2311 to C$
1.2635.
