09-Feb-2011 : FX Daily Report by GFM Research

EURUSD managed to post second consecutive positive close at 1.3625 against previous close of 1.3593 – just trying to set in bullish momentum once the daily closing happens beyond 1.3700 ranges.  In case of EURUSD, till it trades above major support of 1.3488, medium term corrective pullback can be expected. Traders holding long in AUDUSD are advised to trail below 1.0083. USDJPY is expected to hover in a tight range of 81.70-82.93. GBPUSD likely to continue yesterday’s decline and may test support level of 1.5990 before rallying further. USDCHF, holding support of 0.9515, is all set to test 0.9670 beyond which further weakening of Swiss Franc can he expected.  Dow Jones continued the rally for seventh straight day and climbed the most since June 2008 to settle at 12233.15 yesterday. Crude Oil Prices settled slightly lower at $87.40 after recovering smartly from $85.88.

Instrument              Trend                Trading Strategy

EURUSD               Sideways Up          Buy in the ranges of 1.3588-1.3585 S/L: Below 1.3545 TGT:1.3680
GBPUSD                    Down               Sell in the ranges of 1.6100-1.6110 S/L: Above 1.6163 TGT:1.5990
USDCHF                       Up                Buy in the ranges of 0.9565-0.9563 S/L: Below 0.9515 TGT1:0.9670
USDJPY                 Sideways               Range bound between 81.70-82.93
EURJPY                         Up               Buy in the ranges of 111.85-111.89, S/L: Below 111.50 TGT:113.80 
AUDUSD               Sideways               Buy in the ranges of 1.0132-1.0130 Double Sell: Below 1.0083 TGT:1.0203

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Disclaimer: This report contains the viewpoints of GFM Research. This report should not be construed as investment/trading advice. Due care is taken when gathering the data/information and the data sources are believed to be reliable, though GFM Research nor its Group Companies guarantee for the same. Trading/investing in financial markets may result in financial and/or emotional stress, a trader/investor is advised to weigh pros and cons of trading/investing. Further disclaimer will be produced on request.