Forex-Metal Daily Analysis – 25/10/2011

The EC Summit is in the focus of the market.

Asian and European trading sessions:
Euro: During the Asian trading session the euro continued rising against the US dollar against the background of European leaders’ promises that they would agree on an action plan to constrain the EU debt crisis.

The euro was pressured today by the report on business activity in manufacturing and service sectors of the countries of the region and the EU as a whole, which had been published during the European trading session. Even the positive report on the EU industrial orders, which turned to be higher in August than its forecast and annually recorded 6.2 % vs. forecasted 5.8 %, did not support the euro and the EUR/USD pair set its daily lows of the $1.3820 mark.

British Pound: At the beginning of the Asian session the GBP/USD pair grew and renewed this month maximum at the $1.6000 area. Daily range of the pair was between $1.5899 – $1.6068 levels.

Japanese Yen: Today the investors’ attention was focused on the Japanese yen. After its growth to a record high against the US dollar on Friday the likelihood of intervention increased. The pair set its daily low at Y75.981 which was close to its August low

American trading session:
US Dollar: The demand for the dollar, as a save-heaven currency, decreased. The greenback dropped against the main currencies. Positive corporate reports and commodity prices growth supported this trend.
The Japanese yen maximums were supported by the increased Japanese export volume, which happened to be above its forecast.

 

Technical analysis for 25/10

EURUSD
The pair has returned to Fibonacci level 61% at 1.38871.
Resistance: 1.39600, 1.40690, 1.41780
Support: 1.38554, 1.37486, 1.35984
GBPUSD
The pair has risen to the Moving Average (200) at 1.60322.
Resistance: 1.60322, 1.62050, 1.63316
Support: 1.58543, 1.56722, 1.54842
USDCHF
The pair has declined to 0.88418. If the pair stays below this level the pair will continue declining to 0.87214.
Resistance: 0.89635, 0.91079, 0.92026
Support: 0.88418, 0.87214, 0.85939
USDJPY
The pair is trying to stay below 76.463, this may bring pair to test 75.425.
Resistance: 76.463, 77.539, 78.345
Support: 75.425, 74.414, 73.377
AUDUSD
The pair has risen to 1.04407, if the pair stays above this level the pair will rise to 1.05332.
Resistance: 1.04407, 1.05332, 1.06164
Support: 1.03535, 1.02558, 1.01744