Forex-Metal Daily Analysis – 14/10/2011

The US Dollar and the Yen strengthened against major currencies amid growing demand for safe-haven assets.

Asian and European trading sessions:
Euro: After the yesterday’s rapid growth associated with the fact that Slovak political parties agreed to approve the extension of the stabilization fund EFSF, the Euro consolidated near the $1.38 level during the first part of Asian trading session. After the published German GDP forecast, which showed a decrease to 0.8% in 2012 versus its growth in 2011 to 2%, the Euro currency fell to $1.370 zone and had recorded its daily low at $1.3685 mark.
US Dollar: The US Dollar received a positive impact today from the Chinese news regarding the Chinese Trade Balance in September which confirmed decrease to $14.51B and was much below forecasted $16.30B. The US Dollar was strengthening against the major currencies during today’s sessions.

British Pound: The GBP/USD pair traded in the narrow range of $1.5730 – $1.5770 during the Asian trade session. The pair dropped to the level of $1.5682 before the opening American trade session, but later retreated to $1.5750.
Japanese Yen: The Japanese yen strengthened against its competitors during both sessions.
Australian Dollar: The Australian Dollar grew against the greenback after the Australian unemployment report which showed the 5.2% against the forecasted 5.3% in September.

American trading session:
Gold: The strengthening of the US Dollar held in control the demand for the precious metals as alternative assets, therefore the Gold fell today and hit the lows of $1652 per ounce before the beginning of the American trade session.

Technical analysis for 14/10

The pair is aiming to Fibonacci level 61% at 1.38871.But if the pair stays below resistance 1.37486 the pair will decline to 1.35984.
Resistance: 1.37486, 1.38554, 1.39600
Support: 1.35984, 1.34882, 1.33143
The pair has broken 1.56722 and started to work out Double Bottom. The end of the figure is at 1.58543.
Resistance: 1.58543, 1.60322, 1.62050
Support: 1.56722, 1.54842, 1.53482
The pair has declined to 0.89635.
Resistance: 0.91079, 0.92026, 0.93069
Support: 0.89635, 0.88418, 0.87214
If the pair stays below 76.463 the pair will decline to 75.425. If the pair stays above 76.463 the pair will rise to 77.539.
Resistance: 77.539, 78.345, 79.070
Support: 76.463, 75.425, 74.414
The pair is aiming to test Moving Average (100) at 1.02879. But if the pairs stays below 1.01744 the pair will decline to 1.00907.
Resistance: 1.02558, 1.03535, 1.04407
Support: 1.00907, 1.00067, 0.99207