Murray Math Lines 31.08.2011 (USD/CAD, GBP/CHF, EUR/JPY)

Analysis for August 31^st, 2011

USD/CAD

The descending movement at the daily chart was stopped by the 7/8 level, and the price started growing. Right now the correction is taking place, which is supported by the 4/8 level and Super Trend’s line. If the market rebounds from these levels, the price may start growing again and reach the 8/8 level.



At the H4 chart the price is still in an overbought zone, the market is trying to rebound from the 8/8 level and the daily Super Trend. If it succeeds, we can expect the +2/8 level to be broken and the lines to be redrawn. The formation of “Bullish Cross” by Super Trend’s lines will be a sign of a final and complete victory of bulls.



At the H1 chart the market was able to rebound from the -1/8 level and fix itself above the 0/8 one. The short term forecast of the price movement is shown on the chart. The price may grow to the 4/8 level during Wednesday and Thursday, and if it breaks this level, bulls will have higher targets to reach.

GBP/CHF

The market is one level away from the 8/8 level, which has been already tested several times on the major charts. The local correction is supported by H4 Super Trend. If the market rebounds from it, the price may move reach the target level and Take Profit on buy orders.



At the H1 the price is somewhere in the upper part of the chart. However, the market rebounding from the 6/8 level twice indicates that the price may start growing again. After the +2/8 level is broken and the lines are redrawn, we’ll more exact targets which will probably match the ones from the H4 time frame.

EUR/JPY

The price, while rebounding from the daily Super Trend’s line, broke H4 Super Trend, which has moved into red zone after that. Taking into consideration that the market wasn’t able to fix itself above the 3/8 level, we can expect the descending trend to continue. After that the -2/8 level may be broken and the lines may be redrawn.



At the H1 chart Super Trend have formed “Bearish Cross”. The current consolidation between the 4/8 level and H1 Super Trend was a good signal to open a sell order. Stop Loss is above the 8/8 level. The price may move downwards to the 0/8 level during the day.