Forex Technical Analysis 2012/27/07 (EUR/USD, GBP/USD, USD/CHF, AUD/USD, NZD/USD) Forecast FX

Forecast for July 27^th, 2012

EUR/USD

The EUR/USD currency pair is being corrected. The price has tested the area of 1.2285 and continues moving inside the descending channel. One can consider selling Euro aggressively from the current levels. The target of the fall is still the area of 1.2020. If the price grows up higher than 1.2330, this scenario will be cancelled. We recommend to increase the amount of sales only after the price breaks the level of 1.2105.

GBP/USD

The GBP/USD currency pair has stopped moving inside the sideways trend and broken the level of 1.5610. The RSI indicator faced the resistance from the trend’s descending line, we should expect the pair to rebound from the current levels and start falling down. One can consider selling Pound aggressively with the stop above 1.5675. If the price grows up higher than 1.5770, this scenario will be cancelled and the pair will continue moving upwards.

USD/CHF

The USD/CHF currency pair is also being corrected. At the moment the price is testing the ascending channel’s lower border, one can consider buying the pair with the tight stop below 0.9730. The target of the growth is the area of 0.9990. We recommend to increase the amount of purchases only after the price breaks the level of 0.9835. The test of the trend’s ascending line at the RSI at the H4 chart is an additional signal to buy the pair. If the price breaks the level of 0.9730, it will continue falling down towards the area of 0.9455.

AUD/USD

Despite our expectations, Australian Dollar has grown up a lot. Right now there is a possibility that the price may test the level of 1.0440. However, before that we should expect the pair to test the area of 1.0350, where one can consider buying it with the tight stop. If the price falls down lower than 1.0320, the pair will continue moving downwards. A very strong support level is in the area of 1.01.

NZD/USD

The same as Australian Dollar, New Zealand one has grown up quite a lot, although we didn’t expect it to. At the moment the price is testing the descending pattern and testing the descending channel’s upper border. One can consider selling the pair aggressively from the current levels. The target of the fall is the area of 0.7765. The test of the trend’s descending line at the RSI is an additional signal to sell the pair. If the price grows up higher than 0.8060, this scenario will be cancelled.