Forex Technical Analysis 2011/07/09 (EUR/USD, GBP/USD, GBP/JPY, SILVER) Forecast FX

Forecast for September 7^th, 2011

EUR/USD

The EUR/USD currency pair has shown a significant growth today, however, this growth should be mostly considered as a test of “triangle’s” lower border. At the moment, the descending pattern with the target in the area of 1.3590 is in effect. If the price leaves the channel, this case scenario will be cancelled. I wouldn’t recommend you to sell the pair at current prices, we should wait until the market becomes more stable.

GBP/USD

Pound keeps moving inside the descending channel. We should expect the pair to grow to the channel’s upper border, where one can try to sell it with the tight stop. The target of the fall is the area of 1.5850. But if the price breaks the channel’s upper border and leaves it, this case scenario will be cancelled.

GBP/JPY

At the H4 chart of the GBP/JPY currency pair we can see the formation of the descending symmetrical pattern with the target in the area of 122.05. Right now the price is testing the channel’s upper border, one can try to sell the pair with the tight stop. But if the price breaks the channel’s upper border, this case scenario will be cancelled.

SILVER

The signs of reverse can be seen not only at the daily chart of Silver, but at the H4 one as well. The price is moving inside the rising channel, but the trend’s rising line at the RSI has already been broken. One can consider selling the instrument after the price leaves the channel. The closest target of the fall is the level of 38.90.