Forex Technical Analysis 2011/28/11 (EUR/USD, USD/CHF, USD/CAD, DAX) Forecast FX

Forecast for November 28^th, 2011

EUR/USD

The EUR/USD currency pair continues moving downwards, the closest target of the fall is the area of 1.2774. At the weekly chart of the pair we have “head & shoulders” reversal pattern forming with the final target in the area of 1.10. After the pair breaks the neckline, we should expect the test from the bottom and then try to continue selling it. The final target of the descending pattern is the level of 1.1360. If the pair leaves the descending channel, this case scenario will be cancelled.

USD/CHF

Franc keeps growing inside the rising pattern with the final target in the area of 0.9969. Currently the price is testing the channel’s lower border, one can consider buying the pair with the tight stop. If the price breaks the border and leaves the channel, this case scenario will be cancelled.



At the H1 chart of the pair we can see the formation of the rising pattern. One should expect the price to grow to the level of 0.9350, which is expected to be a starting point of the correction to channel’s lower border in the area of 0.9230. One can consider buying the pair with the tight stop from the channel’s lower border. The target of the growth is the area of 0.9405.

USD/CAD

Canadian Dollar continues moving upwards, currently the price is testing the area for purchases. One can consider opening long positions with the stop placed below 1.0420. The target of the growth is the area of 1.0617. If the price breaks the channel’s lower border, this case scenario will be cancelled.

DAX

DAX is moving inside the descending pattern, the target of the fall is the area of 5125. At the moment we should expect the price to be corrected to the level of 5720, where one can consider selling the instrument with the tight stop. If the price breaks the upper border and leaves the channel, one is recommended to close short positions.