Forecast for May 23rd, 2011
The EUR/USD currency pair is still under pressure. Although there are signs of growth, in general the price is still moving downwards. At the moment the RSI faced the resistance from the trend’s descending line, we should expect the price to hit it and start moving in the opposite direction. One can try the tight stop sales. If the price breaks the rising channel, we will recommend you to increase the amount of short positions.
Pound is moving inside the descending channel, the target of the fall is the area of 1.5965. One should consider selling the pair with the tight stop. If the price breaks the channel’s upper border and leaves it, this case scenario will be cancelled.
In case of the USD/CHF currency pair the RSI indicator is moving inside the rising channel. At the moment the indicator is testing the lower border, we should expect the price to hit it and start moving upwards. The target of the growth is the area of 0.9185. One can consider buying Franc with the tight stop.
Canadian Dollar is moving inside the rising pattern with the target in the area of 0.9859. By the moment the RSI indicator has been supported by the trend’s rising line, and we should expect the price to start moving upwards. One can consider buying the USD/CAD currency pair with the tight stop.