Forex Daily Forecast, Analysis and Prediction

USDCHF drops down from 1.1263 and the fall has extended to as low as 1.1069 level. Further fall is still possible to test 1.0977 previous low support, a break below this level will signal deeper decline to 1.0800-1.0900 area.

Euro/Dollar continued its ascending scenario yesterday. The currency couple dropped to the bottom 1.3532, from where it continued its bullish impetus to the top 1.3667. This fact confirms the current upward correction of the European currency for the time being.

AUDUSD break above 0.7617 key resistance, suggesting that a cycle bottom has been formed at 0.7450 level on 4-hour chart and the fall from 0.7709 has completed. Further rally to test 0.7709 previous high resistance is expected later today.

Yesterday Euro/Dollar made an decreasing attempt, reaching a bottom at 1.3578, but further bearish impetus was rejected, and the currency couple rose up to 1.3578, closing the day at 1.3560. The current key support level is 1.3425, which is close to the trend line on the 1 hour chart.

The Euro versus Dollar pair was able to breach the key support for the ascending channel yet the decline was limited at the 38.2% at 1.3440. The short term trend remains to the upside where the downside movements are only a correction as far as 1.3250 is intact.

GBPUSD formed a short term cycle top at 1.5352 level on 4-hour chart. Range trading between 1.4943 and 1.5352 is expected in next several days and pullback to 1.5000 zone would more likely be seen later today.

Being supported by 1.1464 (Nov 5, 2008 low), USDCAD rebounds from 1.1474 level and breaks above the price channel resistance, suggesting that a short term cycle bottom has been formed at 1.1474 level on 4-hour chart.

Yesterday Euro/Dollar corrected downwards, climbed to 1.3717, before returning back to the 1.3530 level. Yesterday's flag formation gave us a valid ascending signal after the upwards break.

Yesterday Euro/Dollar made nenewd its upward trend, making a bottom at 1.3563, closing at 1.3652, and climbing to this morning's top 1.3720.

Yesterday Euro/Dollar made a downward correction after the strong bullish momentum on Friday. The currency couple reached a bottom of 1.3558 and closed the day higher at 1.3580.

Pound/Dollar also had an increasing momentum on Friday. The Cable made a peak at 1.5238 and closed at 1.5225. On the daily chart we have ascending channel with resistance and next target at 1.5365. T

On Friday Euro/Dollar broke the key resistance of the rising channel at 1.3500, climbed with over 300 pips, and closed the week at 1.3635.

EUR/USD (a daily chart of which is shown) made a major bullish statement on Friday of this past week after consolidating aimlessly for the first part of the week.

EURUSD is forming a sideways consolidation in a range between 1.3191 and 1.3436. Further rally is expected to 1.3500 zone after consolidation.

Euro/Dollar was moving neutrally yesterday, climbing insignificantly from the bottom 1.3248 to the top 1.3370, closing the day at 1.3332.