Forex Daily Forecast, Analysis and Prediction

On Friday Euro/Dollar continued its upward movement and crossed the 1.4000 psychological level. The currency couple reached a peak at 1.4043 and closed the week at 1.3993.

Being contained by the long term key support at 93.53 (Mar 19 low), USDJPY rebounds from 93.85 level. However, the rise from 93.85 is treated as consolidation of the short term downtrend from 96.69.

EURUSD’s short term uptrend from 1.3423 remains. Further rise towards the upper border of the price channel on 4-hour chart is expected. Pullback would more likely be seen after touching the upper border resistance.

After breaking of the descending channel, the Euro/Dollar reached the target 1.3914, and continued rising, close to the the resistance at 1.3960. Short term signals are rising, while neutral in the medium term.

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