FX Thoughts for the Day

USD-CHF @ 1.0810/15...Might test the 21-Month-MA (1.0880)

R: 1.0822 / 1.0880 / 1.0940
S: 1.0700 / 1.0630-00 / 1.0550

The Support at 1.07 held during the day and Swiss has risen sharply breaking above 1.08. It is now trading just near the 100-Week-MA (1.0822). As mentioned earlier we might see further rise towards the 21-Month-MA Resistance at 1.0880. A break above 1.0880 may take it up towards 1.0940 which is the the 50% retracement level of the fall from 1.1965 (09-Mar-09) to 0.9916 (23-Nov-09). Any sharp downmove is not looking likely now and we expect the Support at 1.07 to hold in the US session today.

Cable GBP-USD @ 1.5613/17...Support at 1.5587-50

R: 1.5650 / 1.5694 / 1.5817
S: 1.5587-50 / 1.5500

The Cable has fallen sharply after rising above 1.57 during the day. Further slide looks limited to 1.5550 or 1.5500 at the max for the remaining part of the week. We have been maintaining that the pair looks ranged between 1.55-1.58 for several days. Till the Support at 1.55 is honoured, we would expect the pair to continue to oscillate within the mentioned range. The Projected Max High and Low for the day is at 1.5817 and 1.5587 respectively.

Aussie AUD-USD @ 0.8816/19...Immediate Support at 0.8780

R: 0.8845 / 0.8900-20 / 0.8995
S: 0.8780 / 0.8740 / 0.8700

Aussie has fallen sharply during the day. 0.8780 is a good Support seen which has held during the day and it has risen slightly above 0.88. A break below 0.8780 might pull it further down towards 0.8700 in the US session today. On the other hand, if 0.8780 holds, we might see a rise once again towards 0.8900-20. Overall the pair is looking mixed now.

Kshitij Consultancy Service