Forex Investment

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

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«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

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Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

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«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

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«www.bloomberg.com»

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«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster support (61.8% of 1.2483 to 1.3851 at 1.3006 and 38.2% retracement of 1.1639 to 1.3851 at 1.3006) before turning into lengthier consolidation. However strong rebound from 1.3328/29 cluster support and a break above 1.3642 will dampen the above view.

GBP/USD

Daily Pivots: (S1) 1.9663; (P) 1.9799; (R1) 1.9947; «www.actionforex.com»

Similar to EUR/USD, Cable continues to consolidate in tight range below 1.9935 today. At this point, intraday bias remains mildly on the upside as long as 1.9737 minor support holds. Further recovery could be seen towards 4 hours 55 EMA (now at 2.0025). But upside should be limited below 2.0156 support turned resistance and bring another fall. Below 1.9737 will bring a test of 1.952 low and probably 1.9621 support too.

In the bigger picture, break of rising trend line support (1.9183, 1.9621) indicates that a medium term top should be in place at 2.0652 already, after failing to break through important 2.0677 target (61.8% projection of 1.3680 (01 low) to 1.9554 (05 high) from 1.7047 (05 low) at 2.0677). Bearish divergence condition is seen in both daily and weekly MACD too. Initial support could be found at between 55 weeks EMA (now at 1.9524) and 1.9621 low. However, sustained trading below this level will encourage add more credence to the case that whole up rally from 1.7047 has completed too and bring deeper decline to next support zone of 1.9183 and 38.2% retracement of 1.7047 to 2.0652 at 1.9275 first. Meanwhile, a break above 2.0156 support turned resistance will dampen the above view.

Also, note that regardless of the internal structure, the whole rally from 1.7047 represents resumption of the long term up trend from 1.3680. Even though much deeper correction could be seen, the trend will still remain intact as long as long term rising trend line support (1.3680, 1.7047, now at 1.8327) holds.

USD/CHF

Daily Pivots: (S1) 1.1988; (P) 1.2083; (R1) 1.2173; «www.actionforex.com».

USD/CHF continues to consolidate between 1.1993 low and 1.2112 resistance. As discussed before, further decline is in favor as long as 1.2112 minor resistance holds. Below 1.1993 will encourage a retest of 1.1816 low. Meanwhile above 1.2131 will bring retest of 1.2232 resistance and bring will put 1.2467 high into focus.

In the bigger picture, outlook is turned mixed after the strong rebound from 1.1816 dampened our original view that USD/CHF has completed a wide range triangle consolidation that started at 1.1919. There are various interpretation of the medium term price actions that started at 1.1919 (May 06) but none of them is really convincing yet.

Nevertheless, USD/CHF has had a series of lower highs since Nov 05, ie 1.3823, 1.3238, 1.2768, 1.2571 and then 1.2467 in June. Such pattern is still holding and the medium term outlook is still remaining mildly bearish and neutral at best. It will take a break above 1.2467 high to indicate USD/CHF has made an important low at 1.1816 and have the medium term down trend from 1.3283 reversed.

USD/JPY

Daily Pivots: (S1) 112.34; (P) 113.62; (R1) 115.64; «www.actionforex.com»

USD/JPY’s rebound from 111.59 continues today and extends to above 115 level but fails to hold firmly above yet as intraday momentum is seen diminishing. But still, intraday bias remains on the upside as long as 113.26 minor support holds. However, upside is expected to be limited below 117.15 support turned resistance. Below 113.26 will bring retest of 111.59 low and break will bring another fall towards next medium term target of 108.99 (06 low). Above 114.63 will indicate stronger rebound is underway first.

In the bigger picture, decisive break of long term rising trend line (101.65, 108.99, now at 116.21) indicates the the whole up trend from 101.65 could also have completed at 124.13 already, with bearish divergence condition in daily MACD and RSI. Also, note that 55 Months EMA (now at 115.56) was also taken out too. The current decline is expected to extend further to support zone between 108.99 and 61.8% retracement of 101.65 to 124.13 at 110.23 before turning into lengthier consolidation.

In the longer term picture, the three wave structure of the up trend from 101.65 to 124.13 suggest that it’s corrective in nature. Suggest development flipped favor to the case that the rally from 101.65 could indeed be the final leg of a long term triangle formation (147.68, 101.22, 135.20, 101.65, 124.13). The break of falling trend line (147.68, 135.20) was merely a throwover in the last leg. Sustained trading below 108.99 low will add more credence to this case and put key long term support zone of 101.22/65 into focus.

EUR/JPY

Daily Pivots: (S1) 150.47; (P) 152.88; (R1) 156.50; «www.actionforex.com»

EUR/JPY’s rebound from 149.27 continues but intraday momentum is seen diminishing. Nevertheless, intraday bias remains on mildly on the upside as long as 151.68 minor support holds. However, upside should be limited by 159.97 support turned resistance and bring another fall. Below 151.68 minor support will bring retest of 149.27 and break will bring further decline to mentioned 145.24 fibo support

In the bigger picture, the break of trend line support (137.16, 150.75) confirmed that rally from 130.60 has already completed at 168.93, with bearish divergence condition in weekly RSI. Current sharp fall from 168.93 is not considered completed yet and further decline is expected towards 61.8% retracement of 130.60 to 168.93 at 145.24 before turning into lengthier consolidation.

In the longer term picture, it’s still early conclude that rise multi year up trend from 88.97 has also completed since EUR/JPY is still supported within the rising channel shown in the monthly chart (support at 146.62). However, sustained trading below this channel, coupled with a break of mentioned 145.24 fibo support, will indicate that the multi year up trend from 88.97 has also ended. Much deeper decline should the be seen to 55 months EMA (now at 142.49) first.

Forex News Digest

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«www.bloomberg.com»

«c.moreover.com»
Mon, 20 Aug 2007 12:59:00 GMT from Yahoo! Singapore

«c.moreover.com»
Mon, 20 Aug 2007 12:17:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 12:14:00 GMT from International Herald Tribune

«c.moreover.com»
Mon, 20 Aug 2007 11:38:00 GMT from Reuters

«c.moreover.com»
Mon, 20 Aug 2007 11:18:00 GMT from International Herald Tribune

«www.actionforex.com» Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised
23:01 GBP U.K. Rightmove hse prices M/M Aug 0.60% N/A 0.30%
23:01 GBP U.K. Rightmove hse prices Y/Y Aug 12.80% N/A 10.30%
07:15 CHF Swiss Combined PPI M/M Jul 0.10% 0.30% 0.00%
07:15 CHF Swiss Combined PPI Y/Y Jul 2.80% 2.90% 2.80%
08:30 GBP U.K. PSNCR M/M Jul -13.1B -11.0 B 10.34 B 10B
14:00 USD U.S. Leading indicators Jul 0.40% 0.30% -0.30%

«www.actionforex.com»

Action Insight | Written by ActionForex.com | Aug 20 07 13:34 GMT |
Forex Mid-Day Technical Report More Consolidation in Cautious Sentiment

Yen’s retreat continues but intraday momentum is seen diminishing as markets enter into US session. There isn’t any catalyst for further volatility from the stock markets as they opened nearly flat in US, despite rebound in Asia and Europe. The only economic data from US is the conference board leading indicator which rose 0.4% in Jul. Further consolidation is likely, probably until tomorrow’s German ZEW index. EUR/USD

Daily Pivots: (S1) 1.3381; (P) 1.3463; (R1) 1.3557; «www.actionforex.com»

Not much to add. EUR/USD engages in choppy sideway trading in tight range below 1.3545. Intraday bias remains mildly on the upside as long as 1.3482 minor support holds and further rebound to 4 hours 55 EMA (now at 1.3567) could be seen. But upside is expected to be limited below 1.3642 support turned resistance. Below 1.3431 minor support will turn intraday bias back to the downside for 1.3360 low and then a retest of 1.3328/29 cluster support.

In the bigger picture, rise from 1.2483 has completed at 1.3851 already, with bearish divergence conditions in daily MACD and RSI. The current development is reviving the case that whole up trend from 1.1639 (05 low) has completed after three waves up to 1.3851. That is, first move completed at 1.2978, subsequent consolidation completed at 1.2483 and rise from 1.3483 ended with five waves up to 1.3851. Also, 100% projection of 1.1639 to 1.2978 from 1.2483 at 1.3822 is just met.

Having said that, sustained break of 1.3328/29 cluster support (38.2% of 1.2483 to 1.3851 at 1.3328 and 23.6% retracement of 1.1639 to 1.3851 at 1.3329) will add much credence to such case. The current fall from 1.3851 is not expected to stop here and instead it’s expected to extend further to support zone between 1.2978 (medium term resistance turned support) and above mentioned 1.3006 cluster