Forex4you Technical Analysis 2nd Feb 2011

EUR/USD: Technical Analysis

Previous forecast turned out to be correct - the trades raised above 1.3800 and the price currently resides at 1.3830/40. Indicators are turned up, suggesting to expect further up trend. However, MACD divergence and strong resistance, that stands at 1.3900/10, give reasons to consider a serious pullback from 1.3900 in the near future. A pullback from higher resistance levels is also a possibility, but not higher than 1.3990. A plunge below 1.3500/30 will be the first serious signal to cardinal changes in the market.

http://www.forex4you.com/images/site/EUR020211.GIF

GBP/USD: Technical analysis

Resistance 1.6150/60 held back growth just for some time and then the price went up. It's currently consolidating at 1.6200/10. The "bulls" keep their leading positions in the market and previously mentioned target at level 1.6260 is very close. Indicators are "bullish", which gives reasons to expect this level to be tested even today. However, the trading picture says in favor of a medium-term growth, and ascension from level 1.6260 should be considered as a correction, probably to the price range around 1.6040/50. Decline below support 1.5980/90 will be a signal to a possible reversal in the pair.

http://www.forex4you.com/images/site/GBP020211.GIF

USD/JPY: Technical analysis

Previous forecast that level 81.30 might initiate a price stop seems to have benn correct. The price hasn't breached this support, so it's currently consolidating at level 81.40/30. Indicators prefer "the bearish" trend, giving reasons to expect another fresh local minimum tests at 80.90/95. However, it will be a possibility only in case tested support is breached. If the "bears" fail to breach it in the near future, the price will most likely pullback to resistance at 82.00/81.90 . Growth above level 82.40/20 will indicate the change of sentiment.

http://www.forex4you.com/images/site/JPY020211.GIF

Analysis by: Forex4you.com written by Forex4you analyst

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