Forex4you Technical Analysis 06 April 2011

EUR/USD: Technical Analysis

The market is "bullish" and the price is currently testing new local maximums at 1.4300/10 level. Indicators suggest further up trend as well, although MACD divergence together with R% are warning of a large scale correction, that may commence any time. A pull back can even begin from 1.4350/40 levels, like it has been previously anticipated. Support 1.4060/70 - the up trend channel (blue) line - may be the first target for decline on the "bearish" way.

http://www.forex4you.com/images/site/EUR060411.GIF

GBP/USD: Technical Analysis

The price rose and managed to hold above 1.6220/30 level, indicating the victory of the up trend. The, it went up to resistance 1.6350 level and it now resides at 1.6330/20, which gives enough reasons to expect new local maximums around 1.6450/1.6500 levels to be tested, like it has been mentioned in the previous analysis. Level 1.6360/90, which is the last local maximum in this pair, if breached, will be the final indication, that the above mentioned targets will be reached very soon. Indicators suggest growth, saying in favor of further up trend. And only if the price drops below 1.6220/30 support level, we'll be considering a reversal to the "bearish" trend.

http://www.forex4you.com/images/site/GBP060411.GIF

Analysis by: Joaquin Monfort
Forex4you analyst

Disclaimer:
Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.