Forex4you Technical Analysis 13 April 2011

EUR/USD: Technical Analysis

The exchange rate has risen as forecasted but is just shy of the target of 1.4550 on the 3 x 0.05 chart shown below. It will probably rise higher to meet this target before consolidating and perhaps correcting. In addition, the smaller 3 x 0.0005 chart has an upside target at 1.4590, supporting the bullish outlook.

http://forex4you.ninjacdn.net/charts/EURUSD130411a.png

EUR/JPY: Technical Analysis

The EUR/JPY has been rallying strongly, but now it has reached certain levels where a larger correction may be expected. The inverted head and shoulders pattern at the bottom of chart has reached its target at 122.40 and there is some weakness in the trend. The longer term point and figure charts are still showing upwards targets which have not been met yet of 133 and 126.50 but there may be some temporary downside before they are attempted. The 3 x 0.05 chart is showing a downside target of 120.45, and there is support at 120.80, which is probably the next target. From an Elliot wave perspective we may be in the early stages of a 4th wave from the January lows.

http://forex4you.ninjacdn.net/charts/EURJPY130411.png

Analysis by: Joaquin Monfort
Forex4you analyst

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