Forex4you Technical Analysis 19January 2011

EUR/USD: Technical Analysis

This pair has probably put in a top. The wave structure up from the 10th January lows now looks complete with 5 waves and 5 within the 5th. Obviously it may unfold a bit higher but it is unlikely to be much. So how far could it fall? I would be looking to 1.3350 as an immediate initial target, where there is support and resistance from old highs and lows and the 23.6% Fibonacci line of the rally off the Jan 10 lows. After that, the next target might be the support and resistance line at 1.3260 or even lower down to the monthly pivot and 50 day MA at 1.3065 depending on the strength of the move down.

http://forex4you.ninjacdn.net/charts/EURUSD190111.png

EUR/JPY: Technical Analysis

This pair rose as anticipated and it may now have put in a top at the 111.15 highs. The Eliot waves are counting complete indicating a correction will follow. If the pair falls as anticipated it might be expected to reach the 109.50 level where there is support and resistance, the monthly pivot and a 38.2% Fibonacci line of the Jan 10 move. A further rally is also possible, with the monthly pivot at 111.30 and then support and resistance at 111.50 as possible targets.

http://forex4you.ninjacdn.net/charts/EURJPY190111.png

Analysis by: Forex4you.com written by Forex4you analyst

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