Daily Forex Market by FXCC 20Jan2012
Euro appreciates to two week high versus the greenback, is 1.3000 in sight, then 1.3200?
The euro appreciated to a two-week high of $1.2927 before trading 0.2 percent higher at $1.2890. It reached a 16-month low of $1.2624 on Jan.13th. The Dollar Index fell 0.1 percent to 80.372 today. The dollar was little changed at $1.2964 per euro as of 8:24 a.m. in Tokyo from yesterday in New York. The yen was at 99.93 per euro from 99.99 yesterday when it reached 100.06, also the lowest since Jan. 4. The U.S. currency traded fairly static at 77.09 yen. USD/CHF lost nearly 60 pips throughout the day on Thursday, sliding towards its lowest level in over 2 weeks of 0.9329. USD/CHF is trading at the 0.9330/35 zone early in the Asian session, down 0.6% on the day. USD/CHF has dropped over 240 pips since its new year peak of 0.9574 on Tuesday. The Pound broke above 1.5465 rising to 1.5487 the highest quote since January 10 versus the US Dollar. The GBP/USD moved sideways in a tight range during Thursday and in the last hour moved to the upside. The Pound rose in the last hours of the NY session versus its European rivals. The GBP/CHF then also tested levels above the crucial round psychological number of 1.4500 after finding support at 1.4440, the EUR/GBP dropped from 0.8364 to 0.8325.

Canada’s currency, also known as the loonie, was static at C$1.0108 per U.S. dollar at 5 p.m. in Toronto after touching C$1.0071, the lowest quote since Dec. 8th. One Canadian dollar is buying 98.93 U.S. cents, falling 0.8 percent to C$1.3109 versus the euro. AUD/USD traded in a 1.0370/1.0435 range on Thursday ending in New York 0.16% lower on the day at 1.0417. AUD/USD is trading slightly off at the start of the Asian session, last printing at 1.0410, support is seen at 1.0400.

2012-01-20 04:30 GMT | Japan All Industry Activity Index (MoM) (Nov)
2012-01-20 05:00 GMT | Japan Leading Economic Index (Nov)
2012-01-20 07:00 GMT | Germany Producer Price Index (MoM) (Dec)
2012-01-20 09:30 GMT | United Kingdom Retail Sales (YoY) (Dec)

2012-01-20 04:32 GMT | Japan: All Industry Activity Index (MoM) (Nov): -1.1%
2012-01-20 02:51 GMT | Japan contribution to the IMF contingent on US
2012-01-20 02:39 GMT | Japan - HSBC Manufacturing PMI signals industry contraction for third consecutive month
2012-01-20 00:33 GMT | Australia 4Q Export Price Index (QoQ) -1.5%

EURUSD 1.29673 / 1.29680
High: 1.29808 | Low: 1.29538 | Chg: -0.0002 -0.01%
MA10: Bullish
MA20: Bullish

Resistance Levels: 1.3260 | 1.3206 | 1.3120 | 1.3050
Support Levels: 1.2876 | 1.2809 | 1.2711 | 1.2624

Intraday Analysis: EURUSD moved upwards and formed a high at 1.2980 this morning. The upward moved started from 13th of January and since then the EUR picked up and has successfully penetrated upwards the downtrend trend line. We expect the price to reach 1.3050 (R1) and then to bounce back for a correction. If the price breaks above our first resistance then we have a new trend (uptrend) and the next target is set at 1.3120 (R2).

GBPUSD 1.54880 / 1.54888
High: 1.54966 | Low: 1.54749 | Chg: 0.0001 0.01%
MA10: Bullish
MA20: Bullish

Resistance Levels: 1.5862 | 1.5775 | 1.5669 | 1.55572
Support Levels: 1.5410 | 1.5344 | 1.5281 | 1.234

Intraday Analysis: GBPUSD has successfully broke above yesterday resistance and now it seems that is heading towards 1.5572 (R1). Fail to reach that level then we expect the price to retest 1.5410 (S1) and then further decline will limited to 1.5344 (S2). On the intraday, the pair is moving upwards – uptrend valid trend line and both of our Moving Averages are bullish. The bearish are under pressure as a lot of stop losses have been hit yesterday as we are in a strong upward momentum at the moment.

USDJPY 77.131 / 77.134
High: 77.206 | Low: 77.053 | Chg: 0.024 0.03%
MA10: Bullish
MA20: Bullish

Resistance Levels: 78.21 | 77.78 | 77.56 | 77.33
Support Levels: 76.80 | 76.59 | 76.10 | 75.56

Intraday Analysis: USDJPY made a sharp move yesterday (60 pips) and formed a top at 77.33 (R1) a strong resistance level. A break above that level we expect the price to retest 77.56 (R2). At the moment, the price it seems that is still moving downwards and it is possible to retest our support levels at 76.80 (S1) and 76.59 (S2) a strong technical and psychological level. It is very important to see a move above our first resistance or our first support to get a clearer picture of the trend. In the long run a break below 76.59 (S2) will confirm the downtrend – No position.

Source: FX Central Clearing Ltd, (http://www.fxcc.com)
URL: https://support.fxcc.com/email/technical/20012012