Candlestick Daily: GBP/USD and AUD/USD Sells Hanging in There

Thursday, June 14, 2012, 8:02 AM

June 14, 2012

CURRENCYCURRENT BIASPOTENTIAL STRATEGY
EUR/USD (Short Term)
Consolidating in mid-1.2500s, near-term resistance at 1.2600. See full report for more details
GBP/USD (Short Term)
Trade in Progress - Sold GBP/USD at 1.5519, stop at 1.5610, target at 1.5420. See full report for more details.
USD/JPY (Short Term)
Consolidating around 79.50 in lackluster trade.
USD/CHF (Short Term)
Trading in a tight range around .9550 - watching key support near .9500 and resistance at .9650.
USD/CAD (Short Term)
Recent sell trade stopped out at breakeven, but bias remains for more weakness toward 1.0200
AUD/USD (Short Term)
Trade in Progress: Sold at .9962, stop at 1.0012, target at .9860. See full report for more details.
NZD/USD (Short Term)
Consolidating near 1-month highs at .7785, watching AUD/USD parity for confirmation of a potential break out
EUR/USD (Intraday Forecast)
Potential Strategy
Consolidating in mid-1.2500s, near-term resistance at 1.2600. See full report for more details
What is the trend?Neutral
What is this pattern?Doji - See all chart patterns
Why is this significant?A Doji candle is formed when rates trade higher and lower within a given timeframe, but close in the middle of the range, near the open. Dojis suggest indecision in the market.
What other indicators or Fib Levels support this thesis?
Reason for Strategy

The EUR/USD bounced to 1.2600 during yesterday's early North American session, but was unable to break above this round 100-pip level. Since, the pair has merely consolidated in a tight range in the mid-1.2500s. With ongoing concerns about Spain and this weekend's Greek elections, the EUR/USD may remain rangebound for the rest of the week as traders are loath to put on new positions ahead of the weekend. Stay tuned to FX360 and our daily Live Market Analysis webinars for intraday analysis and any potential trade opportunities today.

Support & Resistance Levels
Resistance 3tbd
Resistance 21.2651Monthly Pivot
Resistance 11.2600Previous resistance
Current Price1.2567
Support 11.2440Previous support
Support 21.2300Round handle support
Support 3tbd

4hr Chart -
4hr Chart -
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