By: Forexpros (Bastian Rubben)
2011-30-05 19:45:00 GMT
AUD-USD
The Australian has made a break-up pattern in both daily and intraday charts. In the 4-hours chart, the 200 SMA is supporting the USD, and stochastic high levels indicate that a correction is more likely to happen before the break-up. If it does, the AUD might shed about 100 pips to the next support at 1.058.
However, a break-up of the resistance at 1.072, can launch the AUD to 1.09. In the daily chart, it looks like a possible reversal level for the AUD to get back to its highs.
A triangle pattern appears in the chart, and it means a battle between the bears and the bulls, which will determine the next trend.
Get updated with the Australian GDP data later tonight- it might has a significant impact.
EUR-USD
As I had estimated a few weeks ago, the break-up of 1.415 did occur and caused a ‘short-squeeze’, which got to the target I had set, at the 50 EMA, or 1.428-1.430. Now, the Euro is facing the 50 EMA resistance in the daily, and its direction is dependent on the US stock market.
If the Euro breaks through that resistance, it can reach 1.445. Nevertheless, it seems that the current levels can be a reversal if the Euro turns over here. Stochastic levels are still low, but the cross of the 20&50 EMA in the daily, signals for declines.
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