Mon, 26th of May, 2008
By Setyo Wibowo (analyst@fxinstructor.com)

EURUSD Outlook
The EURUSD could be very tricky now. Overbought indication of CCI on daily chart suggest that the pair bullish momentum might exhausted and a downside correction is likely to happen. However my model remains long, targeting 1.5850 area as the bullish channels and trend lines are still valid both on my 1h and 4h chart. Immediate support seen at 1.5730.

EURUSD Daily Supports and Resistances:

• S1= 1.5707
• S2= 1.5653
• S3= 1.5610
• R1= 1.5804
• R2= 1.5847
• R3= 1.5901

GBPUSD Outlook
The GBPUSD seems to have strong resistance at 1.9850 area. Today, the pair might attempt to break the level. A failure to move above that level could trigger a bearish movement, while a break out upside will open the doors for 1.9925. My model remains long. Immediate support seen at 1.9780. Initial resistance at 1.9850. CCI in overbought area on daily chart so watch out for a downside pullback.

GBPUSD Daily Supports and Resistances:

• S1= 1.9752
• S2= 1.9704
• S3= 1.9654
• R1= 1.9850
• R2= 1.9900
• R3= 1.9948

USDJPY Outlook
After a violation on bearish trend lines on 1h and 4 h chart on 22/05/2008, the USDJPY seems at the beginning of making a new bullish channel. My model is long, targeting 103.95. Immediate support seen at 103.00 area. CCI about to cross – 100 line down on daily chart.

USDJPY Daily Supports and Resistances:

• S1= 102.87
• S2= 102.37
• S3= 101.68
• R1= 104.06
• R2= 104.75
• R3= 105.25

USDCHF Outlook
The USDCHF is in bearish short term trend. However, the middle and long term trend bullish trend is still intact. My model is mixed with downside bias. Immediate support seen at 1.0200. Initial resistance at 1.0280. CCI in oversold area on daily chart.

USDCHF Daily Supports and Resistances:

• S1= 1.0191
• S2= 1.0142
• S3= 1.0071
• R1= 1.0311
• R2= 1.0382
• R3= 1.0431

Have a great day!