Forex4you Technical Analysis 01 Nov 2011

EUR/USD: Technical Analysis

Earlier forecasts, expecting further sideways consolidation, confirmed. Having escaped from the consolidation range, the price continued its decline, so it now resides around 1.3990/1.4000 levels. Indicators have turned down, except for  SS, which gives reasons to consider further growth possible. If  1.3920/00 support is breached, we’ll be anticipating a reversal down. On the other hand, the bullish potential is still strong, so there are chances to see the price rising to the next resistance at 1.4310/00, mentioned earlier.

GBP/USD: Technical Analysis

The price failed to hold above 1.6100. The bulls reached level 1.6150 and pulled back downwards. Trading is currently carried out at 1.6010/30. Indicators have changed their readings, though SS suggests that current pull back is nothing but a temporal correction within the uptrend and growth should soon recommence.  If the price breaches and hold above 1.6100 level, the next target will be found at 1.6200/20. 1.5850/40 support breakout will indicate that current decline is the beginning of a downtrend.

Analysis by: Arkady Nagiev

                   Forex4you analyst
Disclaimer:Trading Futures and Options on Futures and Cash Forex transactions involves substantial risk of loss and may not be suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time.