Forex4you Technical Analysis 27 May 2011

EUR/USD: Technical Analysis

The EUR/USD pair is still rising in a counter-trend rally. Given the trendline break today a continuation higher is probable, with a target at resistance at 1.4340. A drop, however, could find support at 1.4135. There are no active counts on the point and figure charts indicating a possible balance of forces and the onset of a consolidation move.

EUR/JPY: Technical analysis

The EUR/JPY pair is in a sideways move, hemmed in by support and resistance above and below , with 116.50 above and the ichimoku cloud base at the lows at 115.00. On the 0.1x3 point and figure chart a triangle pattern can be seen unfolding with support at 114.35 and resistance at 115.90. The smaller 0.05x3 chart has high and low counts with targets of 116.00 and 114.25, and a double bottom sell signal. The bias appears to be down initally, perhaps to 114.30, but a break in either direction is possible therafter.

Analysis by: Arkady Nagiev

                    Forex4you analyst

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