Forex4you Technical Analysis 10 June 2011

EUR/USD: Technical Analysis

The price breached the uptrend channel (red) line and support at level 1.4560, giving reasons to expect the beginning of a medium-term downtrend. Trading has already dropped to 1.4480 and is currently approaching to a significant  1.4460/30 support, which stands halway down. If the price falls and holds below this barrier, it'll then, according to the previous forecasts, be a final signal for the "bearish" victory and the beginning of a medium-term downtrend. Indicators turned downwards even more, which gives enough reasons to anticipate 1.4460/30 support breakout. The first stop after the breakout is expected at level 1.4330/40. Reversal upwards, above 1.4640/30 resistance line would cancel the "bearish" scenario.?

GBP/USD: Technical Analysis

The market starts being more "bearish" - support 1.6320 has been breached, so trading is now carried out 1.6290/1.6300 levels. Indicators are turned down, which gives enough reasosn to anticipate further decline. Earlier forecasts are likely to confirm, so we may expect the price to go down to 1.6230/40 and then to 1.6100/1 level. However, the "bears" have to first hold below 1.6320/00 level. If they fail, trading is likely to begin consolidating sideways, within 1.6365-1.6300 range. Resistance 1.6450/60 breakout, followed by fixation above would indicate a reversal to the uptrend.

Analysis by: Arkady Nagiev  

                    Forex4you analyst

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