More good news for the UK growth story yesterday, as industrial production numbers showed that the sector is growing at the fastest pace in the last three years. Manufacturing also showed strong numbers and the National Institute of Social and Economic Research published their GDP estimate which shows that the UK has now finally surpassed the GDP peak we saw in January 2008, before the world came crashing down. We’re not too sure how this figure stands up in a GDP per capita translation, as we’d now have to distribute that output across an extra two million or so people, but the headline still reads well.
Having this in mind, the pick of the day is GBP/USD, as Mr. British pound and Ms. USA are still dancing above the 50% Fibonacci level and above the support line of a mid-term bullish channel. But the problem is that they just entered the rising Ichimoku cloud with the RSI in the neutrality area which means we could see a period of consolidation before we see more up moves towards our targets which are set at 1.704 and 1.74 in extension.
A downside breakout of 1.6450 would call for 1.62 and 1.5870 in extension. Intraday look for long positions above 1.676 with targets at 1.6815 and 1.6845.
Long term traders. Don’t sweat the small losses and look at the big picture. Short term traders, invest responsibly. And if you liked this, share it on Facebook or Twitter or any other awesome means of social media and help you friends learn something new today.
Intraday Forex Technical Levels
EUR/USD Intraday: under pressure.
Invest Diva likes: Short positions below 1.356 with targets @ 1.352 & 1.35 in extension.
If pair goes nuts: Above 1.356 look for further upside with 1.358 & 1.3615 as targets.
What’s up on the dance floor: The pair is rebounding and is challenging its resistance.
Supports and resistances:
1.3615
1.358
1.356
1.3553 Last
1.352
1.35
1.347
USD/JPY Intraday: under pressure.
Invest Diva likes: Short positions below 102.2 with targets @ 101.7 & 101.6 in extension.
If pair goes nuts: Above 102.2 look for further upside with 102.4 & 102.6 as targets.
What’s up on the dance floor: The pair stands below its resistance and remains on the downside.
Supports and resistances:
102.6
102.4
102.2
101.875 Last
101.7
101.6
101.45
USD/CHF Intraday: the upside prevails.
Invest Diva likes: Long positions above 0.8965 with targets @ 0.9015 & 0.9035 in extension.
If pair goes nuts: Below 0.8965 look for further downside with 0.894 & 0.8905 as targets.
What’s up on the dance floor: The pair is pulling back on its support ahead of a rebound.
Supports and resistances:
0.906
0.9035
0.9015
0.8983 Last
0.8965
0.894
0.8905
NZD/USD Intraday: supported by a rising trend line.
Invest Diva likes: Long positions above 0.8525 with targets @ 0.8575 & 0.8605 in extension.
If pair goes nuts: Below 0.8525 look for further downside with 0.8475 & 0.8445 as targets.
What’s up on the dance floor: The RSI is bullish and calls for further upside. The pair is supported by a rising trend line and its ascending 50-period moving average.
Supports and resistances:
0.8625
0.8605
0.8575
0.8564 Last
0.8525
0.8475
0.8445
AUD/USD Intraday: supported by a rising trend line.
Invest Diva likes: Long positions above 0.9355 with targets @ 0.941 & 0.9435 in extension.
If pair goes nuts: Below 0.9355 look for further downside with 0.9315 & 0.929 as targets.
What’s up on the dance floor: The RSI is bullish and calls for further advance.
Supports and resistances:
0.946
0.9435
0.941
0.9402 Last
0.9355
0.9315
0.929
USD/CAD Intraday: the downside prevails.
Invest Diva likes: Short positions below 1.092 with targets @ 1.0885 & 1.0865 in extension.
If pair goes nuts: Above 1.092 look for further upside with 1.0955 & 1.099 as targets.
What’s up on the dance floor: As long as the resistance at 1.092 is not surpassed, the risk of the break below 1.0885 remains high. The pair is trading in a bearish channel.
Supports and resistances:
1.099
1.0955
1.092
1.0886 Last
1.0885
1.0865
1.0835
US Index Levels
S&P500 (CME)
Long positions above 1934 with targets @ 1955 & 1959 in extension.
Alternative scenario: Below 1934 look for further downside with 1924 & 1914 as targets.
Dow Jones (CBT)
Long positions above 16790 with targets @ 16960 & 17000 in extension.
Alternative scenario: Below 16790 look for further downside with 16735 & 16660 as targets.
Nasdaq 100 (CME)
Long positions above 3749 with targets @ 3803 & 3820 in extension.
Alternative scenario: Below 3749 look for further downside with 3734 & 3706 as targets.
Russell 2000 (ICE)
Long positions above 1143 with targets @ 1181 & 1192 in extension.
Alternative scenario: Below 1143 look for further downside with 1129 & 1116 as targets.
