It seems like the temporary rebound is over and Ms. USA is back on track with the up-trend she started end of July. Better than expected US data also contributed to the market psychology; US jobless claims bounced to 283K in Oct 17 week, little below 269K expected.
At the same time, we started Thursday with some hot market moving events today that boosted up Mr. Euro a well, so the EUR/USD pair are literally challenging one another on the forex dance floor. First, French Flash Manufacturing PMI was out better than expected at 8 am GMT, followed by German Flash Manufacturing PMI was out better than expected, but UK monthly Retail Sales didn’t meet expectations.
Who do you think is going to win the battle; Mr. Euro or Ms. USA?
Let’s not forget that the euro zone economic summit starts today as well. US Flash Manufacturing PMI is out at 2:45 pm GMT. At 3:30 PM BOC Gov Poloz Speaks and finally at 10:45 PM New Zealand’s trade balance is out.
Intraday Forex Technical Levels
EUR/USD 4-hour: Rebounding.
Invest Diva Likes: Long positions above 1.2661 with targets at 1.2753 and 1.2828 in extension.
If Pair Goes Nuts: Below 1.2661 look for further downside towards 1.2511 and 1.2442.
What’s up on the Forex Dance Floor: The pair completed the Double Top chart pattern and is now rebounding up from the 23% Fibonacci level as well as the lower boundary of the Bollinger band, while remaining below the Ichimoku’s cloud. The RSI is heading to the neutrality area.
Supports and Resistances
1.2828
1.2753
1.2661 Pivot Point
1.2511
1.2442
GBP/USD 4-hour: Consolidating.
Invest Diva Likes: Long positions above 1.6025 with targets at 1.6114 and 1.6186 in extension.
If Pair Goes Nuts: Below 1.6025 look for further downside towards 1.5942 and 1.5882.
What’s up on the Forex Dance Floor: The pair is consolidating at the 23% Fibonacci level and the lower boundary of the Bollinger’s band within the Ichimoku’s cloud. The RSI is heading to the neutrality area.
Supports and Resistances
1.6186
1.6114
1.6025 Pivot Point
1.5942
1.5882
USD/JPY 4-hour: Broke above the Ichimoku’s cloud.
Invest Diva Likes: Long positions above 107.21 with targets at 108 and 109.17 in extension.
If Pair Goes Nuts: Below 107.21 look for further downside towards 106.71 and 105.67.
What’s up on the Forex Dance Floor: The pair is moving up after rebounding from the 50% Fibonacci level and broke above the Ichimoku’s cloud, heading to our bullish target at 108. The RSI is above the neutrality area.
Supports and Resistances
109.17
108
106.71 Pivot Point
105.67
104.63
USD/CAD 4-hour: Consolidating.
Invest Diva Likes: Long positions above 1.1248 with targets at 1.1384 and 1.1445 in extension.
If Pair Goes Nuts: Below 1.1248 look for further downside towards 1.1164 and 1.1097.
What’s up on the Forex Dance Floor: The pair is on an overall uptrend but is now consolidating at the 76% Fibonacci level within the Ichimoku’s cloud. The RSI around the neutrality area.
Supports and Resistances
1.1445
1.1384
1.1248 Pivot Point
1.1164
1.1097
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