A tribute to crazy holiday traders | 03 January 2014

EUR/USD

Monthly chart: so, the month is closed by a strong bullish accord, which formed a new local high and again predetermined a January growth of Euro to 1.4260 (and in the middle-term - to the point 1.4934). These expectations are proven by trend motivation of ADX.

Weekly chart: support on the level of 1.3512 could be a very attractive point for purchases along the trend, but bulls are in a pretty good shape, thus, there is a chance that movement in the Northern direction will be quite smooth.

Daily chart: bearish divergence still allows to rely upon a rollback towards 1.3512 after a new touch of 1.39.

Conclusion: main plan includes touching of 1.39, rollback to 1.3512 zone and start of a strong impetus to 1.4260.

Alternative option- is a direct breakthrough of 1.39 and start of movement to  1.4260.

GBP/USD

Monthly chart: two resistance points on the way of bullish front - 1.6715 and 1.7042. In case the first one will be broken, there is an equal probability of reaching another one. If there is a roll down to 1.6715, one can rely upon rollback to 1.6267 that will not change ascending disposition.

Weekly chart: one more supportive point is based on Bollinger medium band (1.5967), from where buyers can take “fuel” if correction is too deep.

Daily chart is also very pessimistic for bears: we cannot see the price below 1.6392 (Bollinger medium band)

Conclusion: main scenario is touching of 1.6715and rollback to 1.6392 (perhaps to 1.6267) and then – an abrupt movement to the direction of 1.7042.

Alternative option — breaking of 1.6715 and a direct trend growth to 1.7042.

AUD/USD 

Monthly chart: so, bears established a new low, whereof ensured a position advantage for themselves. Further pair will face support 0.8560 and 0.8072.

Weekly chart: the week closed with a bearish inside bar that can be a good reason for sales.

Daily chart: a slightly oversold disposition, but bears save control over the trend. Resistance comes from Bollinger medium band (0.9008).

Conclusion: a descend to 0.8560, rollback to 0.90 and continuation with a target to 0.8072.