Pound Dollar – GBP/USD is making its way back into its 1.5680 resistance level. If price rejects this 1.5680 resistance level, traders may consider shorting this market at the 1.5680 resistance level. Since the overall trend is bullish, traders who intend to short at the 1.5680 resistance level will need to take more cautious steps towards placing stops and targets. Conservative traders may consider staying at the sideline and wait for a buying opportunity to trade in line with the bullish trend but if price fell lower after rejecting the 1.5680 resistance level, we could see a strong move lower which could offer traders who shorted this market with big rewards.
Euro Kiwi – EUR/NZD had been in an extreme bullish trend in the last few months and is overbought over the short term horizon. Price seems to have met its first obstacles to rally higher and is consolidating over the last few weeks. Price is trying to break its bullish trend line. If price closed below the trend line today, traders may consider selling short into this market with the first target at the 1.5816 support level. However this would be a counter trend trade thus conservative traders may have to wait at the sideline instead of jumping in.
Pound Swiss Franc – GBP/CHF has been consolidating in the last few weeks and is currently trading at the 1.4800 resistance level. If price breaks this 1.4800 resistance level, we could potentially see price rally higher probably into its next resistance level at 1.5165 in the coming days. On the other hand, if price remains below the 1.4800 resistance level, we could see price remains within its consolidation and traders may then consider selling short at the resistance level and buying at the support level until price breakout away from the consolidation.
Posted on 2015-07-15 06:30:29