What ProAct Traders sees in the Forex starting the week of March 22nd ,2011

 

$EURUSD

WHAT ProAct Traders SEE:  The market moved  back through the resistance @1.4048  to the 1.270 fibo @1.4182 and the resistance that is also there.  We hit the top of the channel so will expect a pullback which should be opportunities to buy on dips. There is continued pressure to move to the upper targets. is a top @ 1.4289 and the R6 is @ 1.4362 which is a great target for next week.  

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$USDJPY                                        

WHAT ProAct Traders SEE:  Remains to be seen whether the intervention will work – at least this one has the help of the US Fed. We have tagged the S3 on the pullback and we may find support here or perhaps lower to the .382 Fibo @ 80.27.  Cross continues to stay bearish.  We will expect to see some squaring up of the fast up trend (intervention) near the S4 @ 79.75. A break of the down trend line targets the S5 bottom @ 78.23.  If the cross get leg to the upside look for a move back to the 83.32.  

 

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$GBPUSD

WHAT ProAct Traders SEE:  Cross has broken out of the channel and cleared the R4 @ 1.6217 and appears to be through with the correction so a move back to the top looks ripe.  Lots to stop it in the 1.6341 area (1.270 fib@ 1.6338, R5 @ 1.6358). If it can break the 1.6400 to the upside look for a continuation to 1.6591 (R6). 

 

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$AUDUSD – A great smooth currency for Newbie’s!

WHAT ProAct Traders SEE:  Aussie corrected nicely and bounce at the bottom at 0.9759 and now looks like it is making a run to the top.  It is actually in a large sideways move on a day chart. It has to break the .9986 area for the up move continuance. A break above the 1.0159 would target the top again @ 1.0256. All pullbacks could be positioning to make a run again at the higher targets since Japan will need lots of rebuilding materials and the Aussies can supply them.

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CAUTION IS URGED - TRADE WITH STOPS!!!!!


IMPORTANT NOTICE: These comments are for information purposes only. The information contained on this document does not constitute a solicitation to buy or sell by ProAct Traders, LLC., www.proacttraders.com and/or its affiliates, and is not to be available to individuals in a jurisdiction where such availability would be contrary to local regulation or law. Opinions, market data, and recommendations are subject to change at any time. Forex trading involves substantial risk of loss and is not suitable for all investors. We monitor multiple indicators as well as established chart analysis.

There is No “Holy Grail” in trading systems. Do not use our research or any other trading system without proper research on the asset.

This is an opinion ONLY - and not a trade call, but a study that may lead you to a trade. I do not know whether this will transpire or not so use your own judgment.