Forecast for April 18th, 2012
The EUR/USD currency pair broke the level of 1.3050, and then tested the area of 1.3170. At the moment the price is testing the descending channel’s broken border, one can consider buying Euro from the current levels. The stop must be placed below 1.3080, the target of the growth is the area of 1.3285. We recommend to increase the amount of long positions only after the price breaks the level of 1.3175. If the pair falls down lower than 1.3050, this case scenario will be cancelled.
The GBP/USD currency pair has reached all the targets of the growth and already tested the resistance level of 1.5965. If the price tests this strong level once again, it may be broken in an upward direction. At shorter time frames we can see the formation of the ascending symmetrical pattern. At the moment Pound may start growing from the current levels into the area of 1.6030, which is expected to be a starting point of the correction to the level of 1.5990, and then a new ascending movement into the area of 1.6075. If Pound falls down lower than 1.5865, this case scenario will be cancelled.
Franc is also moving according to the forecast, and yesterday it fell down a lot. At the moment the RSI indicator is testing the trend’s ascending line, we should expect the pair to be corrected from the current levels. However, if the RSI indicator breaks the trend’s line, the pair may continue falling down into the area of 0.9050. Aggressive traders are advised to try to sell the pair with the tight stop.
Canadian Dollar continues moving according to the forecast. We recommend to increase the amount of sales only after the price breaks the level of 0.9925. The target of the fall is the area of 0.9780. One can consider opening short-term sell orders when the descending pattern is formed at shorter time frames. We should expect the price to test the level of 0.9940. One can try to open more sell orders near the level of 0.9955. The target of the pattern is the area of 0.9920.
In case of Australian Dollar the price continues forming “upside down head & shoulders” reversal pattern. The pair has already rebounded from the support level of 1.0305. One should hold the long positions or consider opening new ones from the current levels, the stop must be placed below 1.0265. We recommend to increase the amount of purchases only after the price breaks the level of 1.0465. The target of the pattern is the area of 1.0685.