Forecast for July 16th, 2012
The EUR/USD currency pair continues moving according to the forecast. At the moment the price is forming the descending pattern at the H4 chart. The pair is still expected to be corrected from the current levels into the area of 1.2350, where one can consider selling it. The target of the pattern is the area of 1.2040. Aggressive traders are advised to buy Euro with the tight stop.
The GBP/USD currency pair has grown up a bit. Currently the price is forming the descending pattern, the target of the fall is the area of 1.5250. One can consider selling Pound from the level of 1.5540. If the price grows up higher than 1.5570, this scenario will be cancelled. The test of the trend’s descending line at the RSI is an additional signal to sell the pair. We recommend to stay out of the market until the price reaches the level of 1.5540.
The USD/CHF currency pair continues moving inside the ascending pattern, the price is still expected to start falling down. The closest target of the correction is the area of 0.9740, where one can consider buying Franc. The target of the pattern is the area of 0.9960. Aggressive traders can consider selling the pair from the current levels.
Australian Dollar is moving according to the forecast. We should expect the pair to continue growing up towards the area of 1.0210, where one can consider selling it with the tight stop above 1.0265. The final target of the fall is the area of 1.0050. We recommend to increase the amount of short positions only after the price breaks the level of 1.0090.
New Zealand Dollar is also moving according to the forecast, the pair has tested the area of 0.7925. Right now there is a risk that the price may start falling down. One can consider selling the pair with the tight stop near the level of 0.7945. The closest target of the fall is the area of 0.7840, however, the price yet may form “head & shoulders” reversal pattern at the daily chart of the pair. If the price grows up higher than 0.7955, this scenario will be cancelled.