Monday, November 26, 2012

Daily Market Analysis – Volume Returns to Market after Holiday

Today’s market should see more action after the light volume markets saw during the US Thanksgiving holiday. The market’s should see even more volatility beginning on Tuesday with the UK’s 4th quarter GDP announcement.  For those interested in a more in depth analysis, we at CM trading are here to assist those who are interested in profiting from the financial markets.


The EUR/USD has been in a steady uptrend since reaching a low of 1.2661 nearly 10 trading days ago.   Its currently trading at 1.2954 and the pair is right below major resistance. If the pair heads to the downside, the first target is 1.2940 followed by 1.29. On the upside, if it breaks through resistance, the first target is 1.2990 followed by 1.3020. At 7am, the eurozone will release numbers for the GfK German Consumer Climate. This report is a measure of consumer confidence in economic activity and higher than expected readings are bullish for the  Euro.

R1: 1.2990
R2: 1.3020
R3: 1.3085
S1: 1.2940
S2: 1.290                 
S3: 1.2835


Also facing overhead resistance is the AUDUSD. It’s currently trading at 1.0449 and if the currency heads downwards, its first support level is 1.0445 followed by 1.0415. Breaking above 1.0470 gives the pair a shot at 1.0490.

R1: 1.047
R2: 1.049
R3: 1.052
S1: 1.0445
S2: 1.0415
S3: 1.039


Friday’s trading saw the GBPUSD reach a high of 1.6050.  Its slightly down from that level, currently trading at 1.6011. If the pair breaks above that level its next target is 1.6075 followed by 1.6135. Targets on the downside are 1.6015 and 1.5970.

R1: 1.605
R2: 1.6075
R3: 1.6135
S1: 1.6015
S2: 1.597
S3: 1.5925



Friday’s trading finally saw Gold break out of its sideways consolidation pattern with a high of $1754.17. If the market continues higher, its next target on the upside is $1757.84 followed by $1764.59. On the downside, support levels to be aware of are $1739.65 and $1732.50.

R1: 1757.84
R2: 1764.59
R3: 1777.42
S1: 1739.65
S2: 1732.50
S3: 1721.60


Daily Calendar for Monday, November26th

07:00 EST
GfK German Consumer Climate

16:45 EST
Trade Balance


Successful Trading!

Jacob Fendrich
Senior Market Analyst

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