Daily Market Analysis – Markets React Euphorically to Fiscal Cliff Deal

Investors and Traders initial reaction has sent most of the major markets higher. It remains to be seen what the depth of this move will be. Today at 10am, US ISM Manufacturing Index numbers will be reported. Because of the size of today’s current move thus far, this report could put the markets in a vulnerable position. 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.

EURUSD 

So far today, the pair has reached 1.3298 and is currently trading at 1.3273.  On the downside, targets to be aware of are 1.3221 followed by 1.3196. If the pair breaks higher, 1.3278 is the first target followed by 1.3341. 

Resistance	R1: 1.3278	R2: 1.3341	R3: 1.3397
Support	S1: 1.3221	S2: 1.3196	S3: 1.3158

AUDUSD

Its currently trading at 1.0494, over 100 pips higher than its Monday close. Targets on the downside are at .1.0484 and 1.04509.  On the upside its first target is 1.0500  followed by 1.0539.

Resistance	R1: 1.0500	R2: 1.0539	R3: 1.0558
Support	S1: 1.0484	S2: 1.04509	S3: 1.0411

GBPUSD

The GBPUSD is currently trading at 1.6291. Current targets on the upside are 1.6203 followed by 1.6233. On the downside targets are 1.6163 and 1.6124.

Resistance	R1: 1.6310	R2: 1.6366	R3: 1.6491
Support	S1: 1.6251	S2: 1.6236	S3: 1.6229

Gold

Since November 23^rd, Gold has rallied all the way to high of $1692.12. It’s currently trading at $1688.55. If gold heads lower, price levels to watch are $1681.86 and $1675.10.

Resistance	R1: 1695.09	R2: 1704.48	R3: 1718.10
Support	S1: 1681.86	S2: 1675.10	S3: 1658.59

Daily Calendar for Wednesday, January 2^nd 2013   

Time	Currency	Event	Actual	Forecast	Previous
10:00	USD	ISM Manufacturing Index	50.7	50.3	49.5

Successful Trading!

Jacob Fendrich
Senior Market Analyst

http://www.CMTrading.com 

      

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