Daily Market Analysis – Markets Beginning to Get Speculative Fever

Given the positive reaction in the markets as of late, one can assume that investors and traders are expecting good news down the road. Perhaps the harbinger of good news will come from US Fed Chairman Bernanke, who will be speaking at 12:15.  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 

The EUR/USD has rallied nicely since reaching a low of 1.2661 last week.   Just yesterday saw the pair reach 1.2819. The currency is trading at 1.2803, close to its next resistance level at 1.2820. If the pair heads to the downside, the first target is 1.2764 followed by 1.2720. At 8:30, data on US housing is being released.

Resistance	R1: 1.282	R2: 1.288	R3: 1.292
Support	S1: 1.2764	S2: 1.2725	S3: 1.269

 

AUDUSD

From Friday’s 1.0287, the pair has risen all the way to 1.0424. It’s currently trading at 1.0397 and if the currency heads downwards, its first support level is 1.0350 followed by 1.0310.

Resistance	R1: 1.042	R2: 1.045	R3: 1.048
Support	S1: 1.0395	S2: 1.036	S3: 1.0305

 

GBPUSD

The GBPUSD has recovered considerable since reaching 1.5827 last week.  Its currently trading at 1.5910 and getting above 1.5925 opens up the possibility for a rise to 1.5960. On the downside, its first support level is 1.5900 followed by 1.5875. 

Resistance	R1: 1.5925	R2: 1.596	R3: 1.6015
Support	S1: 1.5900	S2: 1.5875	S3: 1.583

 

Gold

On a long term basis, the pair has been trending higher. However, on a short term basis the precious metal is in a trading range. Over the last month, the majority of the time it has traded in a $35 range between $1700 and $1735. For a brief period of 3 trading days it reached $1672.50.  Its currently trading at $1733.26 and targets on the upside are $1738.38 and $1747.12. On the downsides its targets are at $1728.85 and $1721.26.

Resistance	R1: 1734.05	R2: 1738.38	R3: 1747.12
Support	S1: 1728.85	S2: 1721.26	S3: 1717.23

 

Daily Calendar for Tuesday, November 20^th  

Time	Currency	Event	Actual	Forecast	Previous
08:30 EST	USD	Housing Starts		0.840M	0.872M
12:15 EST	USD	Fed Chairman Bernanke

Successful Trading!

Jacob Fendrich
Senior Market Analyst

http://www.CMTrading.com