[B]MAIN ANALYSIS[/B]: My sudden thoughts of direct losses were blown away with the rally above 0.9099-15 that extended to just below 0.9167. It may have done enough to provoke a resumption of losses but we should just allow for 0.9167-89 which is the ideal stalling point. At this point we have support at 0.9095 and 0.9074 and until these break the additional move higher is possible. Thus, below 0.9070 would revisit the 0.9042 low and breach would confirm additional losses that should then break through 0.9001 and to the 0.8931-74 area.
[B]COUNTER ANALYSIS[/B]: Only a break above 0.9190-00 would concern for a retest of the 0.9251 high but then take care at 0.9270-90… This could be a cap for the larger consolidation to continue. Any break above would suggest a move to the 0.9330-60 area.
For more information regarding the support & resistance and medium term outlook please see the attached PDF file.
Disclaimer: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts. Any opinions, news, research, analyses, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. Forex Capital Markets LLC. will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.