OSB Daily Technical Analysis for September 9, 2014

EURUSD continued its downward trajectory on Monday following a pause at the end of last week. Some indecision and sideways action during the mid-session gave way to sellers in the second part of the day pushing the Euro lower only to close just below the 1.29 handle. Weakness and lower prices are the dominant forces in the EURUSD.

EUR/GBP Gap up for the EURGBP pair on Monday with a close above the 50 DMA with the Scottish Yes vote dominating trading in this pair. The close just above resistance at the 0.8015 handle suggests we might be moving higher but not without some corrective action and consolidation at this very significant support level.

EUR/JPY Positive day for the EURJPY and a move higher from last week’s lows. Range bound action with a push higher. A close above 137.00 and the 20 DMA is positive for this market.

EUR/CHF Volatility and indecision in the EURCHF on Monday with a close at similar levels to Friday. Neutral and range bound.

GBP/USD Gap down and sharp decline for the GBPUSD following gathering momentum behind the Yes vote for Scottish independence. A test of the 1.60 handle looks imminent and close below this level opens the way for lower prices from here. The Scottish question is bound to dominate action in this pair for the rest of the week.

USDJPY is bullish and had a big up day on Monday. The pair is at a six year high and closed just beneath the 106.00 handle after pushing above this level intraday. The strength of the USD is evident and higher prices are likely. Bullish.

USDCAD pair made a decisive push towards the 1.10 handle on Monday closing at the highs of the day at 1.098. Monday’s bullish candle opens the way for a retest of recent highs. USD strength currently contributing to this move as in other pairs.

USDCHF closed at a 52 week high on Monday after a strong showing last week. Resistance ahead at the 0.9370 level is likely to be tested as the pair pushes higher.

AUDUSD had a big down day slicing through the 200 DMA. The pair remains within its recent trading range with Mondays close suggesting further weakness for the pair. Consolidation and a test of support at 0.9250 are likely.

NZD/USD The Kiwi pushed lower on Monday and closed below the 0.83 handle after testing the support level several times last week. The next support area is at the 0.8250 level is likely to be tested and a close below this level puts the bears firmly in control of this market.

 

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