EURUSD  1.3186 -0.72%

The single currency has failed to break through the pivotally important 1.3300 figure.  The failure has lent to a bout of selling, taking the Euro lower – and posing as one of the top three movers on the day.  With consolidation likely in the immediate short term for the EURUSD pair, we anticipate the selling to continue through technical support at 1.3171 and 1.3150 – with medium term targets firmly placed at 1.3000.  Any corrective momentum will be stifled by resistance at 1.3250.

AUDUSD  1.0674 -1.01%

With risk sentiment at a low following fundamental drivers in Europe, the Australian dollar has lost considerable ground to the US dollar.  Since yesterday morning, the Pacific currency has lost 1.4%, with the bulk coming off of today’s selling session.  Now, as the currency consolidates, we anticipate the price action to be trapped in between support and resistance of 1.0653 and 1.0690 respectively.  Downside momentum is still in favor of the Aussie shorters, which leads us to believe the 1.0690 will likely hold in the near term.

USDCHF  0.9174  +0.63%

The USDCHF currency pair continues to remain in a relatively wide range bound situation currently – trapped between resistance at 0.9225 and support at 0.9120.  Spiking over night, the USDCHF is now trading near its resistance  - although still 50 pips or so below.  Given today’s violent move higher, we anticipate – as with the other two selections – a consolidation at this point heading into the afternoon trade, before fulfilling a continuation towards the 0.9225 level.  This will likely occur before any correction back to previous support can be speculated upon.

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