Cable Gains Unrelenting; Approaching 1.6500 Barriers (Daily Classical)

Published June 1st, 2009 - 09:46 GMT
Al Bawaba
Al Bawaba

•    Euro exceeds 70 on daily RSI; poised for needed pullback
•    Dollar/Yen reverses sharply to almost fully negate Friday’s price action
•    Cable gains unrelenting as the market approaches 1.6500; RSI above 80
•    Dollar/Swiss setbacks stall just shy of 2009 lows






EUR/USD



EUR/USD – Could finally be showing signs of a top with the daily RSI crossing above 70 and the market reaching the 78.6% fib retracement off of the major 1.4720-1.2455 move at 1.4235. A daily close near or below 1.4160 would provide added confirmation and we would look to build shorts at current levels in anticipation of a major pullback. Strategy: SELL @1.4145 FOR A 1.3930 OBJECTIVE, STOP 1.4260.

Level

Resistance

Details

1.4435

R3

12/17 high

1.4365

R2

12/29 high

1.4250

 R1 

6/1 09 high

Level

Support

Details

1.4100

S1

6/1 low

1.3940

S2

10-Day SMA

1.3925

S3

5/29 low



USD/JPY