Start with 6 February UOB Daily Forex Trade ideas, after disappointing Retail Sales data from Australia and below expectation Chinese services PMI. For the EUR some positive data from Germany with Factory orders exceeding market expectations. Bullish EUR?
AtoZForex – These are UOB forex trade ideas for 6 of February on the five major pairs; AUDUSD, EURUSD, GBPUSD, NZDUSD and USDJPY.
Summary of 6 February UOB Daily Forex Trade ideas
AUDUSD: Anticipated break above 0.7700 – Bullish bias (unchanged)
AUD touched a low of 0.7619 during NY session and the “buying level” at 0.7620-25 met. Provided the 0.7595 (stop loss adjusted from 0.7560) level remains intact, we still anticipate a break of the 0.7700 level. UOB added,
“… A clear break of this level is expected to lead to acceleration higher towards last November’s top near 0.7775/80.”
EURUSD: Range bound 1.0700-1.0840 – Neutral bias
EUR is expected to be trading in a range between 1.0700 to 1.0840 after the near term upside pressure dropped off. after touching a high of 1.0828, the EUR retracted. For a bullish leg to start, the daily close has to be above 1.0840. The possibility of such a move is still intact, however, the odds have diminished a lot. UOB added…
“… the upside appears to be more vulnerable even though this pair has to ‘punch above’ 1.0840 or the recent lackluster price action would likely persist.”
Also see: Daily Free Forex Signals
GBPUSD: Range bound 1.2400-1.2730 – Neutral bias (unchanged)
Last Friday we saw GBP trade in a narrow range between 1.2457 to 1.2538, with a weak daily close. This would indicate a possible negative sentiment. There is a strong support level at 1.2400. UOB added,
“…there is no change to the current neutral outlook for GBP and this pair is expected to continue to trade in a broad 1.2400/1.2730 range for now.”
NZDUSD: NZD strength diminishing – Bullish bias (unchanged)
NZD upside momentum still remains sluggish for the time being as we enter the third week of bullish phase. Recent choppy trading has led to a weakening of the NZD. NZD has to break above the 0.7350 or risk deeper retracement. UOB added…
“…A clear break above 0.7350 would indicate that a move towards last November’s 0.7400/05 high has started. ”
USDJPY: Downside pressure to 111.30– Neutral bias
USD remains above the key support of 112.00-05. Momentum on the downside has continued with a possible move to 111.30 level. UOB added,
“….Only a move above 113.50 would indicate that the immediate downward pressure has eased (minor resistance at 113.10).”
This concludes the 6 February UOB Daily Forex Trade ideas.
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