22 December, AtoZForex.com, London – Credit Suisse technical team has provide trade ideas along with EURUSD and AUDUSD technical analysis for currency investors to acknowledge and have an edge over the market.
EURUSD: 1.0792 support holds, 1.1011 resistance caps
The Euro has found itself a support area just ahead of a more important price action support level at 1.0796/92 – 50% retracement of the move from early December.
However, the overall momentum remains bearish suggesting an eventual break below the 1.0792 support to form a larger top.
“This would then open up further weakness to the top of the recent base at 1.0638/37 initially, and eventually the 1.0524/21 price lows,” Credit Suisse projects.
A break below the lower support is needed for a bear run lower towards the year to date lows at 1.0458 .
Credit Suisse looks for 1.1011 level to ideally cap EURUSD rebound and keep the underlying trend bearish.
Credit Suisse has entered the market this morning at 1.0905 level targeting a move lower towards 1.0640.
AUDUSD: Within a large bearish triangle
“We allow for corrective strength to extend, but ideally look for trend-line resistance and the falling 21-day average at .7241/51 to cap to see a retest of .7096/92,” Credit Suisse noted.
Beneath the lower level and then below the price support at .7070 would suggest lower in rage indicating that a large bearish “triangle” has been completed. From there on, the move to November low at 0.7016 would commence.
“Resistance moves to .7201 initially, then .7217, with .7241/51 ideally capping to keep the immediate bias lower in the range. Above can see a move back to .7280/84,” Credit Suisse projected.
Credit Suisse maintains a short AUDUSD position from 0.7280 level, with a stop placed at 0.7385, targeting a move lower to 0.6940 area.
Consider reading: Bank of America: Will USD strengthen?
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