Daily Outlook for GBPUSD

Attached is the 1H chart for GBPUSD. As can be seen, like EU, GU is also showing a lot of strength. At this point of time, GU has lot of support at 1.52. As pointed out for EU, as the price goes down for GU, the volume also decreases which shows that the big buyers are not interested in lower prices.

For today, i dont see GU going below yesterdays low of 1.52 where there is huge support. Even if price dips lower, it will only be a place to buy more rather than sell.

For now, GU and EU are caught in small ranges due to strong supports and resistances but i favor longs in both and would buy dips.

For today, the strong support is at 1.52 and resistances are at 1.53 and then at 1.5350. If the resistance at 1.5350 is broken we should be aiming for 1.54 and then 1.55.

Daily Outlook for EURUSD

Attached is the 1H chart of EURUSD. To be honest, this strength of Euro surprises me a bit. I had expected a top around 1.37 and then i expected a big fall once some distribution had taken place at the top. But the fall does not seem to have come at all. Atleast not yet. On the other hand, EU is showing great strength. Yesterday, it broke through one of its major resistances at 1.3670 and then has retraced a bit.

The very important thing to notice here is the fact that all retracements have been on low volume and all up moves have been on higher volume which shows the underlying strength of this pair.

For today, the support will be at yesterdays low which is around 1.36. There should be strong resistance at around 1.3750 and then the round number of 1.38 but considering the underlying strength, i would expect EU to go up more and all these resistances to be broken, if not today, then very soon.

I do not expect EU to go down below yesterdays low of 1.36. Expect more upside today with support as 1.36..

Updates on signal service

I will be starting my trial of the signal service tomorrow. I have added all those who have sent me their yahoo ids. I can see that some of you have still not added me. Hence those guys wont be receiving my signals unless and until they add me. The trial will be for 5 trading days.

I will be continuing my updates tomorrow on this blog. It has been a slow day for me today getting back from vacation. Hope to be up to full speed tomorrow.

Daily Outlook for EURUSD

Attached is the 1H chart for EURUSD. As written in my blog some days back, EU was indeed in a strong uptrend and has managed to reach 1.3650. It has a huge resistance at 1.3672 and it has been struggling to overcome that for the past 3-4 days. It did make its way to a small support at 1.3550 and now it is caught between the range at 1.3550 and 1.3672.

This ranging could continue for some more time and we could see a breakout later on. As can be seen, there is low volume when price goes down which shows lack of interest in lower prices and so EU should hover around 1.36 and should not go down by much today.

For today, there is strong support at 1.3550 and break of that could lead to 1.3489 and then a strong support at 1.3428 and i dont see this pair breaking down below that. On the upside, there is strong resistance at 1.3672 and with no major news today, i dont see this pair breaking this resistance today.

Expect more ranging today. I am back from vacation just today and have not yet developed a full feel for the market yet. So excuse me if some of my analysis is not right for today.

Updates on signal service

I will be starting the signal service trial tomorrow or day after (May 13 or 14). So far, 46 people have signalled an intention to join the trial. Today will be the last day for me to taking entries for this trial as i have to make some arrangement before i launch it. For those who have already expressed an intent to join and also for those who want to join it today, please send me your yahoo messenger id as i will be giving signals over that only. If you have already given me your yahoo id, you need not resend.

I will be mailing out details on the trial to all those who have expressed an interest, sometime later today.

Back From Vacation

I am back from vacation just about an hour back. Nice and refreshed though a little bit tired. Will take a day or two to get a feel for the market. Will start updating the blog again from today..

Daily Outlook for GBPUSD

Attached is the 1H chart for GBPUSD. Similar to EURUSD, yesterday was a ranging day for GU as well considering all the news that has been lined up today. Today should be a fun day for all pairs and it should be more fun tomorrow as well with several pairs breaking out of ranges and pairs reversing their current trends. Its a pity that i wont be around for the next 2 trading days.

Anyway, coming back to GU, as can be seen from the ranging yesterday, the support is at 1.5015 and the resistance is at 1.5150. All the news today should break this pair out of this range.

As in EU, the strength so far shows that longs could be in serious play later in the day and i expect a breakout to the upside after all the news releases today. On the upside, the first resistance would of course be the highs of yesterday which is 1.5150. A break of this should clear the way for a move towards 1.54 with small resistances in between at 1.5250 and 1.53.

On the downside, we should have good support at 1.51 and 1.5010 and i do not expect 1.5010 to be broken today. If it does get broken, the next major support would be at 1.4900 and 1.4770.