Key Technical Levels
Declining Trend line and Medium Support providing Target Levels
Charts created using Strategy Trader– Prepared by John Rivera
The current range between 0.7000 and 0.7150 is providing target levels with the lower bound the more formidable psychological barrier. The convergence of the 50,100 and 200 Day SMA’s is also serving as an anchoring force for price action. A short-term declining trend line is providing target levels for entering and exiting positions.
Current Range Provides Scalping Environment
Charts created using Strategy Trader– Prepared by John Rivera
Key Support/ResistanceLevels to Watch
|
Pair |
S/R |
Level |
Spot |
Valid Since |
Market Influence |
|
USD/CHF |
Resistance |
20-Day SMA |
1.0440 |
08/16/10 |
Medium |
|
GBP/USD |
Support |
50-Day SMA |
1.5342 |
06/23/10 |
Medium |
|
NZD/USD |
Support |
Psychological |
0.7000 |
07/07/10 |
Medium |
Quantitative Metrics
The NZD/USD has seen its ATR decline to 91 pips as the pair has settled into a narrow range. Although the pair’s daily volatility is the second lowest amongst the most traded pairs, its percentage of spot is at the top which limit’s profit potential. Additionally, a widening Bollinger band width is a concern, but at 463 pips its level of variance is in the middle of the majors.
Charts created using Strategy Trader– Prepared by John Rivera
Volatility / Activity Indicators
|
EURUSD |
GBPUSD |
USDJPY |
USDCHF |
USDCAD |
AUDUSD |
NZDUSD |
GBPJPY |
EURJPY |
|
|
ATR(14) |
0.0137 |
0.0151 |
0.8828 |
0.0124 |
0.0108 |
0.0105 |
0.0091 |
1.6639 |
1.3950 |
|
ATR% |
1.08% |
0.98% |
1.05% |
1.19% |
1.01% |
1.19% |
1.30% |
1.29% |
1.32% |
|
20-5 Day SMA |
0.0238 |
0.0161 |
0.7794 |
0.0070 |
-0.0112 |
0.0109 |
0.0122 |
2.5894 |
3.0370 |
|
Boll. Band Width |
0.0824 |
0.0648 |
3.3847 |
0.0319 |
0.0469 |
0.0416 |
0.0463 |
8.2223 |
9.6850 |
|
1 wk Implied Vol |
11.1850 |
11.1350 |
12.7400 |
10.7250 |
11.8725 |
13.8425 |
13.7175 |
15.2600 |
15.3400 |
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To discuss this report or be added to the email list, contact John Rivera, Currency Analyst: jrivera@fxcm.com
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