News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Dollar Accelerating into Key Levels

Dollar Accelerating into Key Levels

Jamie Saettele, CMT, Sr. Technical Strategist

FXCM Expo Videos (educational)

Innovative Techniques with Traditional Technical Indicators

Trading with the Elliott Wave Principle

Seeing the Forest from the Trees: An Analysis of Global Markets

Afternoon Technicals (all charts)

Other TA (crosses, COT, etc.)

Morning Comments:

S&P future – The gap from the 1/3 open has been filled but the first daily candle of the year (small body, upper wick at 2nd std. dev band) leaves the S&P in a vulnerable state. Throw in the statistical significance of the tendency for prices to make a high or low for the entire month on the first day of the month and the short side is that much more attractive with a stop above 1280. Resistance is 1274.75. Downside levels of interest are 1260.75, 1250.75, and 1243. A November-December trendline comes in at about 1232 today and the 20 day average near 1241.

USDOLLAR (Ticker: USDOLLAR): Has traded through the 1/2 high and now faces some congestion from 10000/20. Short term structure is promising with the decline from the December high in 3 waves. We may have the opportunity to buy a dip tomorrow or early next week.

DollarKeyLevels_body_usdollar.png, Dollar Accelerating into Key Levels

Prepared by Jamie Saettele, CMT

EURUSD – Is approaching the -2nd std. dev band on the daily near 12780. The next downside levels would be a trendline at 12680 (-3rd std dev band is at 12650) and August 2010 low at 12590. Resistance is 12850/80.

GBPUSD – The dominant pattern remains the sideways consolidation since 11/25. As such, treat 15670 as a tradeable high (stops above). Resistance is 15535 and 15560. Supports are 15465 and 15430.

AUDUSD – An inside day yesterday has given way to a downside break and focus is on the 61.8%-50% retracement of the rally from the 12/29 low at 10175-10215. The 1/2 low at 10200 is in the middle of this range. The downside is favored against 10340. Shorts were issued last night and this morning via Twitter @JamieSaettele.

DollarKeyLevels_body_audusd.png, Dollar Accelerating into Key Levels

NZDUSD – An inside day yesterday has given way to a downside break and focus is on the 61.8%-50% retracement of the rally from the 12/29 low at 7750/80. A trendline off of the December lows is at 7760 today. The 1/2 low at 7740 is also of interest. The downside is favored against 7875.

DollarKeyLevels_body_nzdusd.png, Dollar Accelerating into Key Levels

USDJPY – Expecting resistance at 7720/60. 7720 is the 1/2 high and 38.2% retracement of the drop from 12/23 high. 7760 is the 12/28 low and 61.8% retracement. 7830 is the pivot.

USDCAD – Is currently testing trendline resistance drawn off of the December highs. Exceeding 10200 exposes the 12/29 high at 10270.

USDCHF – Is threatening a break of the December high (9547). Doing so would shift focus to the January 2011 high at 9784. 9450/70 is support.

--- Written by Jamie Saettele, CMT, Senior Technical Strategist for

To contact Jamie e-mail Follow me on Twitter @JamieSaettele

To be added to Jamie’s e-mail distribution list, send an e-mail with subject line "Distribution List" to

Jamie is the author of Sentiment in the Forex Market.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.