The euro is testing the resistance level of 1.31. This week there will be very relevant data for the euro. If the pair manages to close the day above the resistance of 1.3092 it increases the probability of an upward movement to the area of 1.3225, third weekly resistance. While not miss the 1.30 level, we will continue our bullish outlook for this pair.
Signals for April 29 – May 04, 2013
Buy in case of rebound is around 1.3023, take profits are at 1.3092 and 1.3225, and stop loss is below weekly pivot 1.2990. Buy if it closes above 1.3092, take profit is at 1.3156 and 1.3225, stop loss is below 1.2990.
The British pound managed to make its upward momentum to the 1.55 area. However, this pair has a downside target which is located at the levels of 1.50. Analyzing the table pivots, we can say it has a resistance of 1.5582. Before it the pound must at least reverse to the level of 1.5389. Therefore, we recommend selling at the current price levels.
Signals for April 29 – May 04, 2013
Sell if pullback is around zone of 1.5582 with take profit at 1.5389, stop loss is above first weekly resistance. Sell now 1.5515 in current levels of price, with take profit and 1.5389 and 1.5279, stop loss is above first weekly resistance of 1.5582.
The Australian dollar is finding support above 1.0278 weekly pivot but cannot overcome the 1.0340 area. If the pair closes the day above this level it is likely the next targets in the second weekly resistance are at 1.0394 and 1.0450. The short-term outlook is bullish for this pair, so if there is a rebound in weekly pivot area, we recommend buying the pair again at low prices with goals in the third weekly resistance. The mentioned outlook will remain bullish till the pair does not lose 1.0270, because if it does, the downward pressures would increase significantly, below 1.0270 we can place our stop loss. Therefore, we consider the following signal will be valid for this week.
Signal for April 29 – May 04, 2013
Buy if it closes above 1.0337 with take profit at 1.0394 and 1.0453, stop loss is below 1.0278. Buy if rebound is around 1.0278 with take profit at 1.0337 and 1.0394, stop loss is below 1.0270.
The EUR/JPY pair is trading below the weekly pivot 128.50, below this level there is a downward pressure for the pair, it prevents the euro-yen price increase. In its turn, there is another resistance which is also significantly stronger, the first weekly resistance which is located at 129.86. To overcome this level, the upward trend could gain momentum and be driven rapidly to 133.38, third weekly resistance. In the case of this pair fails to close above 128.50, it is expected that in the short term it would be pushed down to the first weekly support, 126.34. Losing it, the price could quickly settle at the level of 124 yens per euro.
Signals for April 29 – May 04, 2013
Buy if it closes above 128.50 with take profit at 129.86 and 133.38, stop loss is below 127.50. Sell if it closes below 128.40 with take profit at 126.34 and 124.98, stop loss is above 127.60.
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Have a great trading week ahead!