Forex Market Analysis

Economic News for the week of April 29^th to May 3^rd

Monday	Tuesday	Wenesday	Thursday	Friday
USD (1:30 GMT)  – Pending Home Sales	CAD (1:30 GMT) – GDP USD (3:00PM) – Consumer Confidence	GBP (9:30 GMT) – Manufacturing PMI USD (1:15 GMT) ADP Non-Farm Employment USD (3:00 GMT) ISM Manufacturing PMI USD – (19:00 GMT) FOMC Statement	EUR ( 12:45 GMT) Minimum Bid Rate EUR (13:30 GMT) – Trade balance EUR (13:30 GMT) – ECB Press Conference USD (13:30 GMT) – Trade Balance USD –(13:30 GMT) Unemployment Claims	GBP (9:30 GMT) – Services PMI USD (13:30 GMT) – Non Farm Employment Change USD (13:30 GMT) – Unemployment Rate USD (15:00 GMT) Non-Manufacturing PMI

 

Technical Trading Gameplan for week of April 29^th to May 3^rd

Markets stand at a turning point this week, with investors and traders focusing on the upcoming FOMC meeting on Wednesday, May 1st. If the dollar index continues its long term upward climb, then this may give some of the hot games a rest for the time being.  For those interested in a more in-depth anaysis, we at CM Trading are here to help those that want to profit from the financial markets. Below is an overview of how one can expect to profit from this week's swings in the various markets.

EUR/USD

RESISTANCE	R1:1.31884	R2:1.33055	R3:1.36440
SUPPORT	S1:1.29979	S2:1.27245	R3:1.23100

The beginning of this month saw the 1.2750 level tested multiple times and its rise to 1.32 and its subsequent decline to its current 1.3065, has many wondering if we'll see a retest of that low in the near future. One can't help but wonder if any of the number of issues plaguing the Eurozone will resurface, leaving the euro vulnerable to downward swings.

USD/JPY

 

RESISTANCE	R1: 99.94	R2: 101.45	R3: N/A
SUPPORT	S1: 96.195	S2:  92.485	R3: N/A

 After closing close to the 100 mark last week, the USDJPY couldn’t seem to continue its upward momentum and has lost some steam this week. Although not a clear indication that it’s now a short, trading lightly with quick profits on the downside may prove to be a profitable trading plan.

USD/ZAR

 

RESISTANCE	R1: 9.30415	R2: 9.33041	R3:
SUPPORT	S1:  9.05440	S2:  808841	R3:

The USDZAR has been in a steady stairstep advance since its yearly low on January 2nd of 8.4120. It’s currently trading at support at the 9.0624 and will need to hold this level or face the possibility of reaching 9.009.

GOLD

 

RESISTANCE	R1:  1,52948	R2: N/A	R3:N/A
SUPPORT	S1:  1,202.50	S2: N/A	R3: N/A

Gold must be a source of frustration for those insisting that it's going to astronomical levels. Fortunately, we at CM Trading have continued to offer the advice that this is a trader's market and the era of long term buy and hold is no longer a valid way to show a profitable return at the year's end. In the short term the commodity has been trying to regain some of its losses from last week.

S & P FUTURES

 

RESISTANCE	R1: 1,577ish	R2: New High	R3: New high
SUPPORT	S1: 1,480ish	S2: 1,411.05	R3: 1,201.65

The S&P 500 reached an all-time high of 1592.13 on April 11 and saw a retest of that high at 1587.38 on April 25th. There is certainly indication that there is HEAVY resistance around the 1577 mark; however breaking above these levels could set the stage for a move to 1650.

Daily Market Analysis – Gold’s Massive Move to Major Support and Its Subsequent Rebound

03/28/2013

We’ll need to wait and see the extent of Gold’s upward rebound. US Fed Chairman Bernanke will be speaking this evening at 19:15 EST. His words have the most influence over the value of the US dollar than any other person.  For those interested in a more in depth analysis, we at CM trading are here to assist those who are interested in profiting from the financial markets. Below are the charts and the day’s economic events to better understand the current short term trends in some of the different markets.

 

EURUSD 

The pair has broken out of its base to its current 1.3019 level. It reached 1.3039 yesterday and the low was reached just the day before at 1.2745. Price levels to watch on the downside are 1.2965 and 1.2875. If the pair breaks higher, 1.3020 is the first target followed by 1.3040. 

Resistance	R1: 1.3020	R2: 1.3040	R3: 1.3106
Support	S1: 1.2965	S2: 1.2900	S3: 1.2875

EURJPY

It’s previous high was reached near 2 months ago on February 6^th at 127.70. It’s currently trading at new highs for the year at 128.37. Price levels to watch on the upside are 129.40 and 130.00

Resistance	R1: 128.40	R2: 129.40	R3: 130.00
Support	S1: 127.70	S2: 127.35	S3: 126.15

NZDUSD

The pair has risen from 0.8161 on March 13 to its current level of 0.8443. Targets on the upside are 0.8465 followed by 0.8485. On the downside, targets are 0.8420 and 0.8397.

Resistance	R1: 0.8465	R2: 0.8485	R3: 0.8510
Support	S1: 0.8420	S2: 0.8397	S3: 0.8355

 

Gold

From its high of $1920 in September 2011, the precious metal has fallen nearly 18% to its current level of $1577.85. Is this a buying opportunity or is there a reason it’s going lower?   If gold heads lower, price levels to watch are $1563.25 and $1555.00.

Resistance	R1: 1583.05	R2: 1589.51	R3: 1598.90
Support	S1: 1563.25	S2: 1555.00	S3: 1547.79

 

Daily Calendar for Monday, April 8^th 2013   

Time	Currency	Event	Actual	Forecast	Previous
19:15	USD	Fed Chairman Bernanke

Successful Trading!

Jacob Fendrich
Senior Market Analyst

http://www.CMTrading.com 

        

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