January 14 market commentary and technical levels

About Setyo Wibowo:

Living in East Java, Indonesia and holding International Relations degree, Setyo Wibowo began his forex trading career by joining Fortune Channel Investment in 2000 as a market analyst, while learning to trade forex independently on his own. Driven by his desire to share his trading experiences and ideas, Setyo joined the FX Instructor team in 2008. Setyo Wibowo is now living in Mojokerto, East Java, Indonesia.

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Wed, 14th of January, 2009
By Setyo Wibowo (analyst@fxinstructor.com)

EURUSD Outlook
As I had expected, the EURUSD continued it’s bearish momentum yesterday. After break the key level 1.3300 (which also a breakdown from descending triangle) the pair had a nice bearish momentum, bottomed at 1.3141 and closed at 1.3180. The bias remains bearish with 1.2970 as the next target. Immediate support is seen at 1.3140 area. A break below that support area could trigger further bearish momentum. CCI in oversold area and about to cross the -100 line up on 4h chart so watch out for a potential upside pressures testing 1.3300 and 1.3390 resistance area.

EURUSD Daily Supports and Resistances:

• S1= 1.3090
• S2= 1.3001
• S3= 1.2861
• R1= 1.3319
• R2= 1.3459
• R3= 1.3548

GBPUSD Outlook
As I had expected, the GBPUSD also continued it’s bearish momentum yesterday. The pair hit my short target at 1.4550 even further, bottomed at 1.4470 and closed at 1.4508. The bias remains bearish with 1.4355 as the next target. Immediate support is seen at 1.4465. A break below that support area could lead to further weakness for the cable. CCI just cross -100 line up on hourly chart suggesting a potential upside pressures testing 1.4650 and 1.4750 resistance area.

GBPUSD Daily Supports and Resistances:

• S1= 1.4376
• S2= 1.4244
• S3= 1.4018
• R1= 1.4734
• R2= 1.4960
• R3= 1.5092

USDJPY Outlook
The USDJPY made indecisive movement yesterday. On daily chart we can see a Doji candlestick formation. On hourly chart we have a rectangle formation (89.88 – 88.80) after a significant bearish momentum indicating the pair is in consolidation phase. However the scenario should remains bearish. I am expecting a breakdown from the rectangle pattern and still targeting 88.05 area. A breakout to the upside from the rectangle would be seen as a neutral zone. CCI in neutral area both on hourly and 4h chart.

USDJPY Daily Supports and Resistances:

• S1= 88.82
• S2= 88.27
• S3= 87.75
• R1= 89.89
• R2= 90.41
• R3= 90.96

USDCHF Outlook
The USDCHF made another indecisive movement yesterday and the 1.1276 resistance still hold. The bias should remains bullish with 1.1420 as the nearest target. Only a break below 1.1000 area would be a violation to the bullish scenario and bring the pair into neutral area. CCI about to cross -100 line down on hourly chart suggesting a potential downside pressures.

USDCHF Daily Supports and Resistances:

• S1= 1.1134
• S2= 1.1077
• S3= 1.1019
• R1= 1.1249
• R2= 1.1307
• R3= 1.1364

Have a great day!