This is Technical analysis daily provided by specialists and analysts from FXCBS

Friday February 5 , 2010

Previous session overview

The euro dollar pair still falling recording a low of 1.36471 and a high of 1.37458, having the union currency trading around 1.36710.

Regarding the pound dollar pair, it extended declines in the Asian session recording a low of 1.56533 and a high of 1.57751, having the royal currency trading around 1.56992.

Finally, the dollar gained slightly against the Japanese yen to record a low of 88.880 and a high of 89.769, and the pair is currently trading around 89.523.

Market Expectations

The pair euro against U.S. dollar succeeded to achieve our goals which were mentioned yesterday on our report, stochastic appears saturated in sales process, which could lead to spouse corrective movement to the 38.2% Fibonacci level at the point 1.38100, but we must have attention to the economic data which will be issued today from USA economic.

Stochastic shows positive signs for a couple of sterling against the U.S. dollar, which could pay for a spouse corrective movement to the level of 1.5800 before continuing the journey down towards new goals at 1.55600 , which need a stable trading below 1.58500.

The dollar against yen succeeded in achieving the bearish scenario mentioned yesterday, we expect a bearish intraday direction, where its primary targets are around 87.350 and require mainly 90.550 to remain intact in the four hour closing below it.

Senior Analyst / Ali Hasan /FXCBS

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