Thursday, September 03, 2009

Market Update - Sep 3rd '09

Selling pressure hasn't abated yet, so we should see a continuation of the current erosion under the 1000 level. Support should however be found shortly, either on current levels or after dropping to the [968-980] range.
Short intraday time frames seem to indicate 1000 as a mild resistance now on the 60mins chart.

TF can likewise find support on current lows or could also shed another 10 points. Therefore, even though the longer weekly outlook is still fairly bullish, support could be first found on the daily Fib 38% level. We'll review this on the weekly report.

Note on EURUSD: the bounce on 1.418 has stalled for now on pivot level hence some hesitation on current levels (~1.428). Although pivot may act as a resistance for now (60mins chart), it will probably be broken later on (higher time frames).

( posted 6:30 AM UK )