Google

Monday, 3 December 2007

Kshitij Consultancy Service

USD-CHF @ 1.1293/97...Holding Long
-----------------------------------
R: 1.1310 / 1.1357
S: 1.1240 / 1.1200
USD-CHF had a sharp upmove last week and with that it cut its losses, which were seen in the prior two weeks. Now the pair is likely to see extension of last week’s gain this week. The initial Resistance this week would be at 1.1357, the 200-MA on the 4-Hourly. Above that the Resistance would be at 1.1440. The Support this week would be at 1.1200, and then at 1.1140, with dips expected to find buying.

The pair hit a low of 1.1250 during the day and is currently just below its intraday Resistance of 1.1310-20. A move above that could lead to a rally towards 1.1348, the statistically projected Max High for the day. On the downside the Supports are at 1.1250 and then at 1.1220. We are holding a long position currently.

Holding:
USD 10K Long at 1.1213, SL 1.1170 (up from 1.1150), TP Open

GBP-USD @ 2.0640/45....BOE Meets on Thursday
--------------------------------------------
R: 2.0620 / 2.0660
S: 2.0550-45 / 2.0520 / 2.0450
GBP-USD was pressurized last week, and it fell sharply after hitting a high of 2.0835. Importantly, GBP closed with losses last month, for the first time since August-07. Now the pair is expected to remain pressurized this week as well. However, the important Support in the week is at 2.0450, a break below which could see deeper losses. On the upside the Resistances are at 2.0680 and then at 2.0750. Rallies are likely to face strong selling. There is an important BOE meeting on Thursday, which is likely to lead to considerable volatility. Trading light should be preferred this week.

GBP has had a nice upmove in the day, but would face Resistance near 2.0670-80, which is a strong Resistance. A move above that could lead to a rally towards 2.0703, the statistically projected Max High for the day. On the downside the Supports are at 2.0580 and then at 2.0524-20, the low for the day so far. We are not trading the pair currently.

See BOE Rate and GBP Libor chart at
http://www.kshitij.com/fundamentals/funcharts/ukboe.shtml


AUD-USD @ 0.8829/34...Holding Short in Long term
-------------------------------------------------
R: 0.8850-55 / 0.8890
S: 0.8785 / 0.8750-40
AUDUSD was choppy without any clear direction all through last week, and a similar behaviour is expected this week, with strong Resistance coming near 0.8900, which comes on a trendline on the Daily Candles joining the highs of 0.8999 (19-Nov) and 0.8923 (28-Nov). On the downside the Support for the next few days would be at 0.8700, and a break below that on a closing basis is required to see deeper losses. We expect losses down the line in the week. The RBA interest rate decision is on Wednesday, 05-Dec AUD Time Zone.

For today the Resistance is at 0.8850-55 and then at 0.8890. On the downside the Supports are at 0.8785 and then at 0.8750. We are holding a Short position in Long Term account.

Holding (in Long-term book):
AUD 10K Short at 0.8724, SL 0.8924, TP 0.8500

RBA meets on Wednesday. See RBA rate and AUD Libor chart at
http://www.kshitij.com/fundamentals/funcharts/aurba.shtml

Happy Trading!