FOREX MARKET UPDATE 17/05/07

Thursday May 17, 2007



EUR-USD
1.3515. There is bearish potential for a fall to 1.3476 while 1.3543 - 1.3562 resist. After this fall a recovery up to 1.3562 or 1.3581 is expected.
USD-CHF
1.2236. It should trade higher to 1.2276 while 1.2208 or 1.2188 offers support. Stop loss below 1.2167 zone.
USD-JPY
120.83. Current rise seems to be over near 120.84 or 121.06 for a retracement towards 120.61 - 120.50 area.
GBP-USD
1.9769. Prefer a fall to 1.9764 or 1.9726. Then a correction to 1.9822 is anticipated. A clear break of 1.9684 is again bearish.
EUR-CHF
1.6537. Current rise should end around 1.6532 or 1.6558. Objectives of this downmove are 1.6512 or 1.6486. A rise above 1.6578 is again bullish.
EUR-JPY
163.29. Our preferred outlook is for a drift down to 162.98 or below 162.66. Resistances are at 163.29 and 163.43. A rise above 163.75 would delay but not abort this expected fall.
EUR-GBP
0.6835. Our preferred outlook is for a drift down to 0.6825 or below 0.6814. Resistances are at 0.6835 and 0.6841. A rise above 0.6852 would delay but not abort this expected fall.
AUD-USD
0.8243. Overall structure is bearish. Decelerating momentum could attract it towards supports at 0.8218 or 0.8204. Major support is clustered around 0.8151 limit.
USD-CAD
1.1046. Corrective dips should ideally halt near 1.1026 or 1.1008 for one more thrust upwards towards 1.1055 - 1.1083 area or 1.1120 in extention. Fall below 1.0989 puts it back on a downward path.