Forex Investment and Currency Trading

USDCHF: A very similar pattern on the USDCHF chart with the bearish channel providing resistance. Yesterday’s high was also the 76.4% Fibonacci retracement of the fall from the 8th May high which is at 1.0480. A turn back down in the ST is the danger

NZDUSD: Bearish reversal pattern posted yesterday as the market breaches support at 0.7367. The trend is down and expect a test of the 200 wma at 0.7098. Beyond that, a test of the August 2007 low at 0.6643 cannot be written off.

NZDJPY: Aggressively breaking down through the support area around the 200 wma at 79.82. The overall outlook for NZD is poor and expect further losses down towards the March ’08 low at 76.71. Beyond that the August low is at 74.21 which may be tested over an extended period.

Crude: So far still trading above support at $119.90 with momentum very stretched. A breach of that level would suggest further ST losses towards the $110 area (200 dma is at $108.44, trend support is at $110.37 and horizontal support is at $111.80). For now the support level at $119.90 is still in place.