Sterling slides as markets fall
The Britain’s pound has tumbled following comments from the British finance minister Alistair Darling about the tough challenges facing the UK’s economic. One pound is worth $1.80 and just over one euro twenty three cents.
European shares finished Monday’s session down, led by weaker commodity stocks which were tracking falling oil and metals prices.
Copper prices fell nearly 3%, nickel dropped 5%and zinc slipped 2%. However the fact that crude oil slipped to its lowest in more than four months helped the shares of airlines and car makers.
euronews.net


EURCAD. The trend is downwards on the daily chart. Pair is making correction after falling. Quirk by the trend has been formed on the RSI-3. Pair is near to the moving average (EMA-8, EMA-13). It is possible that the downwards moving will renew. The gathering region of three reactions (1.3285-1.6322, 1.4169-1.6322 and 1.4406-1.6322) is 1.5140-1.5250. This zone will be the strong support. Look to get short in the 1.5550-1.5600 zone, eliminate the transaction if the pair will close a day above of the 1.5609. Look to get long in the 1.5140-1.5250 zone, eliminate the transaction if the pair will close below of the 1.5100.


EURGBP. Pair has broken the upper border of the consolidation’s range on the daily chart. If you opened up long positions on the bridge of 0.8010 level, move stop-loss order in the positive zone or fix a profit. Look to get long in the 0.8050-0.8060 zone, eliminate the transaction if the pair will close a day below 0.8010.


EURCHF. Pair is consolidating in the 1.6039-1.6337 range. Rectangle is forming on the chart. You can get a profit if you will open short from upper border of the rectangle (1.6337) and if you will open long from the lower border of the rectangle (1.6039). Eliminate the transactions if the pair will close a day outside of the rectangle. You should try to open positions on the breakthrough of the borders of the rectangle. In this case: look to get long if the pair will close a day above of the upper border of the rectangle (1.6337), look to get short if the pair will close a day below of the lower border of the rectangle (1.6039). Eliminate the transactions if the pair will close a day inside of the rectangle after breakthrough.


EURJPY. Trend is downwards on the daily chart. A week opened with a gap. The gap signs that the trend becomes stronger than before. You should look for open positions in the direction of the gap. The gap becomes a resistance now. Look to get short in the 159.27-159.66 zone, eliminate the transaction if the pair will close a day above 159.66. Look to get long if the pair closes day above the upper limit of the lowest day.


Elena Chernaya, Chief Currency Strategist
ELAN Investment Solutions

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