February 20, 2012 14:26 GMT

Trading Ideas on GBP/USD, AUD/USD and USD/CHF

USD-CHF @ 0.9154/57...Ranged

R: 0.9225 / 0.9263 / 0.9300
S: 0.9170 / 0.9120-00 / 0.9070-50

Dollar-Swiss still remains in a sideways range. The pair saw a break above the 21-Month-MA (0.9263) last week but failed to rise past 0.9300 and came off from its high of 0.9300. Technically the 8 and 13 week-MAs (currently at 0.9301 and 0.9296 respectively) has held very well last week. It has dipped further below its intermediate Support near 0.9170 today and it can now move down further towards 0.9120-00 or even 0.9070-50. OVerall we expect a sideways range 0.9050 on the downside and0.9300 on the upside.

Holding:
USD 10K Short at 0.9250, TSL 0.9185 (down from 0.9205), TP 0.9065
As soon as the market trades 0.9135 bring TSL down to 0.9175 and as soon as the market trades 0.9120 there after bring TSL further down to 0.9150

GBP-USD @ 1.5872/75...Ranged with bullish bias

R: 1.5850 / 1.5900-20 1.6000-20
S: 1.5750 / 1.5700

The important Support on the monthly chart at 1.5642 held very well last week as expected and Cable has seen a strong bounce back from its low of 1.5644. Last three weeks candles are showing a sideways range of 1.5650-5930. Important to note is that the pull back from 1.5735 after the initial bounce from the low of 1.5644 last week was lacking strength and downside momentum. This was then followed by a strong rise from 1.5655 towards 1.5850. This leaves the bias bullish within this 1.5650-5930 sideways range. The 200-DMA (1.5911) will be an important Resistance level which needs to be watched and whether this Resistance holds or breaks will determine the further direction of move. A strong break above the 200-DMA can take pair further up towards 1.6000-20 or 1.6100-20. On the other hand, failure to rise past the 200-DMA Resistance would keep the pair ranged between 1.5650 and 1.5930 for some more time.

Trade ideas for the week:
1) Buy on dips to 1.5650
2) Buy at the market on a break above the 200-DMA

AUD-USD @ 1.0777/80...Ranged with bullish bias

R: 1.0735-50 / 1.0800-20 / 1.0935
S: 1.0680-60 / 1.0620 / 1.0500

Aussie was ranged between 1.0630-0800 last week. The 21-DMA (1.0665) has held very well last week and is keeping up the overall bullish view intact. 1.0680-60 could be a very good Support region for this week and while above this 1.0680-60 Support region, we see good chances of a break and rise past 1.0800 towards 1.0930-50. Also a strong weekly close above 1.0750 would be very bullish which could take the pair to much higher levels going forward. Overall the pair is expected to remain ranged between 1.0630-800 and we will have to wait for a breakout of this range. Within this range our bias is bullish.

Limit Buy Order:
Buy AUD 10K at 1.0650, SL 1.0570, TP 1.0930

Trade ideas for the week:
1) Watch 21-DMA Support level and look to enter Long at the market if a bounce back happens from this 21-DMA Support itself.

Happy Trading!

This report has been prepared by Kshitij Consultancy Service. For more, go to Kshitij Consultancy Service