EUR/USD

The volatility has increased and Bollinger bands are widened. The pair seems to be consilidating around the1.3625 after yesterdays drop from the 1.3682 mark. On the 4 H chart both momentum and the RSI are both giving strong indication that the pair will range trade today. However there is a flag formation appearing and if this pair breaks the 1.3600, then we may see another move downwards.

GBP/USD

The cable has been on steady fall in the last 24 hours, sliding from 2.0186 to the 2.0154 mark. However the hourlies are indicating that we are now in oversold territory as the RSI is at the 20 mark and momentum is bullish. On the 4 H chart the bullish formation is weak so we should see this pair make a slight correction possibly leveling out at the 2.0120 level.

USD/JPY

After last weeks violent drop this pair has been on a steady uptrend. On the hourlies there is a strong bearish cross appearing on the slow stochastic and the 4 H chart also supports a bearish notion. However the dailies are still bullish so a preferable strategy for today may be to buy on dips and sell on highs.

USD/CHF

The 4 H and the hourlies both support a bullish notion. The dailies also indicate that this pair is oversold as there is a strong bearish cross on the slow stochastic coupled with positive momentum. Traders can expect this pair to strengthen before making another slight correction down. However since this pair is currently trading at a key level if there is a break below the 1.2000 support level then the downward correction may be significant.