Over bought with the USD currency pairs

Posted on Saturday, January 30th, 2010 at 1:32 pm.

In the Forex market a lot of the pairs that are trading against the USD currency pair you will see that they are approach to a major support and resistence level and according to the fib levels they are over bought or over sold. So giving everyone heads up look for a candle stick reversal pattern or break of a trendline and you will see alot of the markets will retrace in the other direction. You will want to use the 24 EMA 28 EMA or also known as the daily gap as a target. If you use the day chart as your guide to do your technical analysis with the Forex then you will have alot more reaction time with your trade. Also read more about the Forex news you will also get notifacation that the USD currency pair is going to weaken.