Supports and Resistances for August 13, 2007

Hi all,

After a tumultous last week, we hope to see a nice steady and much more predictable week this time around. As of this writing, the market seems to have settled down and things look good for longs though it is only during the London session that the correct direction will be known. As you guys might have read, the central banks are also acting to keep the market stable. This has been in 2 ways by the market with one part considering it as good as it is assuring to know that banks would act and not allow the markets to tumble uncontrollably while on the other hand, the fact that the banks had to interfere shows that something is not right with the markets. In any case, things should slowly start to settle down and in abt 3-4 weeks time, everything should be back to normal. Below are the supports and resistances for the JPY crosses for today:-

USDJPY - Important support at 118.21. If that is broken, next support is at 117.95 which is a very strong support and the final major support is at 117.70. On the topside, the resistance is at 118.35 and then at 118.70.

EURJPY - Important support at 161.72. If that is broken, next support is at 161.20 and the final major support is at 160.85. On the topside, the resistance is at 162.50 and then at 163.20.

GBPJPY - Important support at 239.05. If that is broken, next support is at 238.50 and the final major support is at 237.46.On the topside, the resistance is at 239.83 and then a major resistance at 240.65.

Happy Trading!!!