Supports and Resistances for August 21, 2007

Hi All,

So yesterday did indeed turn out to be good for the longs as expected. I would say that today also it would be good for the longs and the price of GJ for example should reach around 231 today. There are huge resistances in between (as specified below and these need to be broken for it to reach the specified targets. All these do not mean that the carry trades are going to resume and that everything is going to be fine with them. After touching the specified targets, there could again be a correction in the crosses sometime later this week and maybe the beginning of next week and the big rise would start either during the end of August or the beginning of September. Next month would be a good month for the longs in the crosses. Below are the supports and resistances for the JPY crosses for today :-

USDJPY - Important support at 114.75. If that is broken, next support is at 114.04 which is a very strong support and the final major support is at 113.50. On the topside, the resistance is at 115.57 and then at 115.80.

EURJPY - Important support at 154.68. If that is broken, next support is at 153.70 and the final major support is at 153.10. On the topside, the resistance is at 155.66 and then at 156.28.

GBPJPY - Important support at 227.60. If that is broken, next support is at 226.50 and the final major support is at 225.00.On the topside, the resistance is at 229.40 and then a major resistance at 231.10.

Happy Trading!!!