GBP/USD
The cable bounced off support this week and closed at the upper end of its recent range near 1.97. The fundamental picture remains strong for this pair, and we expect further upside in the long term. Resistance near 1.98 will contain this market until a fundamental catalyst can support a move to new highs.

EUR/USD
The Euro finally broke free from the past few weeks range bound trade. This week’s strength can be attributed to the Hawkish comments coming out of the Euro Zone, and the expectation that the ECB will raise interest rates this spring. The 1.30 level should remain solid support for this pair, with resistance near 1.32.

USD/JPY
The trading range for this pair has been expanding for the last few weeks as the market tries to incorporate several fundamental factors. The BOJ did increase their interest rates earlier this week and the market reacted counter intuitively, rallying on the news. The 122 level remains significant upside resistance with strong support near 119.

USD/CHF
This pair continues to trade between 1.23 and 1.2550. On Friday the market tested 1.23 support and buyers stood their ground. However, the economic picture is somewhat uncertain so look for a quick sell off if the pair pushes below 1.23. Upside resistance is near 1.2475.

AUD/USD
The Aussie has rallied quite strongly for the past few weeks as commodity prices have rebounded. The long term resistance level near .7950 remains this pairs most significant level. A push above that resistance could signal a long term move, though the strength of the Australian economy is still unclear and highly dependent on growth in Asia, especially China.

USD/CAD
Early in the week this pair experienced a classic “head-fake” as buyers were drawn in by short term strength and then crushed by sellers. That move is a perfect example of why it is important to wait for confirmation of any move through a key level. After this pair rallied unabated for several months a further correction is not unlikely. 1.1450 and 1.1675 are the support and resistance levels for this pair.

Derek Frey is Head Trader at Odom & Frey Futures & Options.

Risk Disclaimer
Past performance is not indicative of future results. Trading futures and options is not suitable for everyone. There is a substantial risk of loss in trading futures and options.