EUR/USD: Recovers 5-DMA, But Studies Remain Weak. The EUR recovers the 5-day moving average, which turns initial support at $1.2230, but studies remain weak and bulls need to recover the 21-DMA to re-establish themselves. While $1.2162 remains the low, Fibonacci levels include $1.2365/85, $1.2428/55, $1.2490 and $1.2524 but bears are still focused on previous lows at $1.2151 and 50% retracement level at $1.2135.
RES 4: $1.2693 High 29 June
RES 3: $1.2610 55-day moving average
RES 2: $1.2454 21-day moving average
RES 1: $1.2407 Low 28 June
LATEST PRICE: $1.2236
SUP 1: $1.2162 Low 13 July
SUP 2: $1.2151 Low 29 June 2010
SUP 3: $1.2125/35 Bollinger band, 50% of euro range
SUP 4: $1.1881 Low June 2010
GBP/USD: Tests 21-Day Moving Average. GBP recovers from a test of the 76.4% retracement level at $1.5389 to test the 21-DMA of $1.5591 as studies show some signs of recovery. Bulls need to break above here to test 61.8% of the 20 June decline, at $1.5631 and the 2 July high of $1.5723. The 5-DMA turns initial support at $1.5518 ahead of the $1.5420 Bollinger band.
RES 4: $1.5786/02 50% of May/June decline, 100-DMA, Spike high 18 June
RES 3: $1.5723/52 High 2 July, 200-day moving average, Bollinger band
RES 2: $1.5631 61.8% retracement of $1.5778/1.5393 move
RES 1: $1.5591 21-day moving average
LATEST PRICE: $1.5570
SUP 1: $1.5518 5-day moving average
SUP 2: $1.5420 Bollinger band
SUP 3: $1.5389/93 76.4% retracement of June rally, Low 12 July
SUP 4: $1.5304 Interim low 8 June
USD/JPY: Focus Remains on Break of 21-DMA. USD/JPY is trading within the falling Y78.92/Y80.48 Ichimoku cloud and now pushing under the 21-day moving average of Y79.60, which could be an important move, if sustained, as the 21-DMA marked the top of the Apr/Jun downtrend well. Bears now look at the base of the cloud and 200-DMA of Y79.04.
RES 4: Y80.91 50% retracement of Y84.16-Y77.66
RES 3: Y80.48/63 Top of Ichimoku cloud, 100-DMA, High 2 May, 25 June
RES 2: Y80.30 Bollinger band
RES 1: Y79.36/62 5 & 21-day moving average, Kijun & Tenkan line
LATEST PRICE: Y79.10
SUP 1: Y79.04/08 200-day moving average, Low 29 June
SUP 2: Y78.90/92 Bollinger band, Base of Ichimoku cloud
SUP 3: Y78.62/79 Low 15 June, 61.8% of June rally
SUP 4: Y77.97 2% MAE
EUR/JPY: Within Falling Bollinger Band. The pair trades within the falling Bollinger band base of Y96.10 with weak studies allowing for bears to seek the June low of Y95.59, while initial resistance is the 5-DMA at Y97.10 and late June low of Y98.34.
RES 4: Y99.02/14/34 Kijun line, 21-DMA, Base of the Ichimoku cloud
RES 3: Y98.62 Tenkan line
RES 2: Y98.34 Low 28 June
RES 1: Y97.10 5-day moving average
LATEST PRICE: Y96.80
SUP 1: Y96.42 Low 12 June
SUP 2: Y96.10 2% MAE, Bollinger band
SUP 3: Y95.59 Low 1 June
SUP 4: Y95.13 Support line from 16 Jan
EasyForexNews Research Team