EUR/USD: Consolidating Friday’s Break Higher. Consolidation below layers of resistance including the 200-DMA, falling daily trend line off late Feb highs and Friday’s high continues with an inside day to start the week. Initial support is seen at today’s hourly lows but the hourly break out level from Friday is likely to be pivotal support with a close below needed to shift focus lower once more. Until then focus remains on tests of $1.2800-1.2850.
RES 4: $1.3284 – Monthly high May 1
RES 3: $1.3065 – High May 7
RES 2: $1.3000 – Psychological level & previous key daily support
RES 1: $1.2833 – 200 day moving average
LATEST PRICE: $1.2777
SUP 1: $1.2761 – Hourly support Sept 11
SUP 2: $1.2650 – Hourly breakout level Sept 7
SUP 3: $1.2504 – Low Sept 5
SUP 4: $1.2466 – Low Aug 28
GBP/USD: Eventual Topside Break Favoured. Rising daily channel top intersects nicely with the $1.6051 resistance level with stops expected above. Pressure is expected to remain on the $1.6040-50 region with a break higher then opening the way for a move back to 2012 highs set in late April. Rising daily trend line off Aug 3 lows continues to guide the pair higher with a close below needed to hint at a shift lower in focus.
RES 4: $1.6302 – 2012 high April 30
RES 3: $1.6201 – High May 4
RES 2: $1.6121 – High May 14
RES 1: $1.6051 – Previous daily support now resistance
LATEST PRICE: $1.6011
SUP 1: $1.5924 – Low Sept 7
SUP 2: $1.5867 – Rising daily trend line from Aug 3 low
SUP 3: $1.5835 – 21 day moving average
SUP 4: $1.5756 – Low Aug 28
USD/JPY: Pressure Remains On Lower Levels. The pair paused for breath with an inside day to start the week and the pair treading water just above Aug monthly lows (Y77.93) and the relatively flat 21 day lower Bolli band. Topside the falling daily trend line off Apr 20 highs, the 100-DMA & 200-DMA provide solid res within the Y79.17-31 region, with a close above this level needed to relieve downside pressure and shift focus to June mnthly high.
RES 4: Y79.66 – Monthly high Aug 20
RES 3: Y79.50 – 21 day upper Bollinger band
RES 2: Y79.31 – 200 day moving average
RES 1: Y79.01 – Double daily top Sept 6 & 7
LATEST PRICE: Y78.20
SUP 1: Y77.90 – 21 day lower Bollinger band
SUP 2: Y77.66 – Monthly low June 1
SUP 3: Y76.04 – Monthly low Feb 1
SUP 4: Y75.32 – Monthly low Oct 31
EUR/JPY: Potential For A Dip Back To Y99.01. EUR/JPY needs to break above Friday’s high (Y100.41) to test the July 3 resistance level or else risk a dip back towards the Y99.01 support. Overall the multiple daily lows around the Y98.01 level remain key support for the pair, with a close below needed to shift focus back to retests of 2012 lows. Last weeks close above the 21-WMA (Y99.46) also adds weight to the case for higher levels.
RES 4: Y101.81 – 200 day moving average
RES 3: Y101.61 – High June 21
RES 2: Y100.81 – High July 3
RES 1: Y100.41 – High Sept 7
LATEST PRICE: Y99.92
SUP 1: Y99.82 – Hourly support Sept 7
SUP 2: Y99.01 – Previous daily resistance now support
SUP 3: Y98.01 – Multiple daily lows Aug
SUP 4: Y97.88 – Ichimoku Cloud top
EasyForexNews Research Team