EUR/USD: Finds Support From 21-Day Moving Average. The pair moved below the former Sep 17 resistance line and bounced from support around the 21-DMA, now initial support at $1.2966. Daily studies are a little mixed, slow stochastics shows a sell-signal and 10-day momemntum points higher. We still note the dark cloud cover candle pattern from the 18th, however, bulls may try for a test of the Sep 14 high in coming sessions.
RES 4: $1.3140/41 Oct 17 high, May 1 trend-line
RES 3: $1.3113 Upper Bollinger Band
RES 2: $1.3072/84 High Oct 5, Oct 22
RES 1: $1.3025 5-day moving average
LATEST PRICE: $1.2987
SUP 1: $1.2966 21-day moving average
SUP 2: $1.2906 23.6% Fibonacci retracement of $1.2043-1.3172
SUP 3: $1.2818/26/36 Lower Bolli band, Low Oct 11, 200-DMA
SUP 4: $1.2803 Low 1 Oct
GBP/USD: Focus Turns To 38.2% Retracement Support Level. GBP fell through the lower Bollinger band to test the 38.2% Retracement level of the May to Sep rally and Aug 23 high, now further support at $1.5912 after initial support, the lower Bollinger
band at $1.5925. Daily tech studies remain bearish and we believe bears will target the 200-DMA at $1.5829. Initial res seen as the 55 & 5-DMAs at $1.5988/93, Cable still bearish below the Sep 21 trend-line.
RES 4: $1.6178 High Oct 17
RES 3: $1.6143 Sep 21 trend-line
RES 2: $1.6064/80 Frmer 23.6% of $1.5269-1.6309, 21-DMA
RES 1: $1.5988/93 55 & 5-day moving averages
LATEST PRICE: $1.5947
SUP 1: $1.5925 Lower Bolli band
SUP 2: $1.5912 38.2% of $1.5269-$1.6309 move & High Aug 23
SUP 3: $1.5901 50% of Aug/Sep rally
SUP 4: $1.5812/29 100 & 200-day moving averages
USD/JPY: Daily Studies Stretched As Dol-Yen Consolidates. USD/JPY seems to be consolidating above the former Oct 5 resistance line, initial support at Y79.74. However, daily tech studies now look stretched and overbought, further support seen as the 200-DMA at Y79.47. Initial resistance seen as yesterday’s high, a significant level at Y80.00. We may see the pair correct a little as it’s paused in its 8-day rally, the 23.6% retracement of which is support at Y79.40.
RES 4: Y81.49 61.8% Fibonacci of Mar/Sep decline
RES 3: Y80.55/62/65 Highs May 15, Jun 25, 50% Fibo Of Mar/Sep decline
RES 2: Y80.10 High Jul 5
RES 1: Y80.00 High Oct 23
LATEST PRICE: Y79.81
SUP 1: Y79.66/74 August high, Former Oct 5 resistance line
SUP 2: Y79.40/47 23.6% Fibonacci of Sep/Oct rally, 200-DMA
SUP 3: Y79.14 Tenkan line
SUP 4: Y78.73/81 Kijun Line, 100-day moving average
EUR/JPY: Trades Back Within Rising Channel. EUR/JPY moves back within the rising channel nut remains above the former April resistance line, initial support alongside the Tenkan line at Y102.81/82. Initial resistance becomes the rising channel upper with the Oct 17 high at Y104.14/18. Daily tech studies remain bullish but are definitely weakening, we keep an eye on slow stochastics which may show a sell-signal today. Further supp seen from the 200-DMA.
RES 4: Y107.21 76.4% Fibonacci of Mar/Jul decline
RES 3: Y105.65 Low Mar 6
RES 2: Y104.59/63/71 High Oct 23, Low Apr 16, 61.8% Fib Mar/Jul decline
RES 1: Y104.14/18 High Oct 17, Rising channel upper
LATEST PRICE: Y103.63
SUP 1: Y102.81/82 Former resistance line from April, Tenkan Line
SUP 2: Y102.03/11 200-day moving average, Kijun line
SUP 3: Y101.95 21-day moving average
SUP 4: Y101.13 Rising Jul Channel base
EasyForexNews Research Team