EUR/USD: Bears Focus On July Support Line. The pair approaches the Jul support line, now initial support at $1.2895, alongside the 23.6% Fibonacci at $1.2906. Daily tech studies are bearish, momentum has crossed below the key “zero-line”, a bearish signal. A break below the Jul support line should target the 200-DMA at $1.2836, however, Euro-dollar remains bullish until the Jul support line is confirmed to be broken. Initial res at the 21-DMA.
RES 4: $1.3139/40 May 1 trend-line, Oct 17 high
RES 3: $1.3110 Upper Bollinger Band
RES 2: $1.3072/84 High Oct 5, Oct 22
RES 1: $1.2969/78 21-day moving average, 5-day moving average
LATEST PRICE: $1.2938
SUP 1: $1.2895/906 July support line, 23.6% Fibonacci of $1.2043-1.3172
SUP 2: $1.2826/28/36 Low Oct 11, Lower Bolli band, 200-DMA
SUP 3: $1.2795/803 55-DMA, Low 1 Oct
SUP 4: $1.2741 38.2% retracement of Jul/Sep rally
GBP/USD: Focus On Test Of The Falling Sep 21 Trend-Line. GBP posted another day of impressive gains, to rise up to the Sep 21 trendline before consolidating. Price action today tests the falling trendline again, initial resistance at $1.6129, a very close resistance level, but a key level. A break above here would target the upper daily Bollinger band at $1.6202. Daily tech studies are bullish, so focus is firmly on testing the Sep 21 trendline.
RES 4: $1.6273/79 High Sep 28, Apr 2011 res line
RES 3: $1.6202/18 Upper Bollinger band, High 5 Oct
RES 2: $1.6178 High Oct 17
RES 1: $1.6129 Sep 21 trend-line
LATEST PRICE: $1.6121
SUP 1: $1.6049/64/77 5-DMA, Frmer 23.6% of $1.5269-1.6309, 21-DMA
SUP 2: $1.5997/6006 Lows 9 & 10 Oct, 55-day moving average
SUP 3: $1.5952 Lower Bolli band
SUP 4: $1.5912 38.2% of $1.5269-$1.6309 move & High Aug 23
USD/JPY: Tests Key Y80.00 As Support, Studies Weaken. USD/JPY retests the Y80.00 level, but now support. We note the potential for a dark cloud cover or bearish engulfing candle pattern, especially as daily tech studies look stretched and a touch weaker. Further support seen as the former Oct 5 resistance line at Y79.87. However, dollar-yen remains bullish while above the key Y80.00 level and former Oct 5 res line, we see initial res at Y80.34/38.
RES 4: Y81.78 High Apr 20
RES 3: Y81.49 61.8% Fibonacci of Mar/Sep decline
RES 2: Y80.55/62/65 Highs May 15, Jun 25, 50% Fibo Of Mar/Sep decline
RES 1: Y80.34/38 Oct 25 and Oct 26 highs
LATEST PRICE: Y80.08
SUP 1: Y80.00 High Oct 23
SUP 2: Y79.87 Former Oct 5 resistance line – now support
SUP 3: Y79.66 August high
SUP 4: Y79.40/50 23.6% Fibonacci of Sep/Oct rally, 200-DMA, Tenkan Line
EUR/JPY: Daily Studies Turning Lower. The pair tested the upper rising channel but closed below, the channel upper remains initial resistance at Y104.39. We’ve drawn a new resistance line from the Sep 17 high to the Oct 23 high, this comes in at Y104.67, forming further resistance with the Oct 23 high and 61.8% Fibonacci of the Mar/Jul decline. However, daily tech studies are turning lower and initial support seen as the Tenkan line at Y103.20.
RES 4: Y107.21 76.4% Fibonacci of Mar/Jul decline
RES 3: Y105.65 Low Mar 6
RES 2: Y104.59/67/71 High Oct 23, Sep 17 Res ln, 61.8% Fib Mar/Jul fall
RES 1: Y104.39 Rising channel upper
LATEST PRICE: Y103.60
SUP 1: Y103.20 Tenkan Line
SUP 2: Y102.07/11/29 200-DMA, Kijun line, 21-DMA
SUP 3: Y101.34 Rising Jul Channel base
SUP 4: Y101.24 Ichimoku Coud top
EasyForexNews Research Team