EUR/USD: Daily Studies Firmer As Bears Meet Buying Pressure. The pair met some buying pressure as it leaves long lower shadows on the last two candles. Daily studies could turn bullish if today’s close is higher, cautioning bears. Bulls will look to break above initial resistance, seen as the 38.2% of $1.4940 to $1.2043, the former 23.6% of $1.2662 to $1.3308 and the 21-DMA, all around $1.3150/56/60, respectively. Bears will aim to test the 55-DMA as support at $1.2991.
RES 4: $1.3487/91 High Feb 2012, 50.0% of $1.4940 to $1.2043
RES 3: $1.3388 100-week MA
RES 2: $1.3296/3308 Upper Bollinger Band, High Dec 19
RES 1: $1.3150/56/60 38.2% of $1.4940-1.2043, 23.6% of $1.2662-1.3308, 21-DMA
LATEST PRICE: $1.3128
SUP 1: $1.3080 Former May 1 trendline
SUP 2: $1.3024 Lower daily Bollinger band
SUP 3: $1.2971/85/91 Jul 24 supp, 50.0% $1.2662-1.3308, 55-DMA
SUP 4: $1.2909/2929 61.8% of $1.2662 to $1.3308, 100-DMA
GBP/USD: Tests Former Nov 16 Support Line As Resistance. The cross retests the former Nov 16 support line as initial res at $1.6131, a break above here will return cable to a bullish trend, however failure to do so will threaten a test of the Jun 2012 support line, further supp at $1.5946. Daily studies remain bearish and initial support is seen at $1.6057/6066/6067, the 100-DMA, 55-DMA and Dec 27 low, respectively. Monthly tech studies are bullish and weekly stochastic shows a potential sell-signal.
RES 4: $1.6293 Upper daily Bollinger band
RES 3: $1.6217 Former Apr 2011 Trendline
RES 2: $1.6167 21-DMA
RES 1: $1.6131 Former Support line from Nov 16, 5-DMA
LATEST PRICE: $1.6110
SUP 1: $1.6057/6066/6067 100-DMA, 55-DMA, Low Dec 27
SUP 2: $1.6040 Lower daily Bollinger band
SUP 3: $1.5946/59/62 Jun 2012 supp line, 76.4% of $1.5829 to $1.6381, 100-W MA
SUP 4: $1.5903 200-DMA
USD/JPY: Fades From Jan 4 High At Y88.41, Studies Slide. USD/JPY leaves a double-day high as the pair slips lower. The daily slow stochastic study shows a sell-signal and 10-day momentum appears to have broken its uptrend. Initial support seen at Y86.82/95, the 23.6% of Y81.69 to Y88.41 and the Tenkan line. Weekly tech studies also appear to be turning lower in overbought levels and further support is seen at Y85.75/84, the 23.6% of Y77.13 to Y88.41 and the 38.2% of Y81.69 to Y88.41.
RES 4: Y94.99 May 2010 reversal high
RES 3: Y93.99 38.2% Fibonacci of Y124.14 to Y75.35
RES 2: Y89.22 Monthly Ichimoku cloud base
RES 1: Y88.41/71 High Jan 4, 3.00% MA Envelope
LATEST PRICE: Y87.50
SUP 1: Y86.82/95 23.6% of Y81.69-88.41, Tenkan line
SUP 2: Y85.75/84 23.6% of Y77.13-88.41, 38.2% of Y81.69-88.41
SUP 3: Y84.85/85.05/07/38 200-W MA, 50.0% Y81.69-88.41, Kijun line, 21-DMA
SUP 4: Y84.18 Reversal high 15 Mar
EUR/JPY: Fails To Test Jan 2 High At Y115.99, Studies Slide. EUR/JPY leaves a long lower shadow yesterday, showing strong buying pressure, however failed to reach the Jan 2 high of Y115.99, also initial resistance. Daily tech studies remain in a slight downtrend and we see initial support at Y113.63/70, the 23.6% of Y105.98 to Y115.99 and the Apr 2001 high. A break below here will encourage bears to test the Nov 13 support line at Y112.22 as well as the 21-DMA at Y112.35, where strong support is expected.
RES 4: Y119.51 Monthly Ichimoku cloud base
RES 3: Y117.98 55-month MA
RES 2: Y116.44 76.4% of Y123.33 to Y94.12
RES 1: Y115.99 High Jan 2
LATEST PRICE: Y114.69
SUP 1: Y113.63/70 23.6% of Y105.98 to Y115.99, Apr 2001 high
SUP 2: Y112.17/29/50 61.8% Y123.33-94.12, 23.6% Y100.33-115.99, Dec 19 high
SUP 3: Y112.22/35 Nov 13 supp line, 21-DMA
SUP 4: Y110.99 Kijun line, 50.0% of Y105.98 to Y115.99
EasyForexNews Research Team