EUR/USD: No New High However Studies Still Bullish. The pair fails to make a new high after rising to $1.3404, our initial resistance level. Daily studies are still fairly bullish and suggest there’s still upside risk, as do weekly and monthly studies. Further resistance seen at $1.3442, the 100-month MA. In the meantime, the pair moves back within the daily Bollinger band and may try for some light consolidation and we see initial support at $1.3308, the high of Dec 19 and 23.6% of $1.2998-1.3404.
RES 4: $1.3528 200-week moving average
RES 3: $1.3487/91 High Feb 2012, 50.0% of $1.4940 to $1.2043
RES 2: $1.3442 100-month MA
RES 1: $1.3404 High Jan 15
LATEST PRICE: $1.3359
SUP 1: $1.3308 High Dec 19, 23.6% of $1.2998-1.3404
SUP 2: $1.3284 5-day moving average
SUP 3: $1.3249 38.2% of $1.2998-1.3404
SUP 4: $1.3201/03 50.0% of $1.2998-1.3404, 21-day moving average
GBP/USD: Holding Above 55 & 100-DMAs, Bears Eye Jun 2012 Supp Line. GBP currently stuck between the 55 and 100-DMAs at $1.6067/70 and the 5-DMA at $1.6095, daily studies are a touch bearish and focus turns to the Jun 2012 support line at $1.6031, initial support alongside the 61.8% of $1.5829-1.6381 at $1.6040. Bears will be looking to test this support level while bulls will vie to break above the 5-DMA and reclaim ground above the 21-DMA, resistance at $1.6151. Weekly and monthly studies are a mixed bunch.
RES 4: $1.6301 Upper daily Bollinger band
RES 3: $1.6211 Former Apr 2011 Trendline
RES 2: $1.6151/71 21-DMA, Former Support line from Nov 16
RES 1: $1.6095 5-DMA
LATEST PRICE: $1.61077
SUP 1: $1.6031/40 Jun 2012 support line, 61.8% of $1.5829 to $1.6381
SUP 2: $1.6001 Lower daily Bollinger band
SUP 3: $1.5959/61 76.4% of $1.5829 to $1.6381, 100-week MA
SUP 4: $1.5909 200-DMA
USD/JPY: Fails To Make New High, Potential Bearish Engulfing Pattern. USD/JPY fails to make a new high adding further risk to the downside as 10-day momentum also failed to make a new high on the move up to Y89.67, the Jan 14 high and our initial resistance level. Current price action forms an almost bearish engulfing pattern, we wait for confirmation. Focus now turns to supp, our initial supp seen at Y88.41, the Jan 4 high and below here we see the Tenkan line at Y88.22. Weekly tech studies are stretched and overbought.
RES 4: Y94.99 May 2010 reversal high
RES 3: Y93.99 38.2% Fibonacci of Y124.14 to Y75.35
RES 2: Y90.16 3.00% MA Envelope
RES 1: Y89.67 High Jan 14
LATEST PRICE: Y88.96
SUP 1: Y88.41 High Jan 4
SUP 2: Y88.22 Tenkan line
SUP 3: Y87.74/79 Dec 21 support line, 23.6% of Y81.69-89.67
SUP 4: Y86.62/66 38.2% of Y81.69-89.67, 21-DMA
EUR/JPY: Lower High & Lower Low Cautions Bulls, Studies Dip. EUR/JPY fails to make a new high and currently forms a bearish engulfing candle, we await confirmation. Daily studies have turned lower, with slow stochastic study on the verge of forming a sell-signal, we also await confirmation for this. Weekly and monthly studies remain bullish, however are stretched and weekly studies are in overbought territory. Initial support seen at Y117.84, the Jan 10 high. Initial res seen at Y120.13, the Jan 14 high.
RES 4: Y132.04/22 50.0% of Y169.96-Y94.12, 100-month MA
RES 3: Y127.91 High April 2010
RES 2: Y123.09/33 38.2% of Y169.96-Y94.12, Apr 2011 reversal high
RES 1: Y120.13 High Jan 14
LATEST PRICE: Y118.75
SUP 1: Y117.84 High Jan 10
SUP 2: Y116.79/85 23.6% of Y105.98-120.13, Tenkan line
SUP 3: Y116.31 Jan 10 Marabuzo mid-point
SUP 4: Y115.99 High Jan 2
EasyForexNews Research Team