EUR/USD: Another Spinning Top Turns Daily Studies Bearish. The pair posts another spinning-top doji while daily studies turn bearish – slow stochastics shows a sell-signal from overbought territory. Risk is likely to the downside, following the potential double-top pattern, and initial support remains at $1.3280, the 23.6% level. Bears will be looking to close below and recent moves under here met support around $1.3265/67, the lows of Jan 23 and 22. Bulls will try to regain the Jan 14 high at $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: $1.3442/46 100-month MA, Upper daily Bollinger band
RES 1: $1.3382/3404 100-week MA, High Jan 14
LATEST PRICE: $1.3310
SUP 1: $1.3280 23.6% of $1.2877-1.3404
SUP 2: $1.3265/67 Lows of Jan 23 and 22
SUP 3: $1.3237 21-day moving average
SUP 4: $1.3203 38.2% of $1.2877-1.3404
GBP/USD: Key Support Around $1.5802/06/10 – Daily Studies Stretched. GBP posts an outside-day spinning-top doji as it bounces from $1.5806/10, the lows of Jan 21 & 22, but adds to the initial supp level with a low of $1.5802 yesterday. Bears are looking to break and close below here to open the downside, with a move to the 61.8% possible at $1.5694. Daily studies are stretched and near oversold levels. We may see bulls recover and challenge the 200-DMA at $1.5907, however weekly and monthly studies remain bearish.
RES 4: $1.5993/6003/6023 Low Jan 9, Low Dec 7, 38.2% of $1.6381-1.5802
RES 3: $1.5939/56 23.6% of $1.6381-1.5802, 100-week MA
RES 2: $1.5907/19 200-DMA, Short-term res line from Jan 2 high
RES 1: $1.5876 55-week MA
LATEST PRICE: $1.5831
SUP 1: $1.5802/06/10 Low Jan 23, Low Jan 21 & 22
SUP 2: $1.5755/78 Low Aug 28, Lower daily Bolli band
SUP 3: $1.5694 61.8% of $1.5269-1.6381
SUP 4: $1.5571 Monthly Trendline from Jan 2009
USD/JPY: Holds Below 21 Dec Support Line Despite Bearish Studies. USD/JPY bounces from the 21-DMA despite the bearish daily studies and current price action has moved higher to trade just under the Dec 21 support line, which lies at 89.34. Weekly studies remain overbought and stretched but monthly studies do point higher. Initial res seen as the highs of Jan 22, 18 & 21 at Y90.13/21/25 respectively. However, if dollar-yen fails to close above the Dec 21 sup line we may see downside risk and a test of the 21-DMA at Y88.18.
RES 4: Y93.99 38.2% Fibonacci of Y124.14 to Y75.35
RES 3: Y91.45 3.00% MA Envelope
RES 2: Y90.56 2.00% MA envelope
RES 1: Y90.13/21/25 Highs Jan 22, 18 & 21
LATEST PRICE: Y89.33
SUP 1: Y88.18 21-day moving average
SUP 2: Y87.81 38.2% of Y83.86-90.25
SUP 3: Y87.06 Kijun line & 50.0% of Y81.69-90.25
SUP 4: Y86.30 61.8% of Y81.69-90.25
EUR/JPY: Bounces From Key Dec 21 Support Line At Y117.35. EUR/JPY bounces from the Dec 21 support line despite the bearish studies and has already broken above the Tenkan line. Weekly studies are stretched and in overbought territory, however bulls may be looking to retest the Jan 18 high at Y120.71. Ahead of here we see the monthly Ichimoku cloud as res, at Y119.51. Bears are likely looking for another test of the Dec 21 sup line at Y117.35, a break and close below here could turn the pair bearish.
RES 4: Y123.09/33 38.2% of Y169.96-Y94.12, Apr 2011 reversal high
RES 3: Y120.71 High Jan 18
RES 2: Y120.13 High Jan 14
RES 1: Y119.51 Monthly Ichimoku cloud base
LATEST PRICE: Y118.93
SUP 1: Y117.23/35 23.6% of Y105.98-120.71, Dec 10 support line
SUP 2: Y116.73 21-day moving average
SUP 3: Y116.31/44 Jan 10 Marabuzo mid-point, 76.4% of Y123.33 to Y94.12
SUP 4: Y115.67/99 Kijun line, High Jan 2
EasyForexNews Research Team