EUR/USD: Highest Since Feb 2012, Negative Divergence On Momentum. EUR/USD breaks through the Jan 14 high to reach $1.3479, the highest since Feb 2012 despite the negative divergence in 10-day momentum and weekly momentum, also stretched stochastic studies. Initial support seen as the Jan 14 high at $1.3404. Initial res seen as the Jan 25 high at $1.3479, followed by the Feb 2012 high at $1.3487 and the 50.0% of $1.4940 to $1.2043 at $1.3491. Bulls will aim higher but bears will likely retest the Jan 14 high as support.
RES 4: $1.3561 55-month MA
RES 3: $1.3515/29 Upper daily Bollinger band, 200-week MA
RES 2: $1.3487/91 High Feb 2012, 50.0% of $1.4940 to $1.2043
RES 1: $1.3479 High Jan 25
LATEST PRICE: $1.3464
SUP 1: $1.3404 High Jan 14
SUP 2: $1.3378/90 100-week MA, 5-day moving average
SUP 3: $1.3337 23.6% of $1.2877-1.3479
SUP 4: $1.3249/62/65/67 38.2% of $1.2877-1.3479, 21-DMA, Lows of Jan 23, 22
GBP/USD: Studies Bearish But Stretched, New Low At $1.5746. The pair leaves a spinning-top doji but posts another low while daily studies stretch further to the downside. Weekly studies are following while monthly studies have stalled their upward progress. Cable seen bearish while below the short-term res line at $1.5862, initial res seen at $1.5802 to $1.5810, the Jan 21, 22 & 23 lows and the 5-DMA. Initial supp now seen at $1.5746, the Jan 25 low. A break below here will reaffirm the bearish trend.
RES 4: $1.5950 100-week MA
RES 3: $1.5883/96/5904 55-week MA, 23.6% of $1.6381-1.5746, 200-DMA
RES 2: $1.5862 Short-term res line from Jan 2 high
RES 1: $1.5802/06/07/10 Low Jan 23, Low Jan 21, 5-DMA, Low Jan 22
LATEST PRICE: $1.5746
SUP 1: $1.5746/55/57 Low Jan 25, Low Aug 28, Low Jan 24
SUP 2: $1.5694/5702 61.8% of $1.5269-1.6381, Lower daily Bolli band
SUP 3: $1.5571 Monthly Trendline from Jan 2009
SUP 4: $1.5491 Low Aug 2 2012
USD/JPY: Another New High, Daily Studies Slide, Monthly Studies Bullish. The cross moves up to Y91.26, the new hourly high and initial resistance despite the negative divergence in 10-day and 10-week momentum. Weekly slow stochastic study is very stretched in overbought territory. Initial support seen as the Dec 21 support line at Y89.80, bears will be looking to test this support level while bulls will aim to punch above the new high and test the 3.00% MA envelope at Y91.92 while monthly tech studies continue to point higher.
RES 4: Y94.99 May 2010 reversal high
RES 3: Y93.99 38.2% Fibonacci of Y124.14 to Y75.35
RES 2: Y91.92 3.00% MA Envelope
RES 1: Y91.26 Hourly high
LATEST PRICE: Y90.93
SUP 1: Y89.80 Dec 21 support line
SUP 2: Y89.53 Tenkan line
SUP 3: Y89.00/09 23.6% of Y81.69-91.26, Low Jan 14
SUP 4: Y88.70/87 21-day moving average, High Jan 16
EUR/JPY: Negative Momentum Fails To Hold Back Bulls. EUR/JPY reaches another new high despite the negative divergence in 10-day momentum. Weekly momentum has also slipped lower while stochastic studies languish in overbought territory. Initial support now seen at Y120.61/71, the highs of Jan 17 and 18, further support seen as the Tenkan line at Y119.69. Bulls will be looking to break the new hourly high of Y122.91, however selling pressure may cap ahead of the 38.2% of Y169.96-94.12 at Y123.09.
RES 4: Y132.04/24 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: Y122.91 Hourly high
LATEST PRICE: Y122.01
SUP 1: Y120.61/71 High Jan 17, 18
SUP 2: Y119.69 Tenkan line
SUP 3: Y118.91 23.6% of Y105.98-122.91
SUP 4: Y118.04 Dec 10 support line
EasyForexNews Research Team