Asian Currencies Technicals

After having held above the $0.9315-20 region the past week AUD/USD finally broke sharply lower before initially finding support at the 55-DMA. Bulls now need a close back above the $0.9335 level to ease the current bearish pressure. Bears are firmly focused on the key moving averages that are in the $0.9096-0.9246 region while the $0.9335 level caps. Daily studies are correcting lower and may limit topside follow through on rallies

RES 4: $0.9461 – 2014 high Apr 10

RES 3: $0.9426 – High Apr 11

RES 2: $0.9408 – High May 14

RES 1: $0.9335 – Hourly resistance High May 20

LPRICE: $0.9250

SUP 1: $0.9246 – 55-DMA

SUP 2: $0.9205 – Low May 2

SUP 3: $0.9172 – 200-DMA

SUP 4: $0.9096 – 100-DMA

NZD/USD has finally broken lower, taking out and closing below both the 21-DMA ($0.8622) and 55-DMA ($0.8598) in the process. Immediate focus has seen bears now initially targeting the $0.8501-18 region and then the $0.8440-60 region overall. Bulls need to see a close back above the $0.8620 level to ease the renewed bearish pressure.

AUD/NZD has worked its way through the NZ$1.0792-1.0810 support region with bears now firmly focused on the NZ$1.0728-55 region. The move lower has seen the pair close below the 21-DMA and combined with O/B daily tech studies this weighs on the bearish case. Bulls need a close above NZ$1.0836 to ease the current bearish pressure and a close above NZ$1.0858 to shift focus back to 2014 highs.

The 55-DMA didn’t support for long with AUD/JPY now having broken and closed sharply below. Immediate focus now sees bears targeting the 100 & 200-DMA’s in the Y92.87-93.33 region. The close well below the 21 day lower Bollinger (Y94.09) is the only concern for bears and may see some consolidation before continuing lower. Bulls need to see a close above the Y94.78 May 20 high to shift focus back to the Y95.22-33 region.

Following last week’s fresh 2014 low EUR/AUD has consolidated at the lower end of the recent range. Tuesday’s sharp move higher and close above the A$1.4750 level confirms an easing of the previous bearish pressure and combined with O/S daily studies sees bulls targeting the A$1.5021 Apr monthly high. A close above the 21-DMA would add support to the bullish case but both the 200 and 55-DMA’s above are likely to offer additional resistance.

The Krw1030.1 initial resistance level confirmed its significance last week with this level having capped the rally. Daily tech studies are correcting from O/S levels and may continue to limit downside follow through but a close above initial resistance is needed to see them take on a greater significance. A close above Krw1034.4  is now needed to confirm a break of the 21-DMA and see immediate focus shift higher to the Krw1042.0-1044.7 region.

USD/SGD has failed to capitalise on spikes above the 21-DMA thus far but Tuesday’s close above the 21-DMA sees immediate focus shift to the key Sgd1.2541 resistance level. Bulls need a close above Sgd1.2541 to confirm an easing of bearish pressure and see immediate focus shift to key moving averages in the Sgd1.2577-96 region. While Sgd1.2541 caps bears target 2014 lows.