EUR/USD continues to oscillate around the 200-DMA ($1.3641) with initial resistance noted just ahead on the hourly time frame today. Bears need to see a close above the $1.3669 high from Tuesday to confirm an easing of bearish pressure and hint at a bounce back to the $1.3738-54 region where the 100 & 21-DMA’s are located. While $1.3669 caps, bears focus on a continuation lower that targets the 2014 low.
RES 4: $1.3754 21-DMA
RES 3: $1.3738 100-DMA
RES 2: $1.3669 High May 27
RES 1: $1.3639 Hourly resistance May 28
LPRICE: $1.3629
SUP 1: $1.3612 Low May 27
SUP 2: $1.3563 Low Feb 12
SUP 3: $1.3557 21 day lower Bollinger band
SUP 4: $1.3477 2014 low Feb 3
GBP/USD managed to spend some time above the 21-DMA on Tuesday before heading sharply lower with the 21-DMA now noted as initial resistance. Bulls need a close above Tuesday’s high to confirm a break of the 21-DMA and shift focus back to 2014 highs. The failure at $1.6920 last week combined with Tuesday’s move lower see’s bears in control and initially targeting the layers of support in the $1.6731-83 region.
RES 4: $1.6960 21 day upper Bollinger band
RES 3: $1.6920 High May 21
RES 2: $1.6882 High May 27
RES 1: $1.6857 21-DMA
LPRICE: $1.6810
SUP 1: $1.6783 Low May 27
SUP 2: $1.6768 Rising daily trend line
SUP 3: $1.6748 55-DMA
SUP 4: $1.6731 Low May 15
USD/JPY confirmed the significance of Y101.58-72 support on Tuesday with the pair bouncing only to have the rally capped ahead of the 55-DMA. Layers of resistance remain in the Y102.19-44 region including the 55 & 100-DMA’s. Bulls look for a close above the 100-DMA to end bearish hopes and target 2014 highs. Last Friday’s low is key support with bears needing a close below to shift focus back to closes below the 200-DMA.
RES 4: Y103.39 High Apr 7
RES 3: Y103.02 High May 2
RES 2: Y102.44 100-DMA
RES 1: Y102.19 55-DMA
LPRICE: Y101.92
SUP 1: Y101.72 Low May 27
SUP 2: Y101.58 Low May 23
SUP 3: Y101.34 Hourly support May 21
SUP 4: Y100.75 2014 low Feb 4
EUR/JPY failed to carry on with the break above Y139.33 on Tuesday with the rally lacking follow through. Bulls need to see a close above Tuesday’s high to help ease bearish pressure and see the correcting O/S daily studies supportive of further gains targeting the Y140.09-93 region. While Y139.36 caps bears continue to target the 200-DMA with a close below Tuesday’s low needed to add weight to the bearish case.
RES 4: Y140.32 Hourly resistance May 13
RES 3: Y140.09 21-DMA
RES 2: Y139.36 High May 27
RES 1: Y139.12 Hourly resistance May 27
LPRICE: Y138.92
SUP 1: Y138.82 Low May 27
SUP 2: Y138.60 Low May 23
SUP 3: Y138.30 200-DMA
SUP 4: Y136.23 2014 low Feb 4
The recent lack of follow through on attempts to make 2014 lows combined with O/S daily studies and moves back towards the Gbp0.8119 level could be hinting at a bounce. Bulls need a close above Gbp0.8119 to confirm an easing of bearish pressure and a close above the 21-DMA to shift focus back to the Gbp0.8239-57 region. Bears need fresh 2014 lows and a bearish close to confirm bearish pressure.
RES 4: Gbp0.8235 55-DMA
RES 3: Gbp0.8191 Low Feb 28 now resistance
RES 2: Gbp0.8159 High May 19, 21-DMA
RES 1: Gbp0.8119 Previous 2014 Low now resistance
LPRICE: Gbp0.8107
SUP 1: Gbp0.8083 2014 Low May 22
SUP 2: Gbp0.8035 Low Dec 10 2012
SUP 3: Gbp0.8005 Low Nov 21 2012
SUP 4: Gbp0.7960 Monthly low Nov 8 2012
