The failure to carry on with the move lower Thursday after having traded at fresh 3 month lows combined with O/S daily studies looking to correct higher is a worry for bears. In saying that, bulls still need a close above the $1.3669 level to confirm a break of the 200-DMA and initially target a bounce back to $1.3727-81. Bears need to see a fresh lows and a bearish close to retain focus on 2014 lows.
RES 4: $1.3727 21-DMA
RES 3: $1.3669 High May 27
RES 2: $1.3643 200-DMA
RES 1: $1.3625 High May 29
LPRICE: $1.3603
SUP 1: $1.3586 Low May 29
SUP 2: $1.3563 Low Feb 12
SUP 3: $1.3523 21 day lower Bollinger band
SUP 4: $1.3477 2014 low Feb 3
GBP/USD continues to consolidate at the lower end of this week’s range. The $1.6775-1.6818 resistance region remains key with bulls needing a close above to confirm an easing of bearish pressure. While this region caps bears will continue to target retests of the 100-DMA. A close below the 100-DMA has not been seen since Q3 2013 with a close below expected to add significant weight to the bearish case.
RES 4: $1.6845 21-DMA
RES 3: $1.6818 Hourly resistance May 28
RES 2: $1.6775 Hourly resistance May 28
RES 1: $1.6740 High May 29
LPRICE: $1.6734
SUP 1: $1.6693 Low May 29
SUP 2: $1.6659 Low Apr 15
SUP 3: $1.6555 Monthly low Apr 4
SUP 4: $1.6465 Monthly low Mar 24
The 21-DMA is capping USD/JPY as bears focus once again on the 200-DMA. The USD/JPY bounced from ahead of the 200-DMA on Thursday but bearish pressure is dominating. Bears continue to target a close below the 200-DMA and a retest of the 2014 lows with a close back above the 21-DMA needed to negate this view and confirm an easing of bearish pressure. Overall, bulls need to see a close above the 100-DMA to end bearish hopes and target 2014 highs.
RES 4: Y103.02 High May 2
RES 3: Y102.38 100-DMA
RES 2: Y102.19 55-DMA
RES 1: Y101.80 21-DMA
LPRICE: Y101.57
SUP 1: Y101.40 200-DMA
SUP 2: Y101.28 21 day lower Bollinger band
SUP 3: Y100.75 2014 low Feb 4
SUP 4: Y100.45 Previous daily resistance now support
After having flirted with the 200-DMA during Asian trading Thursday the EUR/JPY dipped below overnight for the first time since Nov 2012 before closing above. Bearish pressure is dominating with the pair trading below the 200-DMA(Y138.37) and bears firmly focused on a move lower that targets the 2014 low. Bulls need to see a close above initial resistance to ease bearish pressure a little and above the 21-DMA to target the Y140.99 resistance
RES 4: Y139.72 21-DMA
RES 3: Y139.36 High May 27
RES 2: Y139.12 Hourly resistance May 27
RES 1: Y138.51 Hourly resistance May 29
LPRICE: Y138.16
SUP 1: Y137.97 Low May 29
SUP 2: Y137.49 21 day lower Bollinger band
SUP 3: Y136.23 2014 low Feb 4
SUP 4: Y136.08 55-DMA
The 21-DMA stalled the move higher on Thursday confirming its significance. Bears still need to see a close back below Gbp0.8119 to end the correction from 2014 lows and see fresh 2014 lows targeted. While Gbp0.8119 supports bulls favour a break higher that targets layers of resistance in the Gbp0.8227-57 region. Daily studies are correcting from O/S levels and are supportive of the bullish case
RES 4: Gbp0.8227 55-DMA
RES 3: Gbp0.8191 Low Feb 28 now resistance
RES 2: Gbp0.8159 High May 19
RES 1: Gbp0.8151 21-DMA
LPRICE: Gbp0.8127
SUP 1: Gbp0.8119 Alternating daily support/resistance
SUP 2: Gbp0.8083 2014 Low May 22
SUP 3: Gbp0.8035 Low Dec 10 2012
SUP 4: Gbp0.8005 Low Nov 21 2012
