A triangle has formed on the dailies that is suggestive of a breakout at some stage. Bulls look for a close above $1.3643 to hint at a topside breakout with a close above $1.3677 needed to confirm and shift focus to the $1.3780-85 break down region, although the 55 & 100-DMA’s may slow the move a little. Bears look for a close below $1.3564 to signal a downside breakout with immediate focus returning to retests of the $1.3503-12 region.
RES 4: $1.3713 55-DMA
RES 3: $1.3677 High June 6
RES 2: $1.3670 200-DMA
RES 1: $1.3643 High June 19
LPRICE: $1.3608
SUP 1: $1.3564 Low June 20
SUP 2: $1.3535 Low June 17
SUP 3: $1.3512 Low June 12
SUP 4: $1.3503 Low June 5
The break and close below $1.7002 (previous support now resistance) confirms an easing of the previous bullish pressure with immediate focus having shifted to a retest of the $1.6919 support. A close below this level ends bullish hopes and sees bears shifting overall focus back to the $1.6696-1.6743 region. Bulls now need to see a close above Tuesday’s high to signal a false break lower and target 2014 highs.
RES 4: $1.7198 High Oct 21 2008
RES 3: $1.7104 Bollinger band top
RES 2: $1.7063 2014 High June 20
RES 1: $1.7002 Low June 23 now resistance
LPRICE: $1.6972
SUP 1: $1.6919 Low June 18
SUP 2: $1.6881 High May 27 now support
SUP 3: $1.6870 21-DMA
SUP 4: $1.6845 55-DMA
Tuesday’s attempt to break the triangle (Y102.04) topside failed with USD/JPY once again stalling ahead of the 100-DMA after spiking above 21 & 55-DMA’s. The path of least resistance appears to be to the downside with bears looking for a close below the 200-DMA to confirm a break lower with initial focus then shifting to the Y100.75-85 region. Bulls need to see a close above Y102.42 to shift overall focus higher.
RES 4: Y103.02 High May 2
RES 3: Y102.80 High June 4
RES 2: Y102.42 Hourly resistance June 10
RES 1: Y102.22 100-DMA
LPRICE: Y101.86
SUP 1: Y101.81 Low June 20 & 23
SUP 2: Y101.74 Low June 19, Triangle base
SUP 3: Y101.69 200-DMA
SUP 4: Y101.45 Low May 29
The 200-DMA continues to cap the move higher with the spike higher Tuesday also failing to close above the 21-DMA which is seen capping today. Bulls continue to look for a close above the 200-DMA to ease the current bearish pressure and shift immediate focus to the Y139.94-140.40 region where 55 & 100-DMA’s are noted. While the 200-DMA caps immediate bearish focus remains on the Y137.72 June 16 low and overall focus on 2014 lows
RES 4: Y140.09 High June 9
RES 3: Y139.46 Hourly resistance June 9
RES 2: Y139.03 200-DMA
RES 1: Y138.80 21-DMA
LPRICE: Y138.65
SUP 1: Y138.28 Low June 23
SUP 2: Y137.72 Low June 16
SUP 3: Y136.68 55-WMA
SUP 4: Y136.23 2014 Low Feb 4
After having consolidated just above the 2014 low for the past week or so the ERU/GBP finally managed a bounce only to stall at the Gbp0.8025-32 resistance region as daily studies correct from O/S levels. While Gbp0.8025-32 caps bears will hold out hope for fresh 2014 lows, whereas a close above Gbp0.8032 confirms an easing of bearish pressure and sees immediate focus shift to the 21-DMA with a close not seen above since late March
RES 4: Gbp0.8087 Falling daily trend line
RES 3: Gbp0.8057 21-DMA
RES 2: Gbp0.8032 Previous hourly support now resistance
RES 1: Gbp0.8025 High June 19
LPRICE: Gbp0.8012
SUP 1: Gbp0.8003 Hourly support June 24
SUP 2: Gbp0.7959 2014 Low June 16
SUP 3: Gbp0.7923 Low Sept 27 2012
SUP 4: Gbp0.7887 Low Sept 5 2012
