Fresh 2014 and 8 month lows continued for the EUR/USD Wednesday with immediate focus on the $1.3400-21 region where Nov 21 2013 lows and the 200-WMA are located. The pair last traded below the 200-WMA in Sept 2013. Layers of resistance remain in the $1.3474-1.3591 region with the 21-DMA at $1.3583. Bulls need a close above $1.3513 to ease the current bearish pressure and above the 21-DMA to shift focus to $1.3676-1.3715.
RES 4: $1.3574 High July 16
RES 3: $1.3549 High July 21
RES 2: $1.3513 Previous hourly support now resistance
RES 1: $1.3474 High July 23
LPRICE: $1.3457
SUP 1: $1.3448 Weekly Bollinger band base
SUP 2: $1.3421 200-WMA
SUP 3: $1.3400 Low Nov 21 2013
SUP 4: $1.3340 100-WMA
The 21-DMA capped Wednesday’s rally with the pullback and relatively bearish close seeing immediate focus on the $1.6999-1.7007 region. Bulls continue to look for a close above the 21-DMA to ease bearish pressure whereas bears now look for a close below $1.6999 to confirm bearish pressure. Below $1.6999 shifts immediate focus to the 200-DMA and overall focus to the $1.6840-60 region where the 100-DMA and rising daily channel base are located.
RES 4: $1.7191 2014 High July 15
RES 3: $1.7151 Hourly resistance July 16
RES 2: $1.7117 High July 18
RES 1: $1.7104 21-DMA
LPRICE: $1.7031
SUP 1: $1.7007 Low June 27
SUP 2: $1.6999 38.2% Fibonacci $1.6696-1.7191
SUP 3: $1.6950 55-DMA
SUP 4: $1.6941 50.0% Fibonacci $1.6696-1.7191
The recovery is struggling ahead of the Y101.63 resistance level with the 21-DMA Y101.58 now capping. Layers of resistance remain clustered tightly in the Y101.58-102.35 region with bulls needing a close above Y101.63 to confirm an easing of bearish pressure and a close above the 200-DMA to target the key Y102.25-35 resistance region. Bears now need a close below the 55-WMA to add weight to the bearish case with a weekly close below last seen Oct 2012.
RES 4: Y102.04 200-DMA
RES 3: Y101.80 High July 16
RES 2: Y101.63 Hourly support July 17 now resistance
RES 1: Y101.58 21-DMA
LPRICE: Y101.47
SUP 1: Y101.45 Alternating hourly support/resistance
SUP 2: Y101.11 55-WMA
SUP 3: Y100.82 Monthly low May 21
SUP 4: Y100.75 2014 Low Feb 4
EUR/JPY closed last week marginally below the 55-WMA (Y137.35) for the first weekly close below since Nov 2012 with bears initially focused on 2014 lows. Layers of resistance remain with bulls looking for a close above Y137.00 to ease the current bearish pressure. Overall bulls need a close above the Y138.09 July 16 high to confirm a break of the 21-DMA and daily channel top, shifting focus to further layers of resistance Y138.62-139.51
RES 4: Y137.79 Hourly resistance July 16
RES 3: Y137.42 Hourly resistance July 17
RES 2: Y137.00 Hourly resistance July 22
RES 1: Y136.81 Hourly resistance July 22
LPRICE: Y136.53
SUP 1: Y136.41 Low July 23
SUP 2: Y136.23 2014 Low Feb 4
SUP 3: Y134.63 Falling daily channel base
SUP 4: Y134.10 Low Nov 20 2013
Fresh 2014 and nearly 2 year lows continued for EUR/GBP Wednesday before the pair again found support at the falling wedge base. Layers of resistance remain in the Gbp0.7910-80 region with bulls needing a close above Gbp0.7946 to confirm a break of the falling wedge top and 21-DMA whereas a close above Gbp0.7980 is needed to shift focus back to the key Gbp0.8033 level. While the Gbp0.7938-46 region caps bears target 2012 lows.
RES 4: Gbp0.7980 Hourly resistance July 2
RES 3: Gbp0.7946 Falling wedge top
RES 2: Gbp0.7938 Hourly resistance July 15, 21-DMA
RES 1: Gbp0.7910 High July 23
LPRICE: Gbp0.7900
SUP 1: Gbp0.7898 Hourly support July 24
SUP 2: Gbp0.7872 Falling wedge base
SUP 3: Gbp0.7839 Weekly Bollinger band base
SUP 4: Gbp0.7810 Monthly Low Aug 16 2012
