Time spent above the 55-DMA was brief with Friday’s sell-off seeing focus return to the key Krw1015.1 support. Bears continue to look for a close below Krw1015.1 to reconfirm bearish pressure and initially target the 2014 lows. Bulls continue to look for a close above Krw1026.1 to confirm an easing of bearish pressure and above Krw1032.8 to shift focus back to the Krw1042.0-1050.6 region with the 200-DMA at Krw1046.9.
The recovery from ahead of recent fresh 2014 and 9 month lows appears to be struggling ahead of the key Myr3.1775-3.1860 region with the dip to end last week. The Myr3.1860 level remains key resistance with bulls needing a close above to confirm breaks of the 21-DMA & 100-WMA (Myr3.1698) and shift focus to the Myr3.2163-3.2337 region. Daily studies are correcting from O/S and are the key concern for bears and the bearish case.
The sell-off that commenced following the Cnh3.2709 late May high has seen the USD/CNH find support at the 55-WMA. The pair bounced a little last week with the close above the 200-DMA easing bearish pressure. Bulls need a close above Cnh6.1706 to confirm a break of the 21-DMA and shift immediate focus to the Cnh6.1929-54 region where the 55-DMA is noted. Bears look for a sub 55-WMA close to add weight to the bearish case.
After having recently failed to close below the 21-DMA and then finding support at this level the break and close above Php43.810 has eased the bearish pressure and hints at a bounce that initially targets the Php44.180-280 region where the 200-DMA is noted. Bulls now look for a close above the 100-DMA to add support to the case for higher levels. Bears need a close below the 21-DMA to regain control and below Php43.505 to target 2014 lows.
Despite daily studies looking to correct from O/S levels Thursday’s rally lacked follow through on the spike above Thb32.03. Bulls look for a close above Thb32.13 to confirm an easing of bearish pressure and a close above the 55-DMA to shift focus back to the Thb32.29-38 region where 100 & 200-DMAs are located. While Thb23.08-18 caps bears continue to target the Thb31.710-72 region and take comfort in Friday’s spike lower.