EUR/USD remains heavy after failing to make any kind of recovery to test the $1.3159 level to start the new week. Layers of resistance remain $1.3159-1.3485 with bulls needing a close above $1.3221 to ease bearish pressure and above $1.3333 to confirm a break of the 21-DMA and shift overall focus to the $1.3445-85 region. Sept monthly lows are just below market with a close below seeing focus turn to sub $1.3000 levels.
RES 4: $1.3262 Hourly resistance Aug 22
RES 3: $1.3221 High Aug 28
RES 2: $1.3196 High Aug 29
RES 1: $1.3159 Previous hourly support now resistance
LPRICE: $1.3120
SUP 1: $1.3101 Monthly Low Sept 7 2013
SUP 2: $1.3034 Falling daily channel base May-Aug
SUP 3: $1.2993 Low July 15 2013
SUP 4: $1.2898 High July 9 2013 now support
Once again a rally above the $1.6600 level has been reversed, this time after having failed at the falling daily channel top on Monday. Initial resistance has developed on the hourlies at $1.6615 but bulls now need a close above the 200-DMA to confirm an easing of bearish pressure and a close above the key $1.6757 level to shift overall focus higher. Bears initially target the Aug monthly low and then the falling daily channel base.
RES 4: $1.6757 Low Aug 12 now resistance
RES 3: $1.6697 200-DMA
RES 2: $1.6638 Falling channel top
RES 1: $1.6615 Hourly resistance Sept 1
LPRICE: $1.6584
SUP 1: $1.6563 Low Aug 29
SUP 2: $1.6535 Monthly Low Aug 25
SUP 3: $1.6502 55-WMA
SUP 4: $1.6437 Falling daily channel base
Monday’s bullish momentum has continued with the result being fresh 9 month highs. Bulls remain firmly focused on the 2014 high with a break above seeing focus shift to levels last seen back in Q3 2008. Initial support is now noted at Y104.22 with bears needing a close below to ease bullish pressure. Overall a close below Y103.40 is needed to hint at a deeper correction with a close below the 21-DMA then needed as confirmation.
RES 4: Y107.98 High Sept 19 2008
RES 3: Y106.99 High Sept 25 2008
RES 2: Y105.44 2014 High Jan 2
RES 1: Y104.92 High Jan 16, Bollinger band top
LPRICE: Y104.81
SUP 1: Y104.22 Hourly support Sept 1
SUP 2: Y104.10 Hourly support Sept 1
SUP 3: Y104.00 Hourly support Aug 29
SUP 4: Y103.50 Low Aug 22
The aggressive move back above the 21-DMA (Y137.05) in Asian trading has seen immediate focus shift to layers of resistance in the Y137.63-138.07 region which includes the 55-DMA, Ichimoku cloud, Bollinger band top and falling daily trend line. Bulls look for a close above Y138.07 to end bearish hopes, shifting immediate focus to the 100-DMA (Y138.71) and overall focus to the Y139.90-140.10 region
RES 4: Y138.48 High July 14
RES 3: Y138.07 Monthly High Aug 1
RES 2: Y137.75 Falling daily trend line, Bollinger band top
RES 1: Y137.63 55-DMA, Ichimoku cloud base
LPRICE: Y137.54
SUP 1: Y137.19 High Aug 29 now support
SUP 2: Y136.86 Low Sept 1
SUP 3: Y136.35 Low Aug 12
SUP 4: Y135.73 2014 Low Aug 8
After struggling at the 21-DMA for the earlier part of last week and looking heavy the pressure finally took its toll with the pair diving back towards the Bollinger band base and July 28 low Monday. Immediate focus has shifted to the 2014 low and overall focus to the 2012 low. Bulls need a close above Gbp0.7930 to ease bearish pressure and above Gbp0.7980 to shift focus back to the Gbp0.8016-38 region.
RES 4: Gbp0.8016 High Aug 22
RES 3: Gbp0.7980 High Aug 25
RES 2: Gbp0.7965 21-DMA
RES 1: Gbp0.7930 Previous hourly support now resistance
LPRICE: Gbp0.7909
SUP 1: Gbp0.7896 Bollinger band base
SUP 2: Gbp0.7874 2014 Low July 23
SUP 3: Gbp0.7812 Low Aug 16 2012
SUP 4: Gbp0.7768 2012 Low July 24
