The $1.3159 level largely confirmed its significance as initial resistance Wednesday with the bounce having traded above by a pip. Layers of resistance remain $1.3160-1.3485 with bulls needing a close above $1.3221 to ease bearish pressure and above $1.3356 to confirm a break of the 21-DMA and channel tops, shifting focus to the $1.3445-85 region. While $1.3221 caps, bears remain focused on Sept 2013 monthly lows and the channel base.
RES 4: $1.3262 Hourly resistance Aug 22, 21-DMA
RES 3: $1.3221 High Aug 28
RES 2: $1.3196 High Aug 29
RES 1: $1.3160 High Sept 3
LPRICE: $1.3145
SUP 1: $1.3133 Hourly support Sept 3
SUP 2: $1.3122 Hourly support Sept 3
SUP 3: $1.3101 Monthly Low Sept 7 2013
SUP 4: $1.3019 Falling daily channel base May-Aug
Following on from recent failures above $1.6600 and ahead of the falling daily channel top, cable has traded down to fresh 7 month lows with immediate focus now on the $1.6383-1.6406 region. The key concerns for bears remain O/S daily studies and proximity of the Bollinger band base ($1.6414) but bulls need a close above $1.6536 to ease bearish pressure. Overall a close above the 21-DMA is now needed to hint at a shift higher in focus.
RES 4: $1.6631 21-DMA
RES 3: $1.6606 Falling daily channel top
RES 2: $1.6536 Hourly resistance Sept 2
RES 1: $1.6497 High Sept 3
LPRICE: $1.6455
SUP 1: $1.6440 Low Sept 3
SUP 2: $1.6406 Falling daily channel base
SUP 3: $1.6383 Low Feb 10
SUP 4: $1.6348 High Feb 6 now support
O/B daily studies and spikes above the Bolli top (Y105.37) appear to have had an impact with dollar-yen dipping to a relatively bearish close on Wednesday. In saying that, bears now need to see a close below Y104.73 to ease bullish pressure and below Y104.22 to shift focus back to the Y103.40-50 region where key supports and the 21-DMA are located. While Y104.22-76 supports bulls continue to target fresh 2014 highs with focus then shifting to Y110+ levels
RES 4: Y106.99 High Sept 25 2008
RES 3: Y105.44 2014 High Jan 2
RES 2: Y105.31 High Sept 3
RES 1: Y105.13 Hourly resistance Sept 3
LPRICE: Y104.84
SUP 1: Y104.73 Low Sept 3
SUP 2: Y104.39 Hourly resistance Aug 2 now support
SUP 3: Y104.22 Hourly support Sept 1
SUP 4: Y103.85 Rising daily channel base
Despite spiking above the Y138.08 resistance level the EUR/JPY failed a close above with immediate focus now returning to the 55-DMA. Bears look for a close below the 55-DMA to signal an easing of renewed bullish pressure that has seen focus shift to the Y138.48-77 region. A close below the 55-DMA would see immediate focus return to the 21-DMA with a close below needed to see bears targeting 2014 lows once more.
RES 4: Y138.64 100-DMA
RES 3: Y138.48 High July 14
RES 2: Y138.27 High Sept 3
RES 1: Y137.97 Hourly resistance Sept 4
LPRICE: Y137.80
SUP 1: Y137.61 55-DMA
SUP 2: Y137.44 Hourly support Sept 2
SUP 3: Y137.16 21-DMA
SUP 4: Y136.86 Low Sept 1
EUR/GBP remains bid following the recent bounce from ahead of 2014 lows with bears now needing a close below the 55-DMA to ease the renewed bullish pressure. Focus has returned to the Gbp0.8016-36 region that proved a sticking point for the pair on a number of occasions during August. With the Bollinger band top at Gbp0.8035 bulls may again struggle with follow through above this level
RES 4: Gbp0.8051 Low June 11 now resistance
RES 3: Gbp0.8036 Monthly High Aug 14, 100-DMA
RES 2: Gbp0.8016 High Aug 22
RES 1: Gbp0.7998 Falling short term trend line
LPRICE: Gbp0.7986
SUP 1: Gbp0.7957 55-DMA
SUP 2: Gbp0.7930 Hourly support Sept 2
SUP 3: Gbp0.7910 Hourly support Sept 2
SUP 4: Gbp0.7890 Low Sept 1
