EUR/USD remains heavy following fresh 5+ lows in the first hour of trading after the NY close today with bears initially focused on the $1.1780-1.1827 region and overall focus on the $1.1640 2005 low. Layers of resistance continue to accumulate with bulls now needing a close above $1.1976 to ease bearish pressure and above $1.2107 to hint at a bigger bounce O/S daily studies and Bollinger bases remain key concerns for bears.
RES 4: $1.2033 Alternating hourly support/resistance
RES 3: $1.2000 Low Jan 2 now resistance
RES 2: $1.1976 High Jan 5
RES 1: $1.1884 Low Jan 6 now resistance
LPRICE: $1.1877
SUP 1: $1.1843 2015 Low Jan 7
SUP 2: $1.1835 Bollinger band base
SUP 3: $1.1827 Monthly Low Feb 27 2006
SUP 4: $1.1780 Low Dec 30 2005
GBP/USD remains heavy following fresh 2015 lows with the pair having found support ahead of the $1.5097 monthly low from Aug 2013. Layers of resistance continue to accumulate with the $1.5274-1.5335 region seen as key. Bulls need a close above $1.5274 to confirm an easing of bearish pressure with above $1.5335 needed to shift immediate focus back to the $1.5486-1.5684 region. While $1.5276 caps bears target the 2013 low.
RES 4: $1.5335 Hourly resistance Jan 5
RES 3: $1.5274 High Jan 6
RES 2: $1.5203 Hourly support Jan 5 now resistance
RES 1: $1.5152 Low Jan 6 now resistance
LPRICE: $1.5135
SUP 1: $1.5097 Monthly Low Aug 2 2013
SUP 2: $1.5023 Low July 15 2013
SUP 3: $1.4818 2013 Low July 9 2013
SUP 4: $1.4227 2010 Low May 2010
Continued failures Y120.74-00 resulted in a move lower that broke the rising daily channel base Tuesday with focus having shifted to the 55-DMA and overall focus to the Y115.44-57 region. Bulls now need a close above Y119.79 to ease the bearish pressure and to shift focus back to the Y120.74-00 region that capped the recovery from Dec lows. The failure of the pair to retest 2014 highs is a concern for bulls and adds significance weight to the bearish case.
RES 4: Y121.85 2014 High Dec 8
RES 3: Y121.00 High Dec 9
RES 2: Y120.74 High Jan 2
RES 1: Y119.79 Hourly resistance Jan 5
LPRICE: Y118.98
SUP 1: Y118.05 Low Jan 6
SUP 2: Y117.13 Bollinger band base
SUP 3: Y117.02 55-DMA
SUP 4: Y115 57 Monthly Low Dec 16
The break below the channel base gained momentum Tuesday before finding support ahead of the 200-DMA and 61.8% Fibonacci retracement in Asian trading today. The 100-DMA currently caps but bulls look for a close above Y142.01 to ease the current bearish pressure. While Y142.01 caps bears favour a break lower that now focused on the Y138.08-139.16 region. Key concerns for bears come from O/S daily studies and the Bollinger band base.
RES 4: Y144.16 Hourly resistance Jan 5
RES 3: Y142.97 Hourly resistance Jan 5
RES 2: Y142.01 Alternating hourly support/resistance
RES 1: Y141.57 100-DMA
LPRICE: Y141.19
SUP 1: Y140.32 200-DMA
SUP 2: Y140.12 61.8% Fibonacci retracement 134.14-149.80
SUP 3: Y139.16 High Sept 29 now support
SUP 4: Y138.08 High Oct 30 now support
The Gbp0.7870-0.7923 resistance confirmed significance with the rally retreating from its first foray into this region. Bulls continue to look for a close above Gbp0.7923 to confirm breaks of 55 & 100-DMAs, ending bearish hopes and shifting focus to the Gbp0.7980-0.8008 region where the falling daily trend line, 200-DMA and Dec highs are located. Bears now need a close below Gbp0.7820 to reconfirm the bearish bias and immediate focus on 2015 lows.
RES 4: Gbp0.7954 High Dec 17
RES 3: Gbp0.7923 High Dec 18
RES 2: Gbp0.7896 100-DMA
RES 1: Gbp0.7875 High Jan 6
LPRICE: Gbp0.7838
SUP 1: Gbp0.7820 Low Jan 6
SUP 2: Gbp0.7794 Hourly support Jan 5
SUP 3: Gbp0.7772 Hourly resistance Jan 1 now support
SUP 4: Gbp0.7745 2015 Low Jan 2