Sideways trading within a broad $1.1260-1.1451 range has dominated for the past two weeks with a break of either side dictating the next move. Recent topside failures have now resulted in a close back below the 21-DMA which provides bears with added confidence but the $1.1260 support remains key. Bulls now need a close above $1.1363 to shift immediate focus back to the key $1.1451 resistance level.
RES 4: $1.1661 38.2% Fibonacci retracement 1.2571-1.1098
RES 3: $1.1541 Low Jan 21 now resistance
RES 2: $1.1450 High Feb 19
RES 1: $1.1363 Hourly resistance Feb 23
PRICE: $1.1348
SUP 1: $1.1279 Low Feb 20
SUP 2: $1.1260 Low Jan 28
SUP 3: $1.1224 Low Jan 27
SUP 4: $1.1097 2015 Low Jan 26
With Monday’s dip having again found support just below the 55-DMA pressure continues to return to the key $1.5486 level with bulls favouring a break higher while $1.5402 supports. Bears need a close below $1.5402 to ease pressure on key resistance and below the 21-DMA to end bullish hopes and hint at a shift in focus back to 2015 highs. A close above $1.5486 sees immediate focus shift to the $1.5574-1.5622 region and overall focus to $1.5788-1.5828
RES 4: $1.5622 High Dec 31
RES 3: $1.5574 100-DMA
RES 2: $1.5564 Bollinger band top
RES 1: $1.5486 Previous daily support now resistance
LPRICE: $1.5477
SUP 1: $1.5402 Low Feb 24
SUP 2: $1.5337 55-DMA
SUP 3: $1.5316 Low Feb 17
SUP 4: $1.5292 21-DMA
The lack of follow through and relatively bearish close following Tuesday’s spike above the previous key ¥119.43 resistance is a concern for bulls with pressure now returning to the key ¥118.23-51 region where the channel base and 21-DMA are located. Bears continue to look for a close below the channel base to end bullish hopes and target ¥115.45-116.40. Layers of resistance are accumulating with bulls now needing a close above ¥119.00 to relieve pressure on initial support and above ¥119.43 to reconfirm a bullish bias.
RES 4: ¥120.78 2015 High Jan 2
RES 3: ¥120.48 High Feb 11
RES 2: ¥119.43 Hourly support Feb 24 now resistance
RES 1: ¥119.00 Hourly resistance Feb 25
PRICE: ¥118.80
SUP 1: ¥118.51 21-DMA
SUP 2: ¥118.23 Rising daily channel base
SUP 3: ¥118.85 Bollinger band base
SUP 4: ¥116.66 Low Feb 2
EUR/JPY is looking heavy as it flirts with the 21-DMA. Bears now look for a close below ¥134.44 to confirm a break of the 21-DMA and to shift immediate focus to the ¥133.55 support. A close below ¥133.55 then targets 2015 lows. Layers of resistance have accumulated with bulls needing a close above ¥135.59 to ease pressure on key support and above ¥136.72 to confirm a shift in focus to the ¥139.01-140.91 region where 55, 100 & 200-DMAs are located.
RES 4: ¥136.23 High Feb 17
RES 3: ¥135.94 High Feb 19
RES 2: ¥135.59 High Feb 24
RES 1: ¥134.98 Hourly resistance Feb 25
PRICE: ¥134.86
SUP 1: ¥134.42 Low Feb 24
SUP 2: ¥133.55 Low Feb 20
SUP 3: ¥132.52 Bollinger band base
SUP 4: ¥132.22 Low Feb 2
The EUR/GBP continues to pressure daily and weekly Bollinger band bases as fresh 2015 and 7+ year lows continue. The Bollinger band bases are seen as key concerns for bears and may limit follow through as bears remain focused on £0.7239. Bulls continue to look for a close above £0.7462 to confirm a break of the 21-DMA and an easing of bearish pressure and to hint at a bounce that targets the £0.7595 level.
RES 4: £0.7520 Hourly support Feb 2 now resistance
RES 3: £0.7462 High Feb 9
RES 2: £0.7437 21-DMA
RES 1: £0.7352 Hourly resistance Feb 23
PRICE: £0.7333
SUP 1: £0.7317 2015 Low Feb 23
SUP 2: £0.7303 Weekly Bollinger band base
SUP 3: £0.7239 High Dec 12 2007 now resistance
SUP 4: £0.7114 Low Dec 17 2007