EUR/USD: Breaks And Closes Below Jul Trendline. Large dark candle on Friday reaffirms the bearish trend, despite the golden-cross posted on Thursday. Daily studies also point lower and we see the pair moving to the 38.2% Fibonacci at $1.2741, followed by the 50.0% retracement and 100-DMA at $1.608/32. Current price action trades toward the lower daily Bollinger band, also initial support at $1.2812. Initial resistance seen as the 55-DMA at $1.2857.
RES 4: $1.2992 High Oct 12
RES 3: $1.2959 21-day moving average
RES 2: $1.2905/06 5-DMA. Former 23.6% Fibonacci of $1.2043-1.3172
RES 1: $1.2857 55-day moving average
LATEST PRICE: $1.2826
SUP 1: $1.2812 Lower daily Bollinger band
SUP 2: $1.2803 Low 1 Oct
SUP 3: $1.2741 38.2% retracement of Jul/Sep rally
SUP 4: $1.2608/32 50.0% Retracement of Jul/Sep rally, 100-DMA
GBP/USD: Breaks Below Trendline, Slow Stochastic Sell-Signal. GBP moves lower after leaving a doji on Thursday, the pair broke and closed massively below the Sep 21 falling trendline and found support around $1.5997, the lows of Oct 9 & 10. Daily studies are also turning lower and slow stochastics shows a sell-signal. Initial support seen at $1.6007, today’s session low. Further support seen at $1.5997, followed by $1.5967, the 38.2% Retracement of Jun to Sep rally.
RES 4: $1.6101 Former Sep 21 falling trendline
RES 3: $1.6077 5-day moving average
RES 2: $1.6064 Frmer 23.6% of $1.5269-1.6309
RES 1: $1.6046/56 55-day moving average. 21-day moving average
LATEST PRICE: $1.6031
SUP 1: $1.6007 Session low
SUP 2: $1.5997 Lows 9 & 10 Oct
SUP 3: $1.5967 38.2% Jun/Sep, 61.8% of 28 Aug rally
SUP 4: $1.5955 Lower Bolli band
USD/JPY: 10-Day Momentum Shows Bear-Divergence. The pair posts a candle with a long upper shadow on Friday, almost forming a shooting-star candle, however the real body is quite large. Today’s price action, however, currently forms an inside day and an actual shooting-star candle. We await confirmation. Daily studies are a little mixed, 10-day momentum shows bear-divergence while slow stochastics remains neutral. Initial supp seen around Y80.00.
RES 4: Y81.78 High Apr 20
RES 3: Y81.49 61.8% Fibonacci of Mar/Sep decline
RES 2: Y80.97 Low Apr 23
RES 1: Y80.55/62/68 Highs May 15, Jun 25, Nov 2
LATEST PRICE: Y80.39
SUP 1: Y79.98/80.00/14 Tenkan Line, High Oct 23 and Oct 30
SUP 2: Y79.66/69 August high, 23.6% Retracement of Sep-Oct rally
SUP 3: Y79.50/59 Low Oct 26, 200-day moving average
SUP 4: Y79.22/26/28 High Sep 19, 38.2% of Sep to Oct rally, Low Oct 30
EUR/JPY: Studies Bearish Following Bearish Engulfing Pattern. EUR/JPY follows daily studies lower, after the bearish engulfing candle pattern seen on Oct 23, and finds support from the 21-DMA at Y102.83, now initial support. Further support is seen at Y102.49, the former Sep 17 falling resistance line. Initial resistance is seen as the Tenkan Line at Y103.31. Euro-yen remains in the rising channel, however, bears may now eye the lower channel support level.
RES 4: Y104.71/84 61.8% Fb Mar/Jul fall, Sep 17 Res ln
RES 3: Y104.59 Oct 23 monthly high
RES 2: Y103.87/94/99 High Sep 17, High Oct 31, High Nov 1
RES 1: Y103.31 Tenkan Line
LATEST PRICE: Y103.19
SUP 1: Y102.83 21-day moving average
SUP 2: Y102.49 Former Sep 17 falling resistance – now support
SUP 3: Y102.13/19 200-day movng average, Kijun Line
SUP 4: Y101.99 Rising Jul Channel base
EasyForexNews Research Team