EUR/USD: Bearish Key-Day Reversal – Risks Skewed Lower. Bearish key-day reversal pattern seen yesterday and inability to break above daily Bollinger band top (despite minor break above long-term resistance line from May 2011) – leaves risks skewed lower. Minor support seen at $1.2899 ahead of $1.2869/76, where former is the 38.2% of $1.2662 to $1.3009 move.
RES 4: $1.3074/84 Resistance line from 29 Feb, High 22 Oct
RES 3: $1.3027/52 76.4% of $1.3140-$1.2662, 76.4% of $1.3172-$1.2662
RES 2: $1.2996 Daily Bollinger band top
RES 1: $1.2944 Low 26 Nov
LATEST PRICE: $1.2919
SUP 1: $1.2899 High 22 Nov
SUP 2: $1.2869/76 Low 23 Nov, 38.2% of $1.2662 to $1.3009
SUP 3: $1.2829/36 21-day moving average, 50.0% of $1.2662 to $1.3009
SUP 4: $1.2799 200-day moving average
GBP/USD: Break Below $1.5997 Favours $1.5965/69. The pair yesterday failed to break above key resistance area at $1.6060/69, which is value of 55-DMA and also the 50.0% of the decline from $1.6309 to $1.5829. Above here, a 2-month channel resistance line is today valued at $1.6088 – falling 5 pips/session. Whilst this caps, the m/t risks remain skewed lower. Minor support seen at $1.5997 and
break favours $1.5965/69, where latter is 38.2% of $1.5829-$1.6056.
RES 4: $1.6175 Failure high 1 Nov
RES 3: $1.6135 High 2 Nov
RES 2: $1.6088 Resistance line from 21 Sep
RES 1: $1.6060/69 55-DMA, 50.0% of $1.6309-$1.5829
LATEST PRICE: $1.6002
SUP 1: $1.5997 Low 26 Nov
SUP 2: $1.5965/69 21-day moving average, 38.2% of $1.5829-$1.6056
SUP 3: $1.5919 Low Nov 11
SUP 4: $1.5829/61 Low 15 Nov, 200-day moving average
USD/JPY: Support At Y81.49 Fibonacci Eyed Near-Term. Dollar is continuing consolidation lower following last week’s failure ahead of Y82.85 — 38.2% of Y94.99 to Y75.35 move. The daily studies are turning lower from overbought territory with stochastic now firmly in sell-mode, and 10-day momentum study also losing steam. Support Y81.49/72, where former is 23.6% of Y77.13-Y82.84.
RES 4: Y83.30 High 2 Apr
RES 3: Y83.13 Resistance line from 6 Apr, 2011
RES 2: Y82.84/85/94 High 22 Nov, 38.2% of Y94.99 to Y75.35, High 4 Apr
RES 1: Y82.19 5-day moving average
LATEST PRICE: Y81.83
SUP 1: Y81.49/72 23.6% of Y77.13-Y82.84, Hourly low
SUP 2: Y80.68/86 High 2 Nov, 21-day moving average
SUP 3: Y80.96 Kijun Line
SUP 4: Y79.79 200-day moving average
EUR/JPY: Break Below Y105.53 Fibonacci Favours Tenkan Line. Correction lower continues following failure ahead of Y107.35 – 76.4% of March to July decline. From here, support is at Y105.53 – 23.6% of Y100.33 to Y107.14 move and break favours test of the Tenkan line of the Ichimoku cloud at Y105.10. The daily studies are turning lower from overbought, with stochastic on verge of sell-signal.
RES 4: Y108.73 50.0% of Y123.33 to Y94.12
RES 3: Y108.00 High 20 Apr
RES 2: Y107.14/35 High 26 July, 76.4% of Mar-July decline
RES 1: Y106.35 5-day moving average
LATEST PRICE: Y105.68
SUP 1: Y105.53 23.6% of Y100.33 to Y107.14
SUP 2: Y105.10 Tenkan line of Ichimoku cloud
SUP 3: Y104.59 High 23 Oct
SUP 4: Y103.69/74 Low 20 Nov, Kijun line, 21-day moving average
EasyForexNews Research Team