EUR/USD failed to break above the 21-DMA and left a double-day high at $1.3685 – bulls will aim to break above, however bears likely target the July support line again, now seen as further support at $1.3594 alongside the 50.0% of $1.3296-1.3893 at the same level. Weekly/monthly studies are near overbought and a close below the 100-DMA and Jan 9 low ($1.3549/55) is needed to confirm a bearish trend – a July 2012 support line is seen at $1.3139.
R 4: $1.3796 Daily Bollinger band top
R 3: $1.3752 Former 23.6% of $1.3296-1.3893
R 2: $1.3707/11 Low Dec 13, Reversal high Jan 2013
R 1: $1.3680/85 21-DMA, High Jan 13
Latest price: $1.3664
S 1: $1.3624/38 23.6% of $1.2755-1.3832, 5-DMA
S 2: $1.3594 Jul 9 support line & 50.0% of $1.3296-1.3893
S 3: $1.3549/54/55 Low Jan 9, 21-week MA, 100-DMA
S 4: $1.3524 61.8% of $1.3296-1.3893
GBP/USD slides to the July support line and slipped below yesterday but closed above despite bearish daily studies. Price action today holds above but looking at weekly and monthly studies we note pressure likely continues to mount to the downside – a break below initial support targets the 38.2% of $1.5855-1.6603 at $1.6317, followed by the daily Bolli base and 55-DMA at $1.6276/78 and also at this level is the former monthly triangle top at $1.6273.
R 4: $1.6603 Reversal high Jan 2
R 3: $1.6564 Daily Bollinger band top
R 2: $1.6517 High Jan 10
R 1: $1.6420/38 21-DMA, 5-DMA
Latest price: $1.6385
S 1: $1.6375/78 July Support line, Hourly low
S 2: $1.6317 38.2% of $1.5855-1.6603
S 3: $1.6276/78 Daily Bolli base, 55-DMA
S 4: $1.6220/29 Low Dec 17, 50.0% of $1.5855-1.6603
USD/JPY regains some losses as it recovers to just below the 23.6% of Y97.62-105.44, now initial resistance at Y103.59. Bears found support yesterday from just below the daily Bollinger band base at Y103.01, now initial support is seen at Y102.86. Bulls will aim to recover to the Y104.00 level but failure ahead of here likely sees further losses as weekly studies are beginning to reverse south. Further support is at Y102.45 – the 38.2% level.
R 4: Y104.40 21-day moving average
R 3: Y104.15 Daily Tenkan line
R 2: Y103.80/83 Daily Kijun line, Low Jan 10
R 1: Y103.59 Former 23.6% of Y97.62-105.44
Latest price: Y103.30
S 1: Y102.86 Low Jan 13
S 2: Y102.45 38.2% of Y97.62-105.43
S 3: Y101.98/102.22 Low Dec 3, 55-DMA
S 4: Y101.53 Reversal high Jul 8 & 50.0% of Y97.62-105.44
EUR/JPY declined to the daily Bolli base which is part of initial support at Y140.53. Daily studies stretch lower but now toe the oversold boundary adding pressure higher. However, weekly/monthly studies languish in overbought territory and weekly studies are turning lower – failure to rebreak the Y142.00 level could encourage further losses. Further support is at Y140.16, the 38.2% level and below here is the weekly Tenkan at Y139.90.
R 4: Y144.42 Low Jan 1
R 3: Y143.10 Daily Kijun line
R 2: Y142.78/82 High Jan 6, 21-DMA & Daily Tenkan
R 1: Y141.50 Low Jan 6
Latest price: Y141.22
S 1: Y140.50/53 Low Jan 13, Daily Bolli band base
S 2: Y140.16/20 38.2% of Y131.22-145.69, Oct 2005 high
S 3: Y139.90 Weekly Tenkan line
S 4: Y139.43 Feb 2005 high
