After making fresh 2014 highs on Tuesday the pair has corrected lower with the 21-DMA currently supporting. The move lower has eased the bullish pressure with bears looking for a close below $0.8591 to confirm a break of the 21-DMA and see focus shift lower to the $0.8501-57 region where the 55-DMA is located. It should be noted a close below the 55-DMA has not been seen since the pair closed above back in early Feb.
After bouncing from ahead of the key NZ$1.0606-40 region Tuesday, the AUD/NZD continued to recover lost ground closing above the 21-DMA before pausing at the Apr 28 high. Immediate focus shifts to the key NZ$1.0908-47 region with a close above shifting focus to the 200-DMA (NZ$1.1036) with the 50% Fibo also noted at this level. Bears need a close below NZ$1.0792 to confirm a false break of the 21-DMA and shift focus back to NZ$1.0728-57.
AUD/JPY spiked above both the 21-DMA and Y95.34 level before dipping to close below the 21-DMA. Daily studies are correcting higher and remain supportive of further topside but bulls will be looking for a close above Thursday’s Y95.64 high to confirm a break of the 21-DMA and shift focus to the Y96.24-49 region where the 2014 high is located. Bears need a close below Y94.28 to confirm a break of the rising daily channel base and target 100 & 200-DMA’s.
The sequence of lower daily highs following last week’s failure ahead of the A$1.5021 resistance level has resulted in a sharp move lower that sees the pair close below the 21 and 200-DMA’s. Immediate focus now shifts to the A$1.4654-1.4715 region with daily studies correcting lower and adding weight to the bearish case. Bulls now need a close back above the 200-DMA to signal a false break lower and ease the renewed bearish pressure.
Last week’s bearish close has been followed up with fresh 2014 and 6 year lows and another relatively bearish close on Thursday. Bulls now need a close above the previous 2014 low at Krw1030.1 to ease the current bearish pressure with a close above Krw1042.0 to confirm a break of the 21-DMA and shift immediate focus to the Krw1050.6 level. For now bearish focus dominates with sub Krw1000.0 levels remaining targeted.
Bears continue to target the 2014 low with the USD/SGD falling just short on Thursday. The 21-DMA remains key resistance with bulls looking for a close above to ease bearish pressure and hint at a bigger bounce back towards the layers of resistance in the Sgd1.2595-1.2602 region where the 55 & 200-DMA’s are located. While the 21-DMA caps, bears will continue to target the 2014 lows and then Oct 2013 monthly lows below.