EUR/USD remained capped at the 55-DMA on Tuesday with it having dipped back to retest initial support at the 200-DMA as a result. Bears need a close below the 200-DMA to signal a false break higher and ease bullish pressure with a close below $1.3640 needed to hint at a deeper correction that targets the $1.3503-76 region. Bulls look for a close above the $1.3700 high from Tuesday to further support the bullish case
RES 4: $1.3775 High May 12
RES 3: $1.3748 50.0% Fibonacci 1.3994-1.3503
RES 2: $1.3739 100-DMA
RES 1: $1.3700 High July 1
LPRICE: $1.3675
SUP 1: $1.3674 200-DMA
SUP 2: $1.3640 Low June 30
SUP 3: $1.3607 Hourly support June 26 & 27
SUP 4: $1.3576 Low June 26
Fresh 2014 and multi-year highs for GBP/USD coupled with a relatively bullish close reconfirm bullish dominance with immediate focus on the $1.7198 Oct 21 2008 high. Bears now need to see a close back below Monday’s $1.7097 low to confirm an easing of bullish pressure and a close below the previous 2014 high at $1.7063 to hint at a deeper correction initially targeting the 21-DMA ($1.6952).
RES 4: $1.7679 High Oct 8 2008
RES 3: $1.7516 High Oct 20 2008
RES 2: $1.7198 High Oct 21 2008, Bollinger band top
RES 1: $1.7166 2014 High July 1
LPRICE: $1.7147
SUP 1: $1.7137 Hourly support July 1
SUP 2: $1.7097 Low July 1
SUP 3: $1.7063 Previous 2014 high now support
SUP 4: $1.7007 Low June 27
The recovery from recent lows sees support in the Y101.39-50 region with bears needing a close below to reconfirm bearish focus. Bulls continue to look for a close back above the 200-DMA to ease bearish pressure whereas a close above Y102.35 is needed to end bearish hopes, shifting overall focus back to the Y104.13 Apr monthly high. While the 200-DMA caps immediate focus remains on the Y100.77-82 support region representing 2014 and May monthly lows.
RES 4: Y102.35 High June 18
RES 3: Y102.17 100-DMA
RES 2: Y102.00 55-DMA, Falling daily trend line
RES 1: Y101.75 200-DMA
LPRICE: Y101.58
SUP 1: Y101.50 Hourly support July 2
SUP 2: Y101.39 Hourly support July 1
SUP 3: Y101.23 Monthly Low June 30
SUP 4: Y101.02 Weekly Bollinger band base
The recovery from last week’s low for euro-yen sees pressure firmly on the 200-DMA with the 21-DMA supporting. Bulls continue to look for a close above the 200-DMA to end bearish hopes and shift focus back to the Y140.09-99 region where the Bollinger band top and Ichimoku cloud are located, although the 55-DMA may slow the move a little. Bears now need to see a close back below the 21-DMA to ease the bullish pressure and target the June monthly lows.
RES 4: Y139.78 55-DMA
RES 3: Y139.53 38.2% Fibonacci 142.47-137.70
RES 2: Y139.31 High June 10
RES 1: Y139.14 200-DMA
LPRICE: Y138.86
SUP 1: Y138.71 21-DMA
SUP 2: Y137.91 Low June 26
SUP 3: Y137.72 Low June 16
SUP 4: Y136.92 55-WMA
Bearish focus remains firmly on the 2014 low with overall focus on the Gbp0.7764 2012 low. The Gbp0.8033 resistance is key with bulls needing a close above to confirm a break of the 21-DMA (Gbp0.8023), easing bearish pressure and hinting at a bigger bounce targeting the Gbp0.8183-94 region. It should be noted a close above the 21-DMA has not been seen since late March.
RES 4: Gbp0.8128 38.2% Fibonacci 0.8400-0.7960
RES 3: Gbp0.8115 55-DMA
RES 2: Gbp0.8074 Falling daily trend line
RES 1: Gbp0.8033 High June 25
LPRICE: Gbp0.7971
SUP 1: Gbp0.7959 2014 Low June 16
SUP 2: Gbp0.7923 Low Sept 27 2012, Bollinger band base
SUP 3: Gbp0.7887 Low Sept 5 2012
SUP 4: Gbp0.7764 2012 Low July 2012
