Time spent above the 21-DMA was brief with the sharp reversal lower reconfirming bearish pressure and immediate focus on the 2014 low. Bulls now need a close above $1.2632 to ease bearish pressure and above $1.2770 to hint at move back to the key $1.2995 level. While $1.2632 caps bears favour a break of the 2014 lows with focus then shifting to the $1.2042 2012 low. Key concerns for bears come from the Bollinger band bases which may limit follow through
RES 4: $1.2771 High Oct 29
RES 3: $1.2720 Hourly break down level Oct 29
RES 2: $1.2666 Low Oct 27 now resistance
RES 1: $1.2632 Hourly resistance Oct 30
LPRICE: $1.2559
SUP 1: $1.2536 Bollinger band base
SUP 2: $1.2501 2014 Low Oct 3
SUP 3: $1.2465 Low Aug 28 2012
SUP 4: $1.2385 High Aug 14 2012 now support
The $1.6185 resistance level confirmed significance Tuesday with it capping the bounce from the 21-DMA and resulting in a sell-off that sees initial focus firmly back on the 2014 low. The Bollinger base is seen as the key concern for bears as it may limit downside follow through but with layers of resistance having developed on the hourlies bulls need a close above $1.6087 to ease the bearish pressure and above $1.6185 to target $1.6525-35.
RES 4: $1.6185 High Oct 21
RES 3: $1.6087 Previous daily support now resistance
RES 2: $1.6038 High Oct 30
RES 1: $1.6008 Hourly resistance Oct 31
LPRICE: $1.5968
SUP 1: $1.5940 Low Oct 16
SUP 2: $1.5875 2014 Low Oct 15
SUP 3: $1.5854 Monthly Low Nov 12 2013
SUP 4: $1.5775 Low Sept 13 2013
USD/JPY has managed to trade at the highest level since Jan 2008 with bullish focus now shifting to the Y114.64-115.91 region last seen in late 2007. Layers of support continue to develop on the hourlies with bears needing a close below Y110.19 to ease bullish pressure a little and below Y108.71 to shift immediate focus back to the key Y107.60 support. Key concerns for bulls come from O/B daily studies and the Bollinger band top (Y110.15).
RES 4: Y117.94 Monthly High Oct 15 2007
RES 3: Y115.91 Monthly High Nov 1 2007
RES 2: Y114.65 Monthly High Dec 2007
RES 1: Y112.01 2008 High Jan 2 2008
LPRICE: Y110.80
SUP 1: Y110.08 Previous 2014 high now support
SUP 2: Y109.46 Hourly breakout level Oct 31
SUP 3: Y109.16 Hourly support Oct 31
SUP 4: Y108.71 Hourly support Oct 30
With the rally having recently hesitated at Y138.05 the sharp move higher in Asia today which sees the pair trading above the 21 & 55-WMAs, the 200-DMA and Ichimoku cloud top sees focus shift to the Sept monthly high. Bears now need a close below the 200-DMA to ease bullish pressure with a close below Y138.06 needed to shift focus back to the Y136.91-49 region where the 21-DMA is located. Trading well above the Bollinger band top is the key concern for bulls.
RES 4: Y142.51 High Apr 29
RES 3: Y141.25 Monthly High Sept 19
RES 2: Y140.25 High Sept 23
RES 1: Y139.88 Weekly Bollinger band top
LPRICE: Y139.69
SUP 1: Y139.05 200-DMA
SUP 2: Y138.06 Hourly breakout level 31 Oct
SUP 3: Y137.66 Hourly support Oct 31
SUP 4: Y136.91 21-DMA
Yet another attempt to break higher stalled ahead of the 55-DMA on Wednesday with the pair looking a little heavy and pressuring the key Gbp0.7850-60 support region. Bears continue to retain the upper hand while the Gbp0.7916-51 region caps but need to see a close below Gbp0.7850 to confirm bearish pressure and see focus shift to the Gbp0.7764-66 region where 2012 and 2014 lows are located.
RES 4: Gbp0.7985 Hourly resistance Oct 16
RES 3: Gbp0.7951 Alternating hourly support/resistance
RES 2: Gbp0.7927 High Oct 22
RES 1: Gbp0.7916 55-DMA
LPRICE: Gbp0.7870
SUP 1: Gbp0.7860 Low Oct 30
SUP 2: Gbp0.7850 Low Oct 10
SUP 3: Gbp0.7820 Low Oct 2
SUP 4: Gbp0.7766 2014 Low Sept 30
