EUR/USD: fresh 1-month high, 1.1120 critical resistance at sight

EUR/USD Current price: 1.1012

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The EUR/USD pair advanced up to 1.1048 during the American afternoon, as once again, the dollar got under selling pressure following Wall Street's opening. The common currency fluctuated within minor gains and losses ever since the day started, mostly led by stocks' movements, as little macroeconomic data hit the wires. Early in the morning, the EU industrial production was up by 0.6% in October, compared to a month before, and increased by 1.09% yearly basis. There was no news coming from the US, but treasury yields are higher, partially recovering their latest losses and ahead of the FED economic policy decision this Wednesday. 

While not solid, the EUR/USD pair continues to be biased higher, as the pair remains near the fresh 1-month high above mentioned. Short term,  the 1 hour chart presents a positive tone, as the technical indicators stand above their mid-lines, albeit lacking directional strength. In the 4 hours chart, the pair managed to advance beyond a bullish 20 SMA, while the technical indicators have lost their upward strength in positive territory. More relevant, the pair is now above the 50% retracement of the October high/December low decline at 1.1000, an immediate short term support for the upcoming hours. 

Support levels: 1.1000 1.0950 1.0910

Resistance levels: 1.1045 1.1080 1.1120

EUR/JPY Current price: 132.97

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The EUR/JPY closes the day pretty much unchanged, a handful of pips below the 133.00 level, having extended its decline to a fresh 2-week low of 132.43, following the release of a strong Tankan manufacturing report in Japan, but yen gains were short lived, and EUR demand led the way during the second half of the day. The pair, however, has lost the strong bearish picture, at least in the short term, as in the 1 hour chart the technical indicators have managed to recover above their mid-lines, with the Momentum still flat, but the RSI heading higher around 54. In the same chart, the 100 and 200 SMAs stand a handful of pips above the current level, acting as dynamic resistance, with the shortest at 133.40.  In the 4 hours chart, the pair held well above its moving averages, but the technical indicators maintain a neutral stance, flat around their mid-lines. 

Support levels: 132.55 132.10 131.70

Resistance levels: 133.40 133.75 134.20

GBP/USD Current price: 1.5137

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The GBP/USD pair fell down to 1.5106 during the European morning, finally capitulating to oil's decline, as the black gold extended its decline down to fresh 7-year lows. The economic calendar will be quite busy in the UK this Tuesday, with the release of inflation data for November, including CPI figures, Retail Price Index and PPI. Inflation is expected to have fallen again into negative territory, which may send the Pound even lower against all of its rivals. Technically speaking and for the short term, the risk remains towards the downside, as in the 1 hour chart, the price is developing below a bearish 20 SMA, while the technical indicators turned south below their mid-lines, after recovering from oversold territory. In the 4 hours chart, the upside seems limited as the pair is now below the 20 SMA and the 200 EMA, both around 1.5165, while the technical indicators aim higher, but remain below their mid-lines.

Support levels: 1.5090 1.5050 1.5010 

Resistance levels: 1.5165 1.5200 1.5240

USD/JPY Current price: 120.68

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The USD/JPY plummeted to a fresh low of 120.33 during the US session, weighed by dollar's sell-off and the negative tone in socks. Additionally, the Japanese currency gained on the release of better-than-expected manufacturing local data, as the Tankan index  beat expectations. The pair retains its negative tone in the short term, as in the 1 hour chart, the price remains well below a bearish 100 SMA, currently in the 121.70 region, and accelerating below the 200 SMA,  whilst the technical indicators are turning south well below their mid-lines. In the 4 hours chart, the pair is also far below the moving averages, while the Momentum indicator heads south below its 100 line and the RSI lacks clear directional strength near oversold territory. With the FED economic policy decision looming, however, the pair will likely trade in a limited range this Tuesday, with approaches to the 120.00 level probably attracting some buying interest. 

Support levels: 120.60 120.30 120.00

Resistance levels: 121.00 121.35 121.70 

AUD/USD Current price: 0.7248

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The AUD/USD pair jumped to a daily high of 0.7269 on dollar's weakness during the second half of the day, helped by a recovery in commodities' prices. The pair recovered from a  2-week low of 0.7159 scored during the Asian session, and has erased most of its Friday's losses, holding above the critical 0.7240 level ahead of the Asian opening. The pair presents a  strong bullish bias in the short term, as in the 1 hour chart, the price heads higher above a bullish 20 SMA, whilst the technical indicators present limited upward slopes near oversold levels. In the 4 hours chart, the price recovered above the 200 EMA after a brief decline below it, and is also above a now mild bullish 20 SMA, while the technical indicators aim higher, but below their mid-lines. Dips down to 0.7200 should now attract buyers to keep the bullish trend in place, and favor additional gains up to 0.7335 for this Tuesday. 

Support levels: 0.7240 0.7200 0.7170

Resistance levels: 0.7285 0.7335 0.7380

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