EURUSD
The Euro remains at the back foot, following last Friday’s sharp reversal from recovery rejection at 1.1121 and yesterday’s close in red and below daily 20SMA that offers initial resistance at 1.0974, reinforced by base of thick 4-hour Ichimoku cloud. Psychological 1.10 barrier, also Fibonacci 38.2% of 1.1121/1.0931 pullback, comes next, with extended recovery attempts, expected to remain below daily cloud base at 1.1062. Weak near-term technicals and overall bearish structure, keep the downside in focus. Lows of yesterday and Friday at 1.0931/20, mark immediate supports, ahead of pivotal 1.0891, low of 30 July, loss of which to expose higher base and breakpoint at 1.08 zone.
Res: 1.0974; 1.1000; 1.1025; 1.1062
Sup: 1.0931; 1.0920; 1.0891; 1.0868
GBPUSD
Cable continues to trade in neutral near-term mode, with price action being for now supported by sideways-moving daily 20SMA that currently lies at 1.5556 and marks pivotal support. Upside attempts were so far limited, keeping rising daily cloud top at 1.5643 and cracked 1.5670 congestion tops zone, intact for now. Setup of daily indicators remains neutral, while daily MA’s are bullishly aligned, with upside-turning daily 20d Bollinger Bands, giving bullish signal. Initial range is defined by session low at 1.5569 and yesterday’s NY session high at 1.5622. Next barriers lay at 1.5643, yesterday’s high and 1.5670/88 breakpoint zone.
Res: 1.5643; 1.5670; 1.5698; 1.5729
Sup: 1.5569; 1.5547; 1.5526; 1.5488
USDJPY
The pair continues to consolidate at 124 zone, trading in narrow range and holding near-term studies in neutral mode. Overall picture, however, remains bullish and keeps focus at the upside. Renewed attack at last week’s high at 124.56 and sustained break higher, is required to confirm resumption of larger recovery rally from 120.39, 08 July low. Daily 10SMA offers initial support at 123.82, guarding more significant support zone at 123.49/40, daily Ichimoku cloud top / rising daily 20SMA and 123.00, higher low of the rally from 120.39, loss of which would weaken near-term tone.
Res: 124.09; 124.36; 124.56; 124.72
Sup: 123.82; 123.49; 123.40; 123.00
AUDUSD
Strong post-RBA acceleration probes above initial barriers at 0.7362/66, near-term consolidation top / falling daily 20SMA, leaving near-term base at 0.7350 zone that was cracked on last Friday’s spike to 0.7333, fresh 6-year low. Near-term studies are gaining bullish tone, signaling further correction, with 0.74 barrier seen next, ahead of 0.7485/95 breakpoint, daily Kijun-sen line and mid-July lower platform. Extended rallies should be ideally capped here, as overall picture maintains firm bearish tone and is expected to resume towards initial target at 0.7204 and psychological 0.7000 support, on completion of near-term consolidative phase.
Res: 0.7400; 0.7447; 0.7495; 0.7540
Sup: 0.7362; 0.7335; 0.7306; 0.7258
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