Daily Forecast - 29 September 2014
EURJPY Spot
EURJPY rocketed in the second 2 weeks of September but collapsed last week to lose 50% of the gain. Today we are recovering but will only look more positive above immediate resistance at 139.05/15. Be ready to go with a break higher to target 139.42/45. Exit longs & try shorts here with stops above 1.3960. If we can reach as far as 1.3970/75 try shorts again with stops above 139.90.
Failure to beat immediate resistance at 139.05/15 sees a drift lower to 138.70/65. A bounce from here possible on the first test today but below here targets the 2 week low at 138.45/35. Obviously this is key but a break lower looks increasingly likely & would target 138.15. Exit shorts & then try longs at 137.95/85 with a good chance of a bounce from here at this stage.
AUDJPY Spot
AUDJPY in a strong 3 week bear trend but has bounced aggressively off 9508 today. We could reach as far as strong resistance at 9590/95. Exit longs & try shorts with stops above 9615. An unexpected break higher however sees 9595/90 act as support for a move towards 9640/50. Again exit longs & try shorts with stops above 9670.
There is a good chance we will be unable to beat 9590 keeping the outlook negative for a return to last week's low at 9540/35. Today's low is 9508 so a break below here should trigger stops & targets important key weekly support at 9470/65. It is possible we see a low for the week here, despite the strong bear trend. Exit shorts & try longs with stops below 9430.
GBPJPY Spot
GBPJPY in a longer & short term bull trend. Last week however we paused for breath. Immediate trend line resistance coincides with last week's high at 178.60/70. This needs to be broken therefore for a chance to re-start the bull trend & retest September highs at 180.60/66.
Immediate support is 176.35/45 for a buying opportunity with stops below 176.00. Go with a break lower however as we could then target 175.25/00. Exit shorts & try longs with stops below 174.50.
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