Waning bearish momentum in EUR/USD?

Currency Majors Technical Perspective

EUR/USD Current price: 1.2510

Three consecutive doji candlesticks are alluding to a waning of bearish momentum in EURUSD as the currency pair tests the 1.2468 61.8% fib from 1.2287-1.2746. A positive correction, here, is contingent on a close above 1.2523 resistance, exposing the 1.2600 round figure. Any further declines require a break of the aforementioned support.

Support levels: 1.2440 1.2400 1.2360

Resistance levels: 1.2490 1.2530 1.2570

GBP/USD Current price: 1.5592

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GBPUSD bullish momentum continues to be capped by 1.5636 resistance, which is being weighed down by 1.6300-1.6151 descending trendline resistance. MACD is supportive of a decline in the spot rate, with a confirmed bearish divergence. Initial support is being targeted via the 1.5477 61.8% fib of the 1.5268-1.5776 bullish swing.

Support levels: 1.5560 1.5535 1.5490

Resistance levels: 1.5590 1.5620 1.5650

USD/JPY Current price: 79.45

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Failing to break above the 80 handle, USDJPY is set for another wave lower. The 80.00 resistance is being reinforced by the 200 daily EMA, and Stochastic overbought signals. Support at 79.00 continue to remain intact, with a violation of the barrier exposing the 78.50.

Support levels: 79.45 79.15 78.80

Resistance levels: 79.80 80.10 80.35

AUD/USD: Current price: 1.0084

View Live Chart for the AUD/USD (select the currency)

Finding solid footing circa the 1.0032 figure, the Australian dollar made a short term push through resistance at 1.0100 in the session. Subsequent resistance at the 1.0147 Jan 9th low is expected to put short term bullishness to the test, with a break higher above the barrier opening scope for an attack on the 1.0200 round figure.

Support levels: 1.0040 1.0000 0.9970

Resistance levels: 1.0110 1.0160 1.0200

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Published On Thu, Jun 28 2012, 04:42 GMT Previous entries

Richard C. Lee

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Richard Lee is currently a contributing analyst for FXStreet.com. Previously, Richard was a senior FX analyst for DailyFX.com and featured on Yahoo! Finance and Bloomberg. He draws from more than a decade of financial experience in several different asset classes - with emphasis in foreign exchange and equities.

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