EUR/USD Current price: 1.3382
The EUR/USD holds around the 1.3400 area after reaching a daily high of 1.3433 early Asia. Worse than expected US data along with gold nose diving below $1600/oz point for a US session driven by risk aversion, as indexes also trade slightly below yesterday’s close. The EUR/USD hourly chart shows price below 20 SMA and indicators heading lower below their midlines, showing increased pressure to the downside. In the 4 hours chart, indicators also turned lower approaching their midlines, while price founds support in its 20 SMA. The 1.3350/60 area needs to be broken to confirm further falls towards the 1.3310 price zone.
Support levels: 1.3350 1.3310 1.3270
Resistance levels: 1.3415 1.3440 1.3490
GBP/USD Current price: 1.5302
BOE Minutes showing 3 out of 9 members voted for a QE extension exposed UK economic weakness, and triggered a selloff in GBP crosses. The GBP/USD reached 1.5280, and remains now capped by 1.5310. The hourly chart shows indicators flat in extreme oversold levels, with no aims of correcting higher, as the bearish momentum seems ready to resume. In the 4 hours chart technical readings hold the bearish tone seen on previous updates, with 20 SMA well above current price and heading south. The 1.5260 area is a quite strong technical support, so the level may halt the slide if reached, and even trigger a bullish corrective movement, yet once below, the selloff will only accelerate.
Support levels: 1.5260 1.5220 1.5170
Resistance levels: 1.5310 1.5345 1.5390
USD/JPY Current price: 93.68
The USD/JPY fell to a daily low of 93.13, before bouncing back to opening levels, yet maintains a neutral stance as investors wait for next Japanese big event, the nomination for Bank of Japan next Governor, expected for early next week. While technical readings remain neutral in the hourly chart, the upside continues to be favored both in the short and the long term. However, price needs to establish above the 94.00 mark to be able to resume its gains.
Support levels: 93.50 93.10 92.60
Resistance levels: 93.90 94.15 94.50
AUD/USD: Current price: 1.0303
The AUD/USD was hit early Asia by negative New Zealand data, also pressured by strong gold slide. The pair failed to break the 1.0370 resistance level, and the bearish trend come back in full force, leaving the hourly chart with a clear bearish momentum, that supports further slides ahead. In the 4 hours chart technical readings also turned south, with latest candle opening below 20 SMA: a test of 1.0260 seems likely over the next few hours, while a break below should trigger a continuation rally towards the 1.0220 lows.
Support levels: 1.0300 1.0260 1.0220
Resistance levels: 10330 1.0370 1.0410