EURUSD
Yesterday’s gains have been capped on the 1.4400 mark but upside remains under pressure as the euro holds steady, conserving gains into the 1.4350 region. As noted on the chart below, the descendant trend line coming from 1.4445 to 1.4330 now may provide a minor support. Below 1.4330, 1.4290-1.4315 could as well halt potential losses. A more notable floor is set around 1.4250 by the upward trend line which provided support over the last two days. On the upside, the whole 1.4400-1.4450 region is likely to provide resistance and a potential breach will open 1.4620 – the 61.8% of the whole 1.6035-1.2330 down leg. It seem that it is only a matter of time until the pair will get there, as the uptrend is stable and yesterday’s rally above the last three days minor pullback confirms that the correction from 1.4375 started on August 21 has ended. Current quote is 1.4360 @06:00 GMT
Support: 1.4330/40, 1.4310, 1.4290 and 1.4250
Resistance: 1.4400, 1.4445/50 and 1.4500
GBPUSD
Cable holds steady ahead of today’s GDP data release, after it recovered some of its recent losses on yesterday but the 150 points intra-day gain is far from influencing the short-term sentiment which remains highly bearish. Key resistance is formed into the 1.6385-1.6430 region as noticed into the chart below. A potential breach would signal the beginning of a recovery cycle. Upside is slightly favored but keep an eye on 1.6385-1.6430 if we get there on the coming sessions. Current quote is 1.6268 @06:00 GMT
Support: 1.6200, 1.6150 and 1.6000
Resistance: 1.6300, 1.6385 and 1.6430/50
USDJPY
Yesterday’s close below the 94.00 mark strengthens the bearish structure and 91.70-92.00 looks more and more as the next objective. Although the dollar has got some good chances to recover, especially by being well supported on the 94.00 handle – it has failed to rally into a safer zone, such as 95.00, which could have suggested the beginning of a recovery. On rallies, look for resistance into the 94.00/15 region then higher, at 94.50 and 95.00. Current quote is 93.70 @06:00 GMT
Support: 93.50, 93.00, 92.50 and 92.00
Resistance 94.00/15, 94.50 and 95.00
