USDJPY closed above 200SMA; n/t bulls eye daily cloud base

EURUSD

The Euro consolidates above fresh low at 1.1201, posted yesterday, on extension of pullback from 1.1712, 24 Aug peak. The third consecutive daily close in red, formed reversal pattern that suggests further downside. Immediate targets lay at 1.1153, Fibonacci 61.8% of 1.0807/1.1712 rally, reinforced by rising daily 20SMA, currently at 1.1142 and daily cloud top at 1.1136 that together mark strong support zone. However, daily slow Stochastic is entering oversold territory and along with expected end-of-the-week profit taking, could spark stronger correction. Initial barrier lies at 1.1278, daily Kijun-sen, ahead of 200SMA at 1.1309, below which corrective rallies should be ideally capped, to maintain negative near-term bias, as the pair is poised for bearish weekly close. Only extension and close above broken bear-trendline at 1.1388, would sideline immediate downside risk.

Res: 1.1396; 1.1451; 1.1500; 1.1551
Sup: 1.1230; 1.1201; 1.1153; 1.1136






GBPUSD

Cable extended steep descend yesterday and closed in red for the third consecutive day. Fresh weakness met target at 1.5368, 200SMA, where temporary footstep was found. Near-term consolidation is expected to precede final push towards the next target at 1.5327, 08 July low, to mark full retracement of 1.5327/1.5816 rally. Bearish structure of daily technicals favors scenario, as oversold daily Stochastic, sees room for extension towards 1.5327 target. The pair is poised for negative weekly close that risks extended weakness in the short-time. Daily 100SMA marks initial resistance at 1.5475, ahead of yesterday’s high at 1.5507 and daily Ichimoku cloud base at 1.5548, which is expected to cap.

Res: 1.5475; 1.5507; 1.5548; 1.5560
Sup: 1.5394; 1.5368; 1.5327; 1.5300








USDJPY

The pair formed reversal pattern on the third consecutive daily bullish close, with yesterday’s rally reaching fresh recovery high at 121.38. Yesterday’s break and close above 200SMA, gives fresh bullish signals. Next target lies at 121.78, Fibonacci 61.8% of 125.26/116.13 descend, ahead of daily cloud base at 122.35, seen in extension. However, caution is required, as daily studies are still negative and see risk of recovery stall, while the price holds below daily Ichimoku cloud. Break above daily clod top at 123.06, is required to neutralize.

Res: 121.38; 121.78; 122.01; 122.35
Sup: 120.84; 120.32; 119.78; 118.90








AUDUSD

The Aussie closed in green yesterday, signaling possible stronger corrective attempts, with today’s fresh strength, testing 0.72 zone, where daily Tenkan-sen line capped for now, keeping intact daily 10SMA at 0.7243. However, limited upside action could be expected, while the price holds below 0.7301 breakpoint, daily 20SMA, as negative tone prevails, suggesting extended consolidation, before renewed attempts towards 0.7000 target. Bearish weekly candle, supports the notion. Only close above daily 20SMA would sideline downside risk, in favor of stronger correction.

Res: 0.7204; 0.7243; 0.7301; 0.7370
Sup: 0.7155; 0.7097; 0.7068; 0.7036