Slobodan Drvenica
Windsor Brokers
EURUSD
The Euro is regaining traction and rallies above 1.14 barrier, after yesterday’s brief probe above and subsequent consolidation. Bullishly aligned technicals support fresh extension higher and test of 1.1458, 17 Sep peak and 1.1473, Fibonacci 61.8% of 1.1712/1.1086, break of which to trigger further acceleration higher.
Session low at 1.1372, offers initial support, with extended dips to be contained at 1.1340 zone, broken bull-channel resistance / higher low of 13 Oct.
Res: 1.1458; 1.1473; 1.1500; 1.1564
Sup: 1.1400; 1.1372; 1.1340; 1.1317
GBPUSD
Cable recovers yesterday’s losses, when the pair fell sharply after repeated rejection at strong 1.5380 barrier. Strong fall found support at 1.52 zone, with subsequent bounce, probing again above 200SMA at 1.5319. Failure to sustain break above 200SMA, which is seen as key barrier, keeps the downside at risk.
Daily technicals are mixed, with bearish setup of MA’s and slow Stochastic reversing from overbought territory, giving negative signals. Some support is for now given by bullishly aligned momentum.
Near-term studies entered neutrality zone and will be looking for signal, to establish fresh direction.
Lower platform at 1.5380, also 50% of 1.5656/1.5105 downleg, marks the upper breakpoint, while yesterday’s low at 1.52 is seen as a trigger for fresh weakness towards 1.5105 base.
Res: 1.5342; 1.5386; 1.5420; 1.5446
Sup: 1.5275; 1.5243; 1.5200; 1.5135
USDJPY
The pair remains under pressure in the near-term and probes again below triangle support, currently at 119.81. Repeated daily close in red, after multiple failure to break above 120.40/70, daily Ichimoku cloud, keep the downside under pressure. Daily studies maintain bearish tone and favor further downside. Final break below 119 support zone, low of short-term congestion and loss of 118.67, 02 Oct spike low, is required to confirm bearish resumption. Descending daily 20SMA, caps at 120.03, ahead of triangle resistance at 120.15, which mark the upper breakpoints.
Res: 120.03; 120.15; 120.55; 120.87
Sup: 119.47; 119.23; 119.05; 118.67
AUDUSD
Extended near-term correction off fresh high at 0.7380, briefly probed below 0.72 handle, near Fibonacci 38.2% of 0.6935/0.7380 upleg. Dips were contained by rising daily 10SMA /Tenkan-sen line, keeping daily bulls unharmed for now. The move is seen as correction of nine-day rally, with current low, seen as ideal reversal point, with extension above daily cloud top at 0.7321, needed to confirm. However, further easing cannot be ruled out, as daily slow Stochastic reversed from overbought territory and shows more room towards the downside. Rising daily 20SMA at 0.7128, reinforced by daily Ichimoku cloud base, few ticks lower, should contain extended dips. Otherwise, break here would signal an end of recovery phase.
Res: 0.7288; 0.7310; 0.7321; 0.7362
Sup: 0.7196; 0.7157; 0.7128; 0.7105
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
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