USDJPY - recovery rally shows signals of stall ahead of strong 110.00 barrier

EURUSD

The Euro remains at the back foot, following break below 1.1300 handle, which now marks initial resistance, but yesterday’s long-legged daily candle, signals a pause in steep descend off 1.1463 peak.
The pair closed at 1.1265 yesterday (Fibo 61.8% of 1.1143/1.1463 upleg), which was cracked on spike to 1.1232, but so far lacking firm break, which will generate another bearish signal.
Near-term action is entrenched within narrow consolidation range, with bearish tone persisting on lower timeframes studies.
Daily bulls have weakened further after 10/20SMA’s turned into bearish setup, while rising daily 30SMa so far holds the downside, guarding next targets at 1.1217/00 (Fibo 38.2% of 1.0820/1.1463 upleg / psychological support).
Prolonged consolidation is expected to precede fresh attempts lower, as the pair is on track for strong bearish weekly close, which suggests further weakness. Violation of 1.1200 handle would open way towards key short-term support at 1.1142 (24 Mar trough / 50% of 1.0820/1.1463 rally).
Former pivotal supports at 1.1300/25 (reinforced by sideway’s moving daily 20SMA / Fibo 38.2% of 1.1463/1.1232 downleg), now act as solid resistance zone, which is expected to keep the upside protected.
However, extended upticks on week-end profit-taking cannot be ruled out, with daily Tenkan-sen at 1.1350, marking next significant barrier.

Res: 1.1270; 1.1300; 1.1325; 1.1348
Sup: 1.1232; 1.1217; 1.1200; 1.1143






GBPUSD

Cable holds below daily cloud, which provides significant downside pressure, trading in a narrow consolidation.
Yesterday’s dip fresh low at 1.4088 and subsequent recovery that left long-tailed daily candle, sidelined immediate downside risk, in favor of extended consolidation.
However, overall bears remain firmly in play and keep focus at the downside, as briefly cracked daily cloud base continues to cap.
Extended upticks above 1.4162/70 barriers (daily cloud base / falling daily 10SMA), could test next significant barrier at 1.4215 (daily 20SMA / 50% of 1.4345/1.4088 downleg), before bears re-assert.
Only extension above 1.4258 (daily Kijun-sen line), would sideline bears.

Res: 1.4170; 1.4215; 1.4247; 1.4258
Sup: 1.4130; 1.4088; 1.4038; 1.4004





USDJPY

The pair shows hesitation on approach to strong 110 barrier, after yesterday’s trading was shaped in Doji candle and falling daily Tenkan-sen, capping for now.
As initial strength of correction from 107.61 base fades and bears continue to dominate on daily studies, limited upside action is seen as favored scenario.
Psychological 110 resistance is seen as ideal reversal point, with extension allowed to 110.65 (17 Mar former low), before fresh bears emerge.
Lift above 110.65 and 110.86 (daily Kijun-sen line), is needed to signal stronger correction.

Res: 109.53; 109.73; 110.00; 110.65
Sup: 109.20; 108.88; 108.41; 108.09







AUDUSD
The pair eventually cracked key barrier at 0.7721, on spike to 0.7735 (fresh 10-month high), with yesterday’s bullish Outside Day, signaling further upside.
Firm bullish structure on daily studies support the notion, as the pair is on track for strong bullish weekly close, which is also forming weekly Bullish Engulfing.
Weekly close above 0.7721 barrier will signal fresh extension of the wave C, which emerged from 0.6972 (09 Feb trough), towards 0.7810, its 200% Fibonacci expansion.
Strong support lies at 0.7612, where yesterday’s trading was contained by daily 10SMA / Kijun-sen line and which is expected to hold extended dips.

Res: 0.7735; 0.7769; 0.7810; 0.7864
Sup: 0.7678; 0.7662; 0.7612; 0.7573