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Technical Outlook for Majors 01/12/2014

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Dec 1, 2014.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
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    The Euro remains under pressure, with overnight’s fresh weakness erasing 20-pips gap higher opening and retesting 1.2425 zone, Fibonacci 61.8% retracement of 1.2360/1.2530 upleg. Near-term higher base is forming here, for consolidative phase, before fresh attempt towards 1.2400 level, Fibonacci 76.4% and short-term base at 1.2360, which contained last week’s fresh attempts lower. Sustained break below 1.2360, to resume larger descend from 1.3992 and open 1.2100, bull-trendline, connecting 2005/2010 lows and pivotal 1.2042, July 2012 low.
    Last Friday’s close in red and below daily Tenkan-sen line, favors further downside attempts, which may be delayed by extended consolidative action above 1.2360, signaled by positive weekly close. Weak technicals of lower timeframes, keep the upside attempts limited for now, as overall picture remains bearish, however, lift above last week’s high at 1.2530 and bear-trendline, drawn off 1.2884, peak of 15 Oct at 1.2540, would delay bears for attack at key 1.2597 barrier, November’s high and consolidation range top, above which to confirm double bottom at 1.2360 and spark stronger corrective action.
    Res: 1.2488; 1.2500; 1.2530; 1.2566
    Sup: 1.2425; 1.2400; 1.2331; 1.2300

    Cable remains under pressure, with fresh weakness under way and probing below near-term base at 1.5590. Last Friday’s long red candle signals continued pressure from 1.5823, recovery rejection, with weekly close in Doji with long upper shadow, suggesting further consolidation with strong selling interest. The notion is supported by close below Fibonacci 61.8% of larger 1.4812/1.7189 ascend, with fresh extension of the third wave from 1.6522, 19 Sep lower top, expected to travel to 1.5387, its 100% Fibonacci expansion, with psychological 1.5000 support, expected to come in near-term focus. However, further hesitation ahead of clear break below 1.5590 base, could be expected, with 1.5700, 50% retracement of 1.5823/1.5583 downleg, reinforced by daily Tenkan-sen line, offering good resistance, ahead of lower top at 1.5740, where extended rallies should be capped.
    Res: 1.5700; 1.5740; 1.5770; 1.5800
    Sup: 1.5600; 1.5583; 1.5550; 1.5500

    [​IMG]USDJPY</p>The pair maintains positive near-term tone and eventually completed 118.96/117.22 corrective phase, by cracking 119 barrier. Positive daily and weekly close, keeps bulls in play for final push towards psychological 120 barrier, also Fibonacci 61.8% of multi-year 147.68/75.55 descend and lower boundary of strong 120/124 resistance zone. Corrective action on overbought near-term studies, so far tested 118.00 zone, hourly higher base and just above Fibonacci 61.8% of 117.22/119.12 upleg, where dips should be contained, to keep bulls in play for fresh attempts higher. Otherwise, loss of 118 handle, would signal prolonged consolidative action, with pivotal support at 117.22, expected to come in focus.
    Res: 118.58; 119.02; 119.50; 120.00
    Sup: 118.00; 117.67; 117.22; 117.00

    [​IMG]AUDUSD</p>The pair comes under increased pressure, following weekly gap-lower open, after last Friday’s negative close occurred ticks above psychological 0.85 handle. The second long red previous week’s candle, also suggests further weakness, as the pair’s fresh extension lower took out bull-channel support at 0.8460, opening way towards psychological 0.80 support, on close below the latter. Consolidative action above fresh lows near 0.84 handle, is expected to precede fresh weakness. Session high at 0.8480, also previous low of 26 Nov, offers initial resistance, ahead of 0.8500 and last Friday’s high at 0.8538.
    Res: 0.8500; 0.8538; 0.8574; 0.8600
    Sup: 0.8415; 0.8400; 0.8380; 0.8350

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