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Technical Outlook for Majors 02/01/2015

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Jan 2, 2015.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
    Likes Received:
    The Euro continued to trade in negative mode in the new year and met target at 1.2042, low of July 2012 in the first hours of trading in 2015. Negative sentiment dominates, fuelled by daily / weekly / monthly close in red, with year’s close below 1.21 handle and monthly close below 1.2132, 50% retracement of multi-year 0.8225/1.6039 ascend. Immediate target lies at psychological 1.2000 level, below which, there are no significant obstacles on the way towards 1.1875, June 2010 low and 1.1640, trough of 0.8225/1.6039 ascend, posted in 2005. Completion of monthly bearish flag is expected to accelerate descend. Hesitation ahead of 1.20 support, could be anticipated, as near-term studies are oversold. Previous low at 1.2120, also near 61.8% retracement of 1.2185/1.2032 descend, should ideally cap corrective attempts, while only lift above 1.2200/25 breakpoint, would neutralize near-term bears.
    Res: 1.2100; 1.2120; 1.2150; 1.2185
    Sup: 1.2032; 1.2000; 1.1950; 1.1900

    Cable attempts through low at 1.5484, posted on 23 Dec, above which near-term consolidation phase was under way past week and rallies being capped by descending daily 20SMA at 1.5618. Hourly and 4-hour studies are turning negative, along with weekly and monthly close in red, seeing increased risk of fresh weakness, as overall picture remains firmly bearish and looks for extension towards target at 1.5373, Fibonacci 76.4% of 1.4812/1.7189 ascend. Daily 20SMA acts as pivotal barrier and only close above here would sideline immediate downside risk.
    Res: 1.5550; 1.5593; 1.5618; 1.5680
    Sup: 1.5450; 1.5400; 1.5373; 1.5350

    [​IMG]USDJPY</p>The pair is gaining traction after leaving higher low at 118.85 and positive daily and weekly close, signaling fresh upside attempts towards key barrier at 121.83, 08 Dec peak. Daily Tenkan-sen / Kijun-sen bull-cross, which contained pullback from 120.72, now underpins the action for eventual push through initial 120.80/121 barriers, towards 121.83 target. Initial support lies at 120 zone and should ideally stay intact, while extension lower should hold above 119.25, hourly higher base.
    Res: 120.71; 120.81; 121.00; 121.83
    Sup: 120.00; 119.70; 119.25; 118.85

    The pair continues to trade in near-term consolidation above fresh low at 0.8086, posted on a brief attempt below 0.81 handle. Recovery attempts so far lacked strength for more significant rallies, with descending daily 20SMA, capping the upside. This fuels overall bears for fresh extension lower, with daily / weekly / monthly close in red, signaling extension of larger multi-year downtrend from 1.1079, 2011 peak, towards initial targets at psychological 0.8000 level and 0.7945, Fibonacci 61.85 retracement of 0.6007/1.1079 ascend. Only close above 0.8200, daily 20SMA and 0.8213, recovery top, would delay.
    Res: 0.8156; 0.8182; 0.8200; 0.8213
    Sup: 0.8123; 0.8100; 0.8086; 0.8000

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