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Technical Outlook for Majors 02/04/2015

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

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
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    The single currency pauses descend from 1.1050 peak, with signals of near-term base formation, being confirmed on a rally through initial barrier at 1.0800, consolidation range top and former low of 27 Mar. Fresh recovery reached 1.0842, Fibonacci 38.2% of 1.1050/1.0711 downleg, with sustained break here and close above daily 10SMA at 1.0854, to confirm near-term recovery towards 1.0881, 50% retracement and 1.0921, Fibonacci 61.8% retracement / daily Kijun-sen line. Extended corrective attempts should be ideally capped here, as overall bearish picture keeps focus at the downside and favors lower top formation under 1.0920 for fresh attack at 1.0715, near-term base, below which to open 1.0686, Fibonacci 61.8% of 1.0461/1.1050 upleg and 1.0612/00 19 Mar higher low / Fibonacci 76.4% retracement, in extension. Conversely, break and close above 1.0920 pivot, would confirm higher base at 1.0715 and shift focus towards key barriers at 1.1034/50, peaks of 18/26 Mar.
    Res: 1.0842; 1.0881; 1.0920; 1.0947
    Sup: 1.0800; 1.0749; 1.0725; 1.0711

    Repeated Doji that came after yesterday’s wider amplitude trading, confirms near-term indecision and sideways mode, as the price holds around magnetic 1.48 handle, with immediate consolidation being capped by daily 10SMA and overall price action of the past month, holding under falling daily 20SMA. Near-term studies remain in neutral mode, as the pair extends consolidation above near-term base, forming at 1.4750 zone. On the other side, overall picture remains bearish and favors clear break below already cracked former base of 2013 at 1.4812, for retest of fresh low of 18 Mar at 1.4633 and resumption of larger downtrend from 1.7189, peak of July 2014, on completion of triangular consolidation, shown on the daily chart. Daily 20SMA marks initial pivotal barrier at 1.4881 and close above here would spark fresh recovery towards 1.50 breakpoint zone.
    Res: 1.4869; 1.4881; 1.4920; 1.4953
    Sup: 1.4815; 1.4750; 1.4737; 1.4720

    [​IMG]USDJPY</p>The pair came under pressure after repeated upside rejection at 120.31 yesterday, triggered fresh acceleration lower that pressures near-term base, formed at 119.40. Yesterday’s close in long red candle, confirms near-term bears returning to play, after the price failed to clear daily 20SMA at 120.35 and bear-trendline off 122.01 peak at 120.41. Hourly studies turned negative, while 4-hour technicals are losing traction, with the price action holding in near-term consolidative phase and still above 119.40 base. Daily indicators are heading lower and attempt below their midlines that keeps the downside favored in the near-term. Resumption of yesterday’s leg-lower, through pivotal 119.40 support, to open immediate support of daily 55SMA at 119.26 and more significant 118.31/20, 26 Mar fresh low/ Fibonacci 61.8% retracement of larger 115.83/122.01 rally, loss of which to confirm daily failure-swing formation and resume pullback from fresh high at 122.01. Only fresh strength through pivotal 120.35/41 barriers would neutralize downside threats.
    Res: 119.76; 120.13; 120.35; 120.41
    Sup: 119.40; 119.26; 119.96; 118.61

    The pair remains under pressure and approaches key support at 0.7558, low of 11Mar. Bearish tone persists on all timeframes and favors eventual break below 0.7558 handle, to resume larger downtrend. Yesterday’s consolidative attempts were short-lived and left red Doji with long upper shadow that signals strong selling interest. Peak’s of past two days at 0.7663, mark initial resistance, ahead of daily 20SMA at 0.77 zone, where also Fibonacci 38.2% retracement of 0.7936/0.7566 downleg lies and only close above here would sideline immediate bears and mark prolonged hesitation ahead of pivotal 0.7558 support.
    Res: 0.7639; 0.7663; 0.7700; 0.7751
    Sup: 0.7566; 0.7558; 0.7500; 0.7450

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