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Technical Outlook for Majors 06/02/2015

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Feb 6, 2015.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
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    The Euro holds positive near-term tone and trades under the tops of past three-day range. The range floor is supported by daily 10SMA/Tenkan-sen, with descending daily 20SMA, which capped upside attempts for now, currently at 1.1475, being cracked. North-heading daily indicators support further strength, which requires close above daily 20SMA to confirm an end of near-term congestion and resumption of recovery from 1.1096 low. The pair is expected to hold within tight consolidative range, awaiting US NFP data. Positive tone dominates in forecasts for US jobs data and in case of release within forecasted parameters, the Euro may come under pressure again. Slide below psychological 1.14 support, also mid-point of 1.1302/1.1497 upleg and 1.1376, Fibonacci 61.8% retracement, would risk return to the range floor at 1.1300 and test of next strong support at 1.1260, higher base and Fibonacci 61.8% of larger 1.1096/1.1532 ascend. Conversely, dollar negative release would send single currency through breakpoint at 1.1679, 21 Jan lower top, to signal stronger correction on a close above the latter.
    Res: 1.1497; 1.1532; 1.1600; 1.1650
    Sup: 1.1422; 1.1400; 1.1380; 1.1300

    [​IMG]GBPUSD</p>Fresh strength has pushed Cable to eventually break above near-term range, signaling stronger corrective action, off fresh low at 1.4950. Break of pivotal 1.5267 barrier and 1.5284, daily Kijun-sen line, triggered strong acceleration higher, which peaked at 1.5342, just ahead of next resistance at 1.5363, Fibonacci 61.8% retracement of 1.5618/1.4950 descend and daily 55SMA at 1.5412, seen in extension. Positive near-term studies and strong bullish signals on daily technicals, are supportive for fresh recovery leg, which is expected to commence after correction on overbought near-term studies. Initial support lies at 1.5280, hourly trough, ahead of former peaks at 1.5267/50 and 1.52 zone, Fibonacci 38.2% of 1.4987/1.5342 ascend, where corrective dips should be ideally contained. Conversely, bearish acceleration below here and loss of 1.5165, yesterday’s low and 50% retracement, as well as 1.5140, hourly higher base, would sideline bulls and open way for fresh acceleration lower.
    Res: 1.5342; 1.5363; 1.5412; 1.5460
    Sup: 1.5280; 1.5267; 1.5250; 1.5200

    Near-term price action shows no significant changes, as 117.00/116.86 supports remain intact and daily close occurred again above 117.20, former range floor. However, technicals remain negatively aligned, as descending daily 20SMA continues to cap and eventual break below fresh lows at 116.86, to accelerate towards key supports at 115.83/55. Alternatively, close above daily 20SMA, to give initial signal of fresh strength and open pivotal barriers at 118.85, 20 Jan recovery high and 119.25, daily Ichimoku cloud top, above which, fresh recovery is expected to target next barrier at 120 zone.
    Res: 117.58; 117.98; 118.47; 118.85
    Sup: 117.00; 116.86; 116.55; 115.83

    Near-term studies are regaining traction, with fresh retest of strong 0.7855 resistance, recovery high and former low of 26 Jan. Sustained break here and 0.7880, Fibonacci 38.2% of 0.8293/0.7624 descend, is required to confirm near-term bottom at 0.7624 and signal stronger corrective action towards daily 20SMA at 0.7976 and pivotal 0.8023, lower top of 28 Jan. On the other side, firm bearish tone of daily studies requires caution, with recovery failure, to risk fresh downside. Bearish acceleration through 0.7732/18 lows, to confirm.
    Res: 0.7856; 0.7880; 0.7900; 0.7939
    Sup: 0.7780; 0.7732; 0.7718; 0.7700

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