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Technical Outlook for Majors 09/02/2015

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Feb 9, 2015.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
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    The Euro remains soft and probed below 1.13 handle on week’s opening with some 25-pips gap, following last Friday’s fall, post dollar-supportive US jobs data. The pair broke again below daily 10SMA, with close below, confirming negative stance, as descending daily 20SSMA capped past week’s upside attempts. Sustained break below 1.13 handle, is required to confirm and end of week-long congestion, as tone remains negative and confirmed by weekly Gravestone Doji. Immediate target lies at 1.1260, higher base and Fibonacci 6.8% retracement of 1.1096/1.1532, loss of which to confirm double top formation for acceleration towards 1.1222, 27 Jan higher low and key 1.1096 low, expected to come in focus. Corrective attempts off fresh low at 1.1291, were so far capped at 1.1340, Fibonacci 23.6% of 1.1497/1.1291 downleg, keeping daily 10SMA intact for now. Ideally, limited upside action should precede fresh push lower, with 1.14 zone, 50% of 1.1497/1.1291 / daily Tenkan-sen line, expected to cap extended rallies. Only close above here would sideline near-term bears and expose next breakpoint of daily 20SMA, currently at 1.1442.
    Res: 1.1340; 1.1353; 1.1370; 1.1400
    Sup: 1.1311; 1.1291; 1.1260; 1.1200

    [​IMG]GBPUSD</p>Near-term tone softened, following last week’s double rejection at 1.5350 zone and Friday’s pullback and close in red. Fresh dips were so far contained above 1.52 support, near Fibonacci 38.2% of 1.4987/1.5351 upleg, keeping hopes for fresh attempts higher in play. Renewed strength through highs at 1.5350 and Fibonacci 61.8% of 1.5618/1.4950 descend, needs to also clear daily 55SMA, currently at 1.5402, to confirm bullish resumption. Otherwise, prolonged consolidation should be expected, with increased downside pressure on a loss of 1.52 handle, which would expose daily 10SMA at 1.5164 and daily 20SMA at 1.5145, below which, bears are expected to take over.
    Res: 1.5270; 1.5300; 1.5350; 1.5402
    Sup: 1.5200; 1.5164; 1.5145; 1.5126

    The pair has eventually broken above near-term congestion top at 118.85, following double-rejection at 113.86 and last Friday’s acceleration and close above former top. The rally has also cracked the next significant barrier at 119.20, daily Ichimoku cloud top, close above which to confirm bullish resumption towards next targets at 120.00 and 120.80 lower platform, in extension. Positive tone has established on near-term studies, with daily technicals gaining traction and being so far supportive. Consolidative action on overbought near-term studies, was so far contained by daily 55SMA, with extended dips, required to find footstep above 118.45, former high and Fibonacci 38.2% of Friday’s rally, to keep upside fresh attempts in play.
    Res: 118.70; 119.20; 119.57; 120.00
    Sup: 118.45; 118.18; 117.90; 117.58

    The pair came under pressure and violates lower targets, following weekly gap-lower opening and test of 50% of 0.7624/0.7874 rally at 0.7746, so far. Softened near-term tone sees risk of prolonged consolidation, as attempts above descending daily 10SMA, were false break for now. With negative larger timeframe’s studies, extended consolidation is likely to precede fresh weakness and possible retest of new low at 0.7624. Only return above 10SMA would revive hopes of fresh attempts higher, with break above descending daily 20SMA, required to bring bears to play.
    Res: 0.7796; 0.7850; 0.7874; 0.7900
    Sup: 0.7746; 0.7732; 0.7720; 0.7700

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