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Technical Outlook for Majors 13/01/2015

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Jan 13, 2015.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
    Likes Received:
    The Euro continues to consolidate above fresh low at 1.1752, with yesterday’s choppy trading resulting in Doji candle, after the price oscillated within 1.1870 and 1.1785 span. Neutral near-term studies signal limited upside action, as overall picture maintains firm bearish tone. Yesterday’s limits mark initial support/resistance, with lift above 1.1870 required to signal further recovery and open daily 10SMA at 1.1920, ahead of more significant 1.1975 lower platform, above which to spark stronger recovery. Conversely, violation of yesterday’s low at 1.1785, to open pivotal 1.1752 low of 08 Jan, for eventual acceleration towards near-term target at 1.1640, low of 2005.
    Res: 1.1858; 1.1870; 1.1890; 1.1957
    Sup: 1.1807; 1.1785; 1.1752; 1.1700

    Corrective bounce from fresh low at 1.5032 sidelined immediate downside risk of testing psychological 1.50 support, but rally stalled again on repeated attempt at 1.52 barrier, resulting in yesterday’s trading ending in Doji. Near-term price action has established with 1.51/1.52 range, with mixed studies, favoring extended consolidative phase. On the other side, bearish setup of daily technicals, keeps the downside focused and expects resumption of larger downtrend on completion of consolidative phase. Break above 1.52 platform would delay, while extension above 1.5255, daily 10SMA and Fibonacci 38.2% retracement of 1.5618/1.5032 downleg, is required to signal stronger recovery action.
    Res: 1.5160; 1.5200; 1.5255; 1.5272
    Sup: 1.5100; 1.5075; 1.5032; 1.5000

    [​IMG]USDJPY</p>The pair continues to move lower and broke below 118 handle, posting fresh low at 117.72, overnight. Wide amplitude of yesterday’s / today’s trading, hoverer, did not affect bearish structure of lower timeframes studies, which signals further weakness after 118 support was cracked. Daily close below here to confirm and open immediate support at 117.33, daily 55SMA / rising daily cloud, loss of which to open way towards key short-term support at 115.55, 16 Dec 2014 low. Daily indicators are attempting below midlines, with daily 10/20SMA’s bearish cross at 119.17 and yesterday’s high at 119.30, expected to cap extended corrective rallies.
    Res: 118.84; 119.10; 119.30; 119.75
    Sup: 118.08; 117.72; 117.56; 117.33

    The pair reversed quickly and erased over 50% of 0.8031/0.8253 rally, after failing to sustain break above 0.82 barrier. Yesterday’s close in red weakened hourly studies, however, dip to 0.8129 was contained by daily 10SMA, protecting the downside for now. More positive tone exists on 4-hour technicals, keeping hopes of fresh attempts higher. Break above initial 0.8211, daily Kijun-sen line and yesterday’s high at 0.8253, is required to improve and signal further recovery. Otherwise, consolidative phase is expected to precede fresh attempts towards 0.8031 low of 07 Jan and test of psychological 0.8000 target.
    Res: 0.8196; 0.8211; 0.8253; 0.8300
    Sup: 0.8126; 0.8100; 0.8083; 0.8031

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