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Technical Outlook for Majors 23/04/2015

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Apr 23, 2015.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
    Likes Received:
    The Euro accelerates lower, signaling an end of directionless phase, confirmed by double-Doji. Softer near-term tone pushed the price below initial support at 1.0695, daily 10SMA, with further easing that cracked daily Tenkan-sen line and approached key near-term support at 1.0658, low of two-day congestion. Daily technicals maintain negative tone, with the latest acceleration lower, increasing risk of break below 1.0658. Daily close below here to confirm bearish resumption and further retracement of 1.0519/1.0847 rally. Alternatively, prolonged consolidation could be expected while 1.0658 handle holds. Only rally and close above daily 20SMA at 1.0760 and daily Kijun-sen at 1.0785, would neutralize immediate downside threats.
    Res: 1.0741; 1.0760; 1.0785; 1.0800
    Sup: 1.0664; 1.0658; 1.0644; 1.0600

    Cable holds positive near-term tone, following yesterday’s acceleration higher that left higher low at 1.4854, low of 21 Apr and cracked pivotal 1.5051 barrier, former high of 17 Apr, on extension to fresh high at 1.5079. Yesterday’s close in long green candle confirms bullish near-term tone, supporting further upside action through 1.5079/92, yesterday’s peak / daily cloud top, to open 1.5160, spike high of 18 Mar. Extended correction below initial 1.5000 support, should find footstep above 1.4940, Fibonacci 61.8% retracement of 1.4854/1.5079, to keep near-term bulls intact. Otherwise, increased downside pressure and signal of false break higher could be expected on violation of 1.4940 and 1.4911, yesterday’s low.
    Res: 1.5000; 1.5036; 1.5051; 1.5079
    Sup: 1.4965; 1.4940; 1.4911; 1.4854

    [​IMG]USDJPY</p>The pair remains supported and rallies higher, with psychological 120 barrier being cracked on today’s extension of the second bull-leg. Higher base was formed at 119.30, higher low of 21 Apr and 50% retracement of 118.52/120.08 rally, reinforced by daily 100SMA, with yesterday’s repeated positive close in long green candle, signaling extension of strong recovery rally from 118.52, towards initial target at 120.38, daily Ichimoku cloud top and key 120.83, 13 Apr peak. Daily close above 120 barrier to confirm bullish stance, with corrective action being so far contained at 119.65, daily 20SMA that marks ideal reversal point, to keep intact breakpoint at 119.30.
    Res: 120.08; 120.38; 120.83; 121.19
    Sup: 119.65; 119.48; 119.30; 119.12

    Near-term tone softened after the price failed to sustain rally above 0.78 barrier and subsequent pullback dipped to 0.77 handle. However, yesterday’s positive close keeps the upside attempts in play, despite strong-sell-off, as today’s price action penetrated into daily cloud, with cloud’s base marking initial support at 0.7718, session low. The notion is supported by positively aligned daily studies, but on the other side, contracting daily 20d Bollinger bands and mixed near-term technicals, suggest extended consolidative phase, before establishing fresh near-term direction. Extension above 0.7805, yesterday’s high, to open pivotal 0.7841, 17 Apr high, above which to expose key short-term barrier at 0.7936, 24 Mar high and top of s/t congestion. On the downside, violation of initial supports at 0.7718/06, daily cloud base / daily 10SMA, would soften near-term tone and expose pivotal 0.7674 support, daily 20SMA.
    Res: 0.7762; 0.7775; 0.7805; 0.7825
    Sup: 0.7718; 0.7706; 0.7674; 0.7662</p>

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