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Technical Outlook for Majors 31/03/2015

Discussion in 'Major Currency Pairs' started by WindsorBrokers, Mar 31, 2015.

  1. WindsorBrokers

    WindsorBrokers Content Contributor

    Feb 18, 2010
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    The Euro breaks below 1.08 near-term base, signaling an end of consolidative phase and resumption of pullback from 1.1050, 26 Mar high. Fresh acceleration lower took out daily 20SMA at 1.0789 and supports at 1.0756/48, Fibonacci 38.2% retracement of 1.0461/1.1050 rally / 4-hour Ichimoku cloud base, with further acceleration lower focusing psychological 1.07 support and 1.0686, Fibonacci 61.8% retracement. Negative near-term technicals are supportive for further easing that requires close below daily 20SMA, to confirm double-top formation. Daily 10SMA caps today’s action at 1.0844, session high and only reversal and close above here would neutralize immediate downside risk, for attempts at pivotal barriers at 1.0924, daily Kijun-sen and 1.0944, 27 Mar high and consolidation top.
    Res: 1.0800; 1.0844; 1.0900; 1.0924
    Sup: 1.0700; 1.0686; 1.0650; 1.0600

    [​IMG]GBPUSD</p>Cable remains under pressure and posted fresh low at 1.4750, after cracking 1.4757, Fibonacci 76.4% retracement of 1.4633/1.5160 corrective rally. Setup of near-term studies remains bearish and favors further weakness. Higher lows of 20/19 Mar at 1.4721/1.4686 mark next targets and the last obstacles en-route towards key 1.4633, low of 18 Mar, to mark full retracement of 1.4633/1.5160 upleg. Firm bearish tone remains on daily/weekly studies and supports resumption of larger downtrend, on violation of pivotal 1.4633 support. Descending daily 20SMA caps the price action of past couple of weeks, currently at 1.4921 and only reversal and close above here would neutralize downside threats and re-focus 1.50 breakpoint.
    Res: 1.4814; 1.4841; 1.4920; 1.4952
    Sup: 1.4750; 1.4721; 1.4686; 1.4633

    The pair bounced from 118.31, low of 26 Mar, where fresh easing from 122.01 found support, with yesterday’s strong acceleration from daily low at 119.09, reinforced by daily 55SMA, ending day in long green candle and sidelining downside threats. Fresh strength broke above psychological 120 barrier and so far tested sideways-moving daily 20SMA at 120.38. Yesterday’s rally gives strong bullish signal, with near-term technicals turning positive, however, sustained break above daily 20SMA and bear-trendline, drawn off 122.01 peak at 120.50, is required to confirm reversal and neutralize risk of lower top formation and fresh leg lower. Close above the latter to spark further recovery and open pivotal 121.19, lower top of 20 Mar, to fully retrace 121.19/118.31 downleg and shift focus towards key 122.01 peak. Alternatively, slide below 119.57, Fibonacci 38.2% retracement of 118.31/120.35 upleg, to revive downside risk.
    Res: 120.35; 120.50; 121.00; 121.19
    Sup: 120.00; 119.57; 119.15; 118.92

    The pair remains under pressure and continues to trend lower, with 0.7610, 19Mar low, being taken out on a probe below 0.76 handle. Higher low of 18 Mar at 0.7589 remains the last obstacle on the way for full retracement of 0.7558/0.7936 corrective rally. Yesterday’s second consecutive close in long red candle, confirm strong bearish stance for full retracement of short-term corrective phase from 0.7558 to 0.7936 and resumption of larger downtrend. Setup of technicals on a daily chart is also negative, with daily 20SMA offering initial resistance at 0.7720, ahead of daily Kijun-sen line that capped yesterday’s action at 0.7747 and only break here would sideline downside risk.
    Res: 0.7637; 0.7663; 0.7700; 0.7720
    Sup: 0.7589; 0.7558; 0.7500; 0.7450

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