EURUSD: The pair may have put in a temporary bottom, having closed higher on a rejection candle ahead of its key support at 1.0847 level. We now envisage a mild recovery higher as long as EUR holds above its June 2015 low at the 1.0807 level. But if violated, expect more weakness to occur towards the 1.0750 level. Further down, support lies at the 1.0700 level where a violation will aim at the 1.0650 level. A break of here will aim at the 1.0600 level with a turn below that level targeting the 1.0550 level. Its daily RSI is bearish and pointing lower, supporting its present weakness. Conversely, resistance comes at 1.0950 level with a cut through here opening the door for more upside towards the 1.1000 level. Further up, resistance lies at the 1.1050 level where a break will expose the 1.1100 level. All in all, EUR remains biased to the downside medium term but faces a recovery.
GBPJPY Extends Its Sells Off, Targets 183.86 Region
GBPJPY: With the cross tumbling lower on Thursday and following through lower during Friday trading today, further downside pressure is expect. It looks to retarget its key support at the 183.86 zone. On the downside, support comes in at the 184.00 level where a violation will aim at the 183.36 level. A break below here will target the 182.50 level followed by the 182.00 level. Its daily RSI is bearish and pointing lower supporting this view. Conversely, resistance is seen at the 185.00 level followed by the 186.00 level. A cut through that level will set the stage for a move further higher towards the 187.00 level. Further out, resistance resides at the 188.00 level and next the 189.00 level. All in all, the cross remains biased to the downside on further weakness.
CRUDE OIL Bull Pressure Sets For The 43.19/42.56 Zone
CRUDE OIL: The commodity extended its weakness on Friday to close the week lower. It also reversed most of its previous week gains. This development has opened the door for more weakness towards its key support at 43.19 zone. On the downside, support resides at the 42.56 level where a break will expose the 42.00 level. A cut through here will set the stage for a run at the 41.00 level. Further down, support resides at the 40.00 level. Its daily RSI is bearish and pointing lower supporting this view. On the upside, resistance resides at the 45.50 level. Further out, resistance resides at the 46.00 level. A break above here will aim at the 47.00 level and then the 48.00 level followed by the 49.00 level. All in all, Crude Oil remains biased to the downside with eyes on the 43.19/42.56 zone.
AUDUSD: AUDUSD remains weak and vulnerable to the downside with risk of more weakness on the cards. Its big support lies at the 0.6926/0.6899 zone. However, we may see a recovery higher on correction in the new week folowing its last week sell off. On the downside, support resides at the 0.7000 level where a breach will aim at the 0.6950 level. Below that level will set the stage for a run at the 0.6900 level with a cut through here targeting further downside towards the 0.6850 level. Its weekly RSI is bearish and pointing lower supporting this view. On the upside, resistance lies at the 0.7100 level. A cut through here will turn attention to the 0.7150 level and then the 0.7200 level where a violation will set the stage for a retarget of the 0.7250 level. On the whole, AUDUSD continues to retain its long term downside pressure.
EURUSD: Tumbles On Heavy Sell Off, Stays Below 1.0807
EURUSD: The pair witnessed a sharp sell off the past week cutting through its key support the 1.0818/08 zone. This development leaves EUR lower as we enter a new week. It will have to maintain below the mentioned support turned resistance to prevent any bullish offensive. But beware of a recovery higher following such a sell off. Support is located at the 1.0700 level but if violated, expect more weakness to occur towards the 1.0650 level. Further down, support lies at the 1.0600 level where a violation will aim at the 1.0550 level. A break of here will aim at the 1.0500 level. Its weekly RSI is bearish and pointing lower supporting this view. Conversely, resistance is comes at 1.0800 level with a cut through here opening the door for more upside towards the 1.0850 level. Further up, resistance lies at the 1.0900 level where a break will expose the 1.0950 level. All in all, EUR remains biased to the downside.
GBPUSD: The pair sold off to resume its broader downside pressure the past week leaving risk of further weakness on the cards. This view remains valid while GBP can trade and hold below the 1.5133/22 zone. However, we may see price consolidation or even a recovery higher in the new week. Note that the 1.5000 level psycho logical support is nearby. Support lies at the 1.5000 level where a break will turn attention to the 1.4950 level. Further down, support lies at the 1.4900 level. Below here will set the stage for more weakness towards the 1.4850 level. Its weekly RSI is bearish and pointing lower supporting this view. Conversely, resistance stands at the 1.5100 levels with a turn above here allowing more strength to build up towards the 1.5150 level. Further out, resistance resides at the 1.5200 level followed by the 1.5250 level. On the whole, GBP faces the risk of further downside pressure but may see a correction.
USDJPY: The pair lost upside momentum following its failure at 123.59 level to close lower on a rejection candle on Monday. While the 123.59/78 zone caps, we think more weakness should follow. On the downside, support comes in at the 122.50 level where a break if seen will aim at the 122.00 level. A cut through here will turn focus to the 121.50 level and possibly lower towards the 121.00 level. On the upside, resistance resides at the 123.50 level where a cap may be occur again. Further out, we envisage a possible move towards its range top at the 124.00 level. Further out, resistance resides at the 124.50 level with a turn above here aiming at the 125.00 level. On the whole, USDJPY looks to pullback following its strong rally the past week.
EURUSD Exposed To Downside Below The 1.0805/07 Zone
EURUSD: The pair’s attempt on the upside was rebuffed by the bears on Monday to close slightly higher. This development leaves the risk lower in the direction of its broader downside bias. We look for more weakness to occur towards the 1.0700 level. Further down, support lies at the 1.0650 level where a violation will aim at the 1.0600 level. A break of here will aim at the 1.0550 level with a turn below that level targeting the 1.0500 level. Its daily RSI is bearish and pointing lower, supporting its present weakness. Conversely, resistance comes at 1.0805/7 levels with a cut through here opening the door for more upside towards the 1.0850 level. Further up, resistance lies at the 1.0900 level where a break will expose the 1.0950 level. All in all, EUR remains biased to the downside medium term.
EURJPY: The cross saw downside pressure on Tuesday though taking back some of those gains. It still remains weak and vulnerable to the downside. We continue to look for more weakness. Support comes in at the 131.50 level. Further down, support stands at the 131.00 level where a violation will aim at the 130.50 level. Its daily RSI is bearish and pointing lower supporting this view. Conversely, resistance comes in at the 132.50 level where a break will aim at the 133.00 level. Further out, a turn above here will shift attention to the 133.50 level with a breach will turn focus to the 134.00 level. All in all, the cross faces further downside pressure in the medium term.
AUDUSD: With the pair rallying strongly during early trading on Thursday, further upside offensive is envisaged. This development suggests a temporary bottom is now in place. This should see more strength build up with eyes on the 0.7200 zone. On the upside, resistance lies at the 0.7250 level. A cut through here will turn attention to the 0.7300 level and then the 0.7350 level where a violation will set the stage for a retarget of the 0.7400 level. On the downside, support resides at the 0.7100 level where a breach will aim at the 0.7050 level. Below that level will set the stage for a run at the 0.7000 level with a cut through here targeting further downside towards the 0.6950 level. On the whole, AUDUSD has triggered a correction with eyes on the 0.7200 level
USDCAD: The pair reversed its intra day losses to trigger its trend resumption during Thursday trading session. This price action now leaves USDCAD targeting more bullish offensive towards the 1.3350 level. A break of here will open the door for more strength towards the 1.3400 level. Further out, resistance comes in at the 1.3450 level and then the 1.3500 level. Its daily RSI is bullish and pointing higher suggesting further strength. On the downside, support lies at the 1.3300 level where a violation clear the for more weakness towards the 1.3250 level. Further down, support stands at the 1.3200 level and subsequently the 1.3150 level. All in all, USDCAD looks to strengthen further having halted its corrective pullback.
EURUSD: Above 1.0673 Zone Leaves Threats To The Upside
EURUSD: With EUR struggling to close marginally higher the past week, risk of a recovery higher is not over yet. This development leaves the 1.0673 zone providing support and leaving threats to the upside. Support comes in at the 1.0700 level but if violated, expect more weakness to occur with eyes on the 1.0673/50 levels. Further down, support lies at the 1.0600 level where a violation if it occurs will aim at the 1.0550 level. A break of here will turn risk to the 1.0500 level. Conversely, resistance is comes at 1.0807 level with a cut through here opening the door for more bull pressure towards the 1.0850 level. Further up, resistance lies at the 1.0900 level where a break will expose the 1.0950 level. All in all, EUR remains biased to the downside in the medium term but with caution.
GOLD: The commodity may have closed lower the past week, but faces a recovery risk in the new week. While it holds above the 1069.46 level, a recovery higher is expected. On the downside, support comes in at the 1075.00 level where a break will turn attention to the 1060.00 level. Further down, a cut through here will open the door for a move lower towards the 1050.00 level. Below here if seen could trigger further downside pressure targeting the 1045.00 level. Its weekly RSI is bearish and pointing lower suggesting further weakness. Conversely, resistance resides at the 1100.00 level where a break will aim at the 1115.00 level. A turn above there will expose the 1130.00 level. A violation of here will turn attention to the 1145.00 level. All in all, GOLD looks to push higher on corrective recovery following its rejection candle formation (see daily chart) ahead of its key support at the 1069.46 level.
EURJPY Remains The Offensive Targeting The 132.61 Level
EURJPY: The cross turned sharply higher during Monday trading session leaving risk of more strength on the cards. EURJPY continues to hold above its key support at the 131.45 zone. On continued bull pressure it should move towards the 132.61 level where a break will open the way for further strength towards at the 133.00 level. Further out, resistance comes in at the 133.50 level where a break if seen will threaten additional upside towards the 134.00. Above here will target resistance residing at the 134.50 level. Conversely, support comes in at the 131.50 level where a break will aim at the 131.00 level. A turn below here will target the 130.50 level with a breach turning focus to the 130.00 level. All in all, the cross now remains biased to the upside on price recovery.
USDJPY: With the pair remaining on the offensive following its Monday rally, further strength is envisaged. This price development leaves further bull pressure targeting the 123.59 and beyond. On the downside, support comes in at the 122.50 level where a break if seen will aim at the 122.00 level. A cut through here will turn focus to the 121.50 level and possibly lower towards the 121.00 level. Its daily RSI is bullish and pointing higher suggesting further strength. On the upside, resistance resides at the 123.59 level where a cap may be occur again. Further out, we envisage a possible move towards its range top at the 124.00 level. Further out, resistance resides at the 124.50 level with a turn above here aiming at the 125.00 level. On the whole, USDJPY looks to retake the 123.59 zone on continued bull pressure.
GBPJPY: The cross is closing in on its key resistance at the 187.68/00 levels after closing strongly higher on Monday. This upside view is consistent with its short term recovery triggered off the 184.26 level on Nov 06 2015. On the downside, support comes in at the 186.00 level where a violation will aim at the 185.00 level. A break below here will target the 184.00 level followed by the 183.00 level. Conversely, resistance is seen at the 187.68 level followed by the 188.00 level. A cut through that level will set the stage for a move further higher towards the 189.00 level. Further out, resistance resides at the 190.00 level. Its daily RSI is bullish and pointing higher suggesting further strength. All in all, with GBPJPY up against the 187.68 level, a break of that level will open the door for more strength.
EURUSD Maintains Medium Term Bearish Tone But With Caution.
EURUSD: With EUR extending its weakness to close and hold below the 1.0673 level on Tuesday, further downside pressure is envisaged. This will leave its key support located at 1.0519 level as its main target. However, it could be looking for a temporary bottom after maintaining an intra day recovery tone during early trading today. On the downside, support lies at the 1.0600 level where a violation will aim at the 1.0550 level. A break of here will aim at the 1.0500 level with a turn below that level targeting the 1.0450 level. Its daily RSI is bearish and pointing lower, suggesting further weakness. Conversely, resistance comes at 1.0700 level with a cut through here opening the door for more upside towards the 1.0750 level. Further up, resistance lies at the 1.0800 level where a break will expose the 1.850 level. All in all, EURUSD maintains medium term bearish tone but with caution of a corrective recovery.
USDJPY: Having started a strong corrective weakness on Thursday, the pair is now looking for more declines. This is coming on the back of a loss of upside momentum off the 123.63 high. On the downside, support comes in at the 122.50 level where a break if seen will aim at the 122.00 level. A cut through here will turn focus to the 121.50 level and possibly lower towards the 121.00 level. On the upside, resistance resides at the 123.50 level where a cap may be occur again. Further out, we envisage a possible move towards its range top at the 124.00 level. Further out, resistance resides at the 124.50 level with a turn above here aiming at the 125.00 level. On the whole, USDJPY remains vulnerable on loss of upside steam.
USDCHF: With USDCHF triggering a correction on Thursday, it looks to extend that weakness further. While its resistance at the 1.0201/19 zone caps, it looks to break below the 1.0100 level. On the downside, support lies at the 1.0100 level. A turn below here will open the door for more weakness towards the 1.0050 level and then the 1.0000 level. Further down, support resides at the 0.9950 level followed by the 0.9900 level. On the upside, resistance resides at the 1.0200 level. A break will clear the way for more strength to occur towards the 1.0250 level. Further out, resistance comes in at the 1.0300 level. All in all, USDCHF targets more bear pressure on pullback
GOLD: GOLD looks to weaken on bearishness following its the past week losses. While the 1088/98 zone remains unbroken, its broader bias remains lower. On the downside, support comes in at the 1070.00 level where a break will turn attention to the 1060.00 level. Further down, a cut through here will open the door for a move lower towards the 1045.00 level. Below here if seen could trigger further downside pressure targeting the 1030.00 level. On the upside, resistance resides at the 1088.00 level where a break will aim at the 1100.00 level. A turn above there will expose the 1110.00 level. Further out, resistance stands at the 1120.00 level. Its weekly RSI is bearish and pointing lower suggesting more strength. All in all, GOLD looks to weaken on bearishness targeting the 1064.23 level.
