Daily FX Technical Trend Bias/Key Levels (Tues 09 Apr)

Mix bag with further potential USD weakness in EUR, JPY & AUD.

EUR/USD – Push up within range in progress


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  • Staged the expected bullish breakout above the 1.1250 neckline resistance of the minor “Inverse Head & Shoulders” configuration as per highlighted in our previous report (click here for a recap) in yesterday, 08 Apr European session.
  • No change, maintain bullish bias with a tightened key short-term pivotal support now at 1.1240 (pull-back of the former neckline resistance of the minor “Inverse Head & Shoulders” & 50% Fibonacci retracement of the yesterday’s push up from 1.1210 low to 1.1275 high) for a further potential push up to target the next intermediate resistance at 1.1316/1325 (minor swing high area of 25/26 Mar 2019, 50% Fibonacci retracement of the slide from 20 Mar 2019 high to 02 Apr 2019 low & exit target potential of the “Inverse Head & Shoulders”).
  • On the other hand, a break below 1.1240 negates the bullish tone for a slide back to retest 07 Mar/02 Apr 2018 swing low areas of 1.1175.

GBP/USD – Push down within range


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  • Last Fri 05 Apr, the pair broke below the lower limit of the short-term neutrality zone at 1.3060 as per highlighted in our previous report. It declined and staged another test at the 1.2980/2960 minor range support in place since 11 Mar 2019.
  • We flip back to bearish bias in any bounces below 1.3120 key short-term pivotal resistance (the pull-back of the former minor ascending trendline from 29 Mar 2019 low & 61.8% retracement of the recent slide from 03Apr 2019 high to 05 Apr 2019 low) for another round of potential push down to retest 1.2980/2960 and below it exposes 1.2910/2890 (Fibonacci expansion/retracement cluster).
  • On the other hand, a break above 1.3120 negates the bearish tone for a further squeeze up towards 1.3190 intermediate resistance (former ascending range support from 03 Jan 2019 low & minor descending trendline from 13 Mar 2019 high).

USD/JPY – Risk of failure breakout increases


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  • The pair has failed to make any headway above 111.80 and staged a slide back below the former ascending channel support from 03 Jan 2019 flash crash low. Right now, it is testing the 111.30 key short-term pivotal support as per highlighted in our previous report. Short-term momentum indictor as indicated by the hourly RSI oscillator has turned bearish. Thus, we flip to a bearish bias with 111.80 as the key short-term pivotal resistance and an hourly close below 111.30 is likely to see a further potential push down to target the next near-term support at 110.85 (minor ascending trendline from 25 Mar 2019 low & minor congestion area of 08 Mar/01 Apr 2019).
  • On the other hand, a break above 111.80 invalidates the bearish tone for a push up to retest 05 Mar 2019 swing high area of 112.10.

AUD/USD – Push up within range in progress


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  • Inched higher as expected and short-term momentum indicator; the hourly RSI oscillator remains in a bullish configuration. Maintain bullish bias with adjusted short-term pivotal support now at 0.7090 (taken into account of last Fri, 05 Apr whipsaw) for further potential push up to target the next intermediate resistances at 0.7150 and 0.7180 (medium-term descending range resistance from 03 Dec 2018 high & 0.764 Fibonacci projection of the bounce from 08 Mar 2019 low to 21 Mar 2019 high projected from 02 Apr 2019 low).
  • On the other hand, failure to hold at 0.7090 negates the bullish tone for a slide to retest the 0.7060 minor range support in place since 20 Mar 2019.

Charts are from eSignal








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