Daily FX Technical Trend Bias/Key Levels (Wed 17 Apr)

Mix bag with EUR/USD and USD/JPY holding above supports within respective bullish configurations

EUR/USD – Still holding above support for potential residual push up

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  • Inched down lower from its 1.1324 high printed on last Fri, 12 Apr but managed to hold the 1.1280 key short-term pivotal support as per highlighted in our previous report (click here for a recap). In addition, the 1-hour Stochastic has started to reverse up from its oversold region. No change, maintain bullish bias and a break above 1.1310 (minor descending resistance from 12 Apr high) is likely to see a potential residual push up to target 1.1340/1350 (medium-term descending resistance from 24 Sep 2018 high & 61.8% Fibonacci retracement of the previous slide from 20 Mar 2019 high to 02 Apr 2019 low) before another slide materialises.
  • However, a break with an hourly close below 1.1280 shall invalidate the push up scenario for a slide towards 1.1245 before the medium-term range support of 1.1175.

GBP/USD – Push down within range

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  • Broke below the former minor ascending range support from 05 Apr 2019 as expected and drifted lower to print a current intraday low of 1.3032 in today Asian session. Given that the 1-hour Stochastic oscillator has reached its oversold region, it may see a bounce from here to retest 1.3080 (pull-back resistance of former minor ascending range support) with 1.3120 remains as the key short-term pivotal resistance before another round of potential slide materialises to target the 1.2980/2960 minor range support in place since 11 Mar 2019 in the first step.
  • However, a clearance with an hourly close above 1.3120 negates the bearish tone for a further push up towards the next intermediate resistance at 1.3190 (former ascending range support from 03 Jan 2019 low & minor descending trendline).

USD/JPY – Rise in progress

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  • Shaped the expected positive movement as per highlighted in our previous report where it staged a bullish breakout from a minor “flag” range consolidation formed since 112.10 high printed on last Fri, 12 Apr U.S session in today’s early morning Asian session.
  • No change, maintain bullish bias with an adjusted short-term pivotal support for a further potential push up to target the next intermediate resistances at 112.50 and 112.95 next (Fibonacci expansion cluster & close to the medium-term descending resistance from 03 Oct 2018 high).
  • However, a break with an hourly close below 111.80 negates the bullish tone for another round of slide to retest the 110.85 support.

AUD/USD – Mix elements

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  • Maintain neutrality stance between 0.7200 and 0.7130. A break below 0.7130 sees a further push down to retest the 0.7060 minor range support in place since 20 Mar 2019.
  • On the flipside, a clearance with an hourly close above 0.7200 opens up scope for a bullish range breakout to target the next intermediate resistance at 0.7290 (31 Jan/01 Feb 2019 swing high area) in the first step.

Charts are from eSignal

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