Market News & Analysis

Top Story

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

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

click to enlarge chart

  • 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

click to enlarge chart

  • 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

click to enlarge chart

  • 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

click to enlarge chart

  • 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

Join our live webinars for the latest analysis and trading ideas. Register now

From time to time, GAIN Capital Limited’s (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material.

As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed.