EURUSD
The pair managed to breach support for the minor bullish channel due to the negative effect from momentum indicators on the four-hour chart. Meanwhile, trading is below SMA 50 is adding more pressure on the pair, which could push it towards pivotal support 1.2210 forming the suggested neckline for the bearish technical pattern that is currently forming.
From here, we warn of
the importance of trading for support level 1.2210 that will lead to its breach could initially reach 1.2070 and resistance 1.2300, where the scenario’s breach bullish technical pattern on the larger image above shown yesterday.
The trading range for today is among the key support at 1.2080 and the key resistance at 1.2470.
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The short term trend is to the downside as far as 1.3770 remains intact with targets at 1.1700.
GBPUSD
The pair pushed to the upside and continues trading within the bullish short term channel in an attempt to reach resistance for the bearish short term trend at 1.5230. Some bearish correction is expected due to the negative effect of momentum indicators before heading towards
continuing the expected bullish intraday direction that targets the mentioned resistance level. The breach of 1.5025 could reverse today’s direction into a bearish one.
The trading range for today is among the key support at 1.4960 and the key resistance at 1.5230.
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The short term trend is to the downside as far as 1.5590 remains intact with targets at 1.3800.
USDJPY
The pair managed to breach vital support for the short term direction that has currently turned into resistance at 89.25. Signs of a bearish technical target are showing as its neckline is at 88.95, where the pair is insuring the completion of this pattern; therefore, we
can expect a bearish trend today as its technical targets start at 88.00 then 87.30. Keep in mind that achieving this scenario requires a base to be built below 89.25.
The trading range for today is among the key support at 87.30 and the key resistance at 89.70.
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The short term trend is to the downside as far as 101.65 remains intact with targets at 82.60.
USDCHF
Key support 1.0825 maintained its stance in front of the pair’s attempts yesterday to descend, accompanied by positive signs appearing through momentum indicators; thus, the suggested bullish rebound mentioned yesterday will be activated. These factors make us
expect a bullish intraday direction that targets first are around 1.0970. Keep in mind that the breach of 1.0825 will cause the suggested bullish rebound to fail.
The trading range for today is among the key support at 1.0790 and the key resistance at 1.0970.
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The short term trend is to the upside as far as 1.0200 remains intact with targets at 1.2295.
USDCAD
The pair was not able to build a base below pivotal support 1.0330 as it pushes upwards due to the positive momentum appearing on momentum indicators since yesterday. These factors, alongside stability above SMA 100, are factors that make us
expect a bullish direction for today that targets retesting support for the previously breached bullish direction that has currently turned into resistance at 1.0495. In return, keep in mind that this scenario will prevail if we do not witness the four-hour closing below 1.0330.
The trading range for today is among the key support at 1.0265 and the key resistance at 1.0495.
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The short term trend is to the upside as far as 0.9925 remains intact with targets at 1.1485.
By: Yasir Mubarak
Senior Technical Analyst
[email protected]
www.ecpulse.com
