Short Term Technical Analysis for Majors (07:00 GMT)

Short Term Technical Analysis for Majors (07:00 GMT)

Postby WindsorBrokers » Tue Jul 02, 2013 5:59 am


The Euro consolidates recent losses, trading above 1.2980, daily cloud top, where basing attempt is becoming evident. Bounce above 1.3000 that retraced over 61.8% of last Friday’s sharp fall from 1.3102 to 1.2990, improves hourly structure, however, the price remains within the consolidative range. Bullish divergence on 4-hour chart signals possible stronger rally that requires break and daily close above 200DMA at 1.3070 and clearance of 1.3100 barrier, to confirm base and allow for further correction towards 1.3148/99, Fibonacci 38.2% and 50% retracement of 1.3414/1.2983 fall. On the other side, failure to break above 1.3100 would signal further sideways trade and keep the downside at risk.

Res: 1.3069; 1.3102; 1.3148; 1.3200
Sup: 1.3048; 1.3020; 1.3000; 1.2983



Cable enters short-term sideways trade, consolidating above fresh 3-week low at 1.5164. Initial barriers at 1.5280/1.5300, 100DMA / daily cloud top stay intact for now, as short-term indicators hold in the negative territory. This keeps the downside vulnerable, as violation of 1.5164 would trigger fresh weakness towards 1.5100. Conversely, penetration through 1.5300, would be seen as initial signal of possible stronger correction, with regain of 1.5345, 27/06 high, required to confirm.

Res: 1.5248; 1.5277; 1.5300; 1.5342
Sup: 1.5200; 1.5164; 1.5109; 1.5032



The pair continues to trend higher, as three consecutive days of higher closing, followed consolidative phase, showed by last week’s triple Doji. The price approaches initial target and psychological barrier at 100.00, also near Fibonacci 61.8% of 103.72/93.78 fall, with upper targets being in focus. Short-term studies remain positive, with 4-hour RSI / MACD bearish divergence, suggesting possible hesitation ahead of important 100 resistance. Supports at 99.00/98.70 are seen as ideal reversal point of any stronger dips, with break above 100.00 barrier, expected to open 100.45, 06/06 high and 101.00, round figure resistance.

Res: 99.85; 100.00; 100.45; 101.00
Sup: 99.50; 99.00; 98.70; 98.51



The Aussie dollar fell below 0.9200 after the short-term corrective phase, off 0.9100 zone, was capped at 0.9250, 61.8% retracement of 0.9343/0.9111. Weakened hourly technicals see increased downside risk as 4-hour studies are still negative. Break above initial 0.9250 barrier is required to revive bulls, while clearance of 0.9343, last week’s high and near 50% retracement of larger 0.9555/0.9111 fall, would spark further recovery and open next targets at 0.9385/0.9400. Otherwise, return to 0.9100 base and possible resumption of the larger downtrend would be the likely scenario, as larger picture bears remain fully in play.

Res: 0.9200; 0.9230; 0.9281; 0.9300
Sup: 0.9150; 0.9111; 0.9050; 0.9000

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