EURUSD
RESISTANCE 1 RESISTANCE 2 SUPPORT 1 SUPPORT 2
1.2450 1.2500 1.2360 1.2260
Yesterday’s move lower did test but failed to breach the 1.2357 level being the low of November 7. This led to a good rally taking place during Monday’s London and New York trading sessions.
Although it would now appear that on a daily chart basis that EURUSD is attempting to put in a double bottom the down move has been so aggressive and that a great deal more confirmation is required before I can safely say that the daily trend is turning from down to up.
On an intraday 1 hour basis EURUSD continues to trade in a down trend following the breach of the 1.2500 area which equates to the swing low of November 19.
A continuation of the trend lower could take EURUSD to support levels of 1.2360 and then 1.2260.
Alternatively a breach and 1 hour close above the 1.2450 level which coincides with the current swing high would technically change the trend on a swing basis to up.
The upside targets are 1.2500 and 1.2570.
GBPUSD
RESISTANCE 1 RESISTANCE 2 SUPPORT 1 SUPPORT 2
1.5715 1.5740 1.5675 1.5625
GBPUSD continues to trade in a strong aggressive down trend however the price action over the past two weeks has been in consolidation mode.
There are aspects of a possible daily double bottom forming around the 1.5590 level. It would be of interest to see if GBPUSD can kick higher from the current level and enter a period of upside correction that takes the price action into major daily resistance at the 1.5800 area.
The 1 hour chart of GBPUSD is currently experiencing some choppiness as the price action trades above the key 1.5600 level.
In terms of swings the 1 hour trend has been positive since the breach and close above the 1.5675 swing high.
A continuation of the move higher could possibly take GBPUSD up to the 1.5715 and 1.5740 levels.
Alternatively a successful test of the 1.5675 support level could see GBPUSD trade down to the 1.5625 level.
This (1.5625) level equates to the area of the prior swing low. A breach of this level would therefore effectively change the intraday trend from up to down.
USDJPY
RESISTANCE 1 RESISTANCE 2 SUPPORT 1 SUPPORT 2
118.60 119.00 117.35 116.30
Tokyo continues to be the centre of a great deal of economic news and this is driving the action on USDJPY.
USDJPY has had a meteoric rise however the price action over the past few days has been stuck stubbornly beneath the 118.98 which if the recent high.
Dropping down to the 1 hour chart USDJPY continues to trade in an intraday up trend however the bulls might have concerns that this up move is running out of steam at least for the time being.
The reason for this is that it might appear that USDJPY is attempting to put in place a near term top and a lower high swing.
If the upside bias is to continue confirmation of this is required by USDJPY breaching the 118.60 level with any follow through resulting in a test of the 119.00 high.
Alternatively a failure to trade higher could see USDJPY trade back down to the 117.35 support level. A breach of this level will technically change the trend from up to down as the 117.35 levels corresponds with the most recent higher low swing.
USDCHF
RESISTANCE 1 RESISTANCE 2 SUPPORT 1 SUPPORT 2
0.9730 0.9745 0.9660 0.9550
Over the past few trading sessions USDCHF has experienced a text book pullback and bounce higher as the price action traded within a daily uptrend.
On an intraday basis USDCHF is trading within an intraday up trend. The current upside targets for USDCHF being the 0.9730 and 0.9745.
Alternatively a breach and close beneath the 0.9660 support level would technically change the trend to down.
Further downside targets are 0.9605 and 0.9550.
XAUUSD
RESISTANCE 1 RESISTANCE 2 SUPPORT 1 SUPPORT 2
1208.00 1222.00 1192.50 1186.50
Gold is trading in daily down trend however the recent price action has seen the price action experience somewhat of a strong corrective rally.
This has prompted some market analysts to predict that the down trend in Gold maybe coming to an end.
Technically although the recent up move in XAUUSD has been impressive the daily trend continues to point stubbornly down and this retracement has done nothing more than push back Gold to an area of Fibonacci resistance and a zone for potentially shorting this metal.
However that the recent price action has been bullish and to ignore this strong pullback would probably be a mistake. Especially if one was to consider the opportunities that present themselves on the intraday time frame.
On a 1 hour basis XAUUSD is technically trading in an uptrend on a 1 hour swing basis with the current upside targets being 1208.00 and then 1222.00.
Alternatively a successful test of the 1192.50 level would breach the prior higher low swing and technically change the trend to down.
The down side targets for XAUUSD being 1186.50 and 1181.00.
OILUSD
RESISTANCE 1 RESISTANCE 2 SUPPORT 1 SUPPORT 2
77.00 77.90 75.40 74.75
Oil has over the past few days traded off its yearly lows as the market awaits news from OPEC and the plans for future production levels.
On an intraday basis the 1 hour chart is showing signs of weakness as the price action has now breached a prior higher low at the 75.84 level and put in a lower high swing.
A continuation of the move lower could see Oil test the 74.40 level and then go on further to test the 74.75 and 74.15 levels.
Alternatively an agreement on production quotas could see Oil test the 77.00 level being the current 1 hour swing high and then go on to test the 77.90 level.