Short Term Technical Analysis for Majors (07:45 GMT)

Short Term Technical Analysis for Majors (07:45 GMT)

Postby WindsorBrokers » Mon Nov 23, 2015 6:53 am


The Euro cracked psychological 1.06 support, on extension of last Friday’s bearish acceleration that left bearish outside day. Strong bearish stance is also confirmed by negative weekly close. Firm break below 1.06 handle, is expected to trigger stops and accelerate towards next target at 1.0519, 10 Apr low with key med-term support at 1.0461, Mar 2015 year-to date low, seen in extension.
Limited corrections are expected, with falling daily 10SMA / Tenkan-sen, which maintains month-long descend, offering strong resistance at 1.07 zone, where upticks should be ideally capped.
Only sustained break above 1.0760, last Friday / 16 Nov peaks, would ease strong bearish pressure and allow for extended recovery.
Res: 1.0661; 1.0706; 1.0727; 1.0760
Sup: 1.0599; 1.0560; 1.0519; 1.0461



Cable reversed quickly and left long daily bearish candle on Friday, following last Thursday’s upside rejection at strong 1.5340 zone, daily Ichimoku cloud base / 200SMA. Friday’s action was capped by south-turning daily 30SMA, where tower top was left at 1.5308.
Bearish acceleration closed below daily 10SMA at 1.5206 and so far touched 1.5138, below Fibonacci 61.8% of 1.5025/1.5334 upleg.
Near-term studies turned bearish on current weakness, while daily bears are re-confirmed on return to firm bearish setup of daily MA’s.
The pair is looking for next support at 1.5100, Fibonacci 76.4% level / hourly higher base, the last obstacle on the way to 1.5025, 06 Nov low and psychological 1.5000 support.
Oversold 4-hour slow Stochastic may trigger extended consolidation, with broken daily 10SMA, currently at 1.5205, expected to ideally cap.
Only break above falling daily 20SMA at 1.5246, would sideline near-term bears.

Res: 1.5175; 1.5205; 1.5246; 1.5260
Sup: 1.5138; 1.5100; 1.5025; 1.5000



The pair is gaining traction on bounce from 122.60/70 zone, last Thu/Fri lows and establishes above 123 handle. Fresh rally commenced after bears showed hesitation at 122.60 low, which stayed intact and Doji candle was left on Friday.
Weekly close was also bullish, despite strong selling pressure earlier.
Higher low is now forming at 122.60, for renewed attacks at key 123.74 barrier, peak of 18 Nov, which guards our short-term target at 124.14.
Broken daily 10SMA offers initial support at 123, ahead of 122.60 higher base and pivotal 122.20 higher low, reinforced by rising daily 20SMA.

Res: 123.31; 123.47; 123.74; 124.14
Sup: 123.00; 122.61; 122.20; 121.47


Aussie pulls back below thin daily cloud base at 0.7170, after strong two-day bullish acceleration peaked at 0.7248. Recovery failed to close above 0.7240, Fibonacci 61.8% of 0.7380/0.7014 descend, missing another bullish signal, in favor of corrective pullback.
The pair found footstep at 0.7157, double-Fibonacci support, also former consolidation tops, which should act as ideal support and limit near-term bears off 0.7248.
Slow Stochastic of 4-hour chart is entering oversold territory and could be seen as initial reversal signal. However, regain of minimum 0.72 level, which lies near Fibonacci 38.2% of 0.7248/0.7157, is needed to confirm scenario.
Caution on overbought conditions of daily slow Stochastic and MACD / Momentum studies hovering around the midlines.
Return below 0.7157 will trigger fresh bears and signal extension of reversal from 0.7248.

Res: 0.7200; 0.7240; 0.7265; 0.7300
Sup: 0.7157; 0.7136; 0.7100; 0.7067

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