EUR/USD Trying to bounce
EUR/USD is bouncing on support at 1.2223 (23/01/2018 low). Support is located at 1.2190 (15/01/2018 base low). Hourly resistance can be found at 1.2297 (15/01/2018 high). The technical structure suggests further short-term downside moves.
In the longer term, the momentum is turning largely positive. We favor a continued bullish bias. Key resistance is holding at 1.2886 (15/10/2014 high) while strong support lies at 1.1554 (08/11/2017 low).
GBP/USD Base support holding
GBP/USD has successfully challenged support at 1.3830 and is bouncing higher. Hourly resistance can be found at 1.4067. The technical structure suggests further potential downside move.
The long-term technical pattern is reversing. The Brexit vote had paved the way for further decline but the pair is moving to 2016 highs. A long-term support given at 1.1841 (07/10/2017 low) and a strong resistance at 1.5018 (24/06/2016 high) are identified.
USD/JPY Monitor the support at 108.33
USD/JPY remain weak. Although the support at 1108.33 is intact thus far, we suspect a limited upside potential in the short-term. Hourly resistances can be found at 109.73 (08/02/2018). The technical structure suggests further shortterm downside moves.
We favor a long-term bearish bias. Support is now given at 107.32 (08/09/2017 low). A gradual rise towards the major resistance at 125.86 (05/06/2015 high) seems unlikely. Expected to decline further support at 101.20 (09/11/2016 low).
USD/CHF Grinding higher
USD/CHF has broken the key resistance at 0.9449 (25/01/2018). Even if the declining trendline remains thus far intact, further strength towards the resistance at 0.9573 (17/02/2018) favoured. Hourly supports now stand at 10.9352 (intraday low).
In the long-term, the pair is still trading in range since 2011 despite some turmoil when the SNB unpegged the CHF. Support at 0.9259 (24/08/2015 low) is attainable. Key support remains at 0.9072 (07/05/2015 low) while resistance at 1.0344 (15/12/2016 high) is distanced. The technical structure favours a long term bullish bias since the unpeg in January 2015.
USD/CAD Bullish momentum
USD/CAD is now trading in the 1.26 range and outreached support at 1.2589 (01/01/2018). New resistance is now at 1.2796 (22/12/2017 high) while further resistance remains at 1.2917 (27/10/2017 high). The technical structure indicates that further short-term rise is expected.
In the longer term, the pair is trading between resistance point at 1.3805 (05/05/2017 high) and support at 1.2128 (18/06/2015 low). Strong resistance is given at 1.4690 (22/01/2016 high). The pair is likely to head lower. The pairs is trading below 200 DMA.
AUD/USD Collapse
AUD/USD has weakened further and is now challenging the support at 0.7733. Hourly resistance at 0.7808 (01/09/2018) is now outpaced. The technical structure suggests further short-term weakness.
In the long-term, the trend is turning flattish and fails reaching key resistance at 0.8164 (14/05/2015 low). Key support stands at 0.6009 (31/10/2008 low). A break of the key resistance at 0.8164 (14/05/2015 high) is needed to invalidate our long-term bearish view.
EUR/GBP Directionless
EUR/GBP is trading lower and moves away from resistance at 0.8929 (12/01/2018 high). Hourly support is at 0.8687 (25/01/2018). The technical structure suggests further short-term downside move.
In the long-term, the pair has largely recovered from lows in 2015. The technical structure suggests further upside pressure. The pair is trading above the range of its 200 DMA. Strong resistance can be found at 0.9500 (psychological level).
EUR/CHF A new phase of weakness is expected
EUR/CHF stabilizes. has broken the key resistance area between 1.1525 and 1.1649. This validates a bearish reversal pattern with an upside potential at 1.1388. Hourly resistance can now found at 1.1593. Next resistance is given at 1.1685 (26/01/2018 high).
In the longer term, the technical structure has reversed. Strong resistance is given at 1.20 (level before the unpeg). Yet, the ECB's slowing QE program is likely to cause buying pressures on the euro, which should weigh in favour of the EUR/CHF. Supports can be found at 1.0184 (28/01/2015 low) and 1.0082 (27/01/2015 low).
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