Wednesday’s Technical Report: USD/JPY, EUR/USD, USD/CHF, GBP/USD
The pair has moved sharply to the downside after being resisted at the initial resistance of 124.50 as seen on the provided daily chart.
USD/JPY Daily Chart
Currently, SMA50 acts as a support, but yesterday’s bearish engulfing candlestick should bring additional debasement.
A break below 123.40 could assist bears to resume the bearish actions, while 124.50 should act as a stop loss for any short positions.
Direction: Bearish below 123.40
EUR/USD has soared yesterday and traders succeeded in achieving stability above SMA20 and is currently attacking SMA50 along with 50% Fibonacci at 1.0965.
EUR/USD 4-Hour Chart
A breakout above 1.0965 would trigger a new upside wave and therefore, we will be waiting for this breakout to long the pair.
On the downside, coming below 1.0845 will cause failure for the upside wave.
Support: 1.0900 – 1.0845 – 1.0800
Resistance: 1.0965 – 1.1000 – 1.1085
Direction: Bullish above 1.0965
The strong bearish movements seen yesterday didn’t change the signals on ADX and RSI14 as it should be.
USD/CHF Daily Chart
The USD/CHF is still stable above the key support level of 0.9540, which is the decisive level in determining the trend.
Thereby, we will be neutral due to the contrarian between the candle structure and indicators’ signs, while a break below 0.9540 will be a bearish signal for intraday trading.
GBP/USD attempts to move higher once again although inclines are still limited below 1.5450 resistance. ADX remains weak and that should change to affirm resuming the recovery.
GBP/USD 4-Hour Chart
Stability above moving averages encourages us to be bullish as far as 1.5510 holds, while coming below 1.5470 will cause failure.
Support: 1.5600 – 1.5555 – 1.5500
Resistance:1.5650 – 1.5700 – 1.5755