Yen Pushed To The Downside; Euro Declines Below 1.1220
ICN.com | May 24, 2016 05:56AM ET
USD/JPY
USD/JPY has been resisted as well in the 110.50 regions, which pushed it strongly to the downside, clearing 109.80-109.60 supports yesterday with a daily closing below them.
ADX shows clear bearish tendencies while RSI is turning downwards, and that could assist bears to resume the bearishness.
Another breakout below 108.90 followed by 108.60 will be a good sell signal over short-term basis.
We will be bearish today, aiming to re-test SMA20 at 108.40 first.
Support: 109.20-108.90-108.40
Resistance: 109.80-110.30-110.60
Direction: Bearish
USD/CHF
USD/CHF started to comply with the overbought signals on momentum indicators and RSI14 in particular, moving mildly to the downside.
Also, ADX started to reflect some kind of corrective tendencies, but trading above 0.9850 and 0.9825 regions prevent us from being bearish now.
The aforementioned supports could be strong enough to prevent the pair from collapse. On the other side, we need to see the pair trading above 0.9925 steadily to make sure that traders will ignore the overbought signals on momentum indicators.
We will be neutral now as risk versus reward ratio is inappropriate.
Support: 0.9860-0.9805-0.9780
Resistance: 0.9945-0.9980-1.0000
Direction: Neutral
EUR/USD
Euro declined below 1.1220 despite the weak movements, which keeps the bearishness available today.
The intraday bearishness targets 61.8% Fibonacci at 1.1125-1.1120, as a break below this level will affirm.
On the upside, a break above 1.1315 will cause failure, but we prefer to see the pair trading below 1.1285.
Get The News You Want
Support: : 1.1170 – 1.1125 – 1.1075
Resistance: 1.1220 –1.1285 – 1.1320
Direction: Bearish
GBP/USD
GBP/USD faces 1.4500, but it couldn’t trade below it, which is a negative catalyst since trading remains below SMA20 and SMA50.
The bearishness is valid today, but we need to see a break below 1.4435 to prove the bearishness on ADX and RSI.
On the upside, coming above 1.4555 will give us a reason for concern.
Support: 1.4435 – 1.4385 – 1.4330
Resistance:1.4500 – 1.4555 – 1.4605
Direction: Bearish
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.