The supports at 1.5020-1.4990 were breached, so the “Bears” managed to check up the next formerly mentioned targets at 1.4920/00. Moreover, they also attempted to breach further downward, though the price has already been stopped at 1.4870/75. Now it’s rolling back upward and currently resides at 1.4890/1.4900. The support at 1.4870 coincides to the trend line of the upgrading channel (the blue lines). This means a significant strengthening of its endurance and gives a handle for some revision of presumptions of the continuation of the “bearish” trend. In other words, there’s every reason to beware of the renovation of the raise, which will be targeted to achievement of the new local maximum probably at 1.5170/80 or even 1.5230/50. Meanwhile, the downgrading trend may be gone ahead, of course. Both the breach and the price fixation below the broad range of the support at 1.4870-1.4780 will prove it in a nice way. In this case the presumptions of the long-term “bearish” trend’s renovation will be relevant again.
EUR/USD: Technical Analysis
The first attempts to fix above the resistance at 1.2250 failed, the price rolled back downward and got the support at 1.2210/05. At the very moment, however, the steady upturn of the pair is observed; the price currently resides at 1.280/90 and intends to go ahead rising most likely. In other words, the “bullish” scenario is being implemented at the point. That may cause the checkup of the new local maximums. To this effect, though, the “Bulls” should fix above the resistance at 1.2340/50, which coincides to the line of the short-term downgrading trend (the blue lines) and so strengthens due to it. The indicators demonstrate the change of attitude at the moment by means of R% only; whereas both SS and MACD go ahead favoring downgrade. This environment encourages the presumptions of ambiguity. For proper trading scheduling it’s obviously necessary to wait for one of two events – either the breach of the resistance at 1.2340/50 or price decrease below 1.2250/60. The ultimate sign of the “bearish” trend’s renovation will be the breach of that very support at 1.2150/60/40. On the contrary, the development of the upturn will come across the powerful resistance at 1.2430/60.
USD/JPY: Technical Analysis
The forecasts of the sideways consolidation are currently coming true as the price still resides above the support at 88.20/30. However, the attempt of the breach has already been made as the “Bears” marked 88.10/05, and the price currently resides at 88.40/30. The formerly made presumptions keep their relevance i.e., the high probability of the price decrease till the new annual minimums at 87.70 and 87.30/40 is still maintained. Meanwhile, the consolidation within the previously formed range hasn’t obviously accomplished still yet. That’s why the trading is probably going to stay between the edges: top – 88.60/80 and bottom – 88.20/30.
Analysis by: www.Forex4you.com written by Arkady Nagiev
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