Morning Report
The pair is unable to surpass the resistance level at 1.2795, where we cannot see any 4-hour closing above this level since the start of this week. But, the pair is still stable above the exponential moving averages 20 and 50 around 1.2745, while Stochastic provides a positive crossover above the 50-point level. These factors suggest that the pair could provide another bullish attempt today. The pair faces two technical barriers; the first one is the descending main resistance level at 1.2840, followed by the level of 1.2875. The upside move could be limited unless the pair was able to breach these levels. Our positive expectations require consolidation above 1.2665 with a daily closing.
The trading range for today is among the major support at 1.2535 and the major resistance at 1.2955.
The short-term trend is to the downside with steady daily closing below 1.3145 targeting 1.2220.
**New York Candlesticks**
| Support | 1.2740 | 1.2700 | 1.2665 | 1.2620 | 1.2570 |
| Resistance | 1.2795 | 1.2820 | 1.2840 | 1.2875 | 1.2900 |
| Recommendation | Based on the charts and explanations above, our opinion is buying the pair around 1.2740, and take profit in stages at (1.2840 and 1.2955) and stop loss with 4-hour closing below 1.2665 might be appropriate today | ||||
Great British Pound (GBP)
Morning Report
After retesting the previous broken support of the descending triangle pattern as projected, the pair has slipped sharply forming a long upper shadow as seen on the main daily chart. Having a look at the four-hour graph will confirm the solidity of the above mentioned level around 1.5420 since the chart has drawn a shooting star pattern-secondary image- that may assist bears to continue their southern trip retargeting 1.5230 zones followed by 1.5125 later. To recap, our bearish scenario remains valid over intraday basis.
The trading range for today is among key support at 1.5125 and key resistance at 1.5555.
The general trend over short term basis is to the downside, targeting 1.4225 as far as areas of 1.6875 areas remain intact.
| Support | 1.5270 | 1.5230 | 1.5180 | 1.5125 | 1.5075 |
| Resistance | 1.5370 | 1.5420 | 1.5490 | 1.5515 | 1.5555 |
| Recommendation | Based on the charts and explanations above our opinion is, selling the pair around 1.5370 targeting 1.5125 and stop loss above 1.5555 might be appropriate. | ||||
Japanese Yen (JPY)
Morning Report
The pair has found a solid support at 76.4% Fibonacci retracement of the wave from 75.50 to 79.50 but the negative pressure continued seen on trend indicators. Stochastic continues moving towards oversold areas creating a contradiction with trend indicators. To conclude, the neutral stance remains unchanged over intraday basis until USD/JPY clears one of the two pivotal levels 61.8% and 76.4% of the aforesaid wave.
The trading range for today is among key support at 75.80 and key resistance now at 77.90.
The general trend over short term basis is to the upside, targeting 87.45 as far as areas of 75.20 remain intact.
| Support | 76.60 | 76.40 | 76.10 | 76.00 | 75.80 |
| Resistance | 76.95 | 77.10 | 77.30 | 77.55 | 77.90 |
| Recommendation | Based on the charts and explanations above our opinion is, staying aside as risk versus reward ratio is too high today. | ||||
Swiss Franc (CHF)
Morning Report
Fibonacci of 50% was able to stop the pair's negative momentum yesterday, where we find 61.8% Fibonacci correction at 0.9415 and the support level at 0.9400 remained intact. This suggests another bullish attempt today, but there are some negative signs on momentum indicators, and the pair is stable below the exponential moving average 20 and 50. Therefore, consolidation above 0.9485 again is required to support the return of the positivity. A breach of 0.9400 is a bearish sign.
The trading range for today is among the major support at 0.9300 and the major resistance at 0.9660.
The short-term trend is to the upside with steady weekly closing above 0.8850 targeting 0.9950.
**New York Candlesticks**
| Support | 0.9450 | 0.9415 | 0.9400 | 0.9365 | 0.9300 |
| Resistance | 0.9485 | 0.9520 | 0.9575 | 0.9590 | 0.9660 |
| Recommendation | Based on the chart and explanations above, our opinion is buying the pair above 0.9450, and taking profit in stages at (0.9600 and 0.9740) and stop loss with a daily closing below 0.9400 might be appropriate | ||||
Canadian Dollar (CAD)
Morning Report
The pair is trading narrowly, which drives us to move into the 4-hour interval to define the pair's intraday trend. We find the pair is forming a Butterfly harmonic pattern, which should be completed in areas around 1.0010-00, where this level represents 127.2% Fibonacci of the suggested XA leg and less than 200% of the BC leg, therefore the pattern is ideal if completed. Any trading below 1.0255 suggests a downside movement today, but we prefer consolidation below 1.0205 to confirm our bearish outlook. Stochastic provides now a negative crossover, which supports our negative expectations.
The trading range for today is among the major support at 0.9970 and the major resistance at 1.0275.
The short-term trend is to the downside as far as 1.0665 remains intact targeting 0.9000.
**New York Candlesticks**
| Support | 1.0140 | 1.0100 | 1.0070 | 1.0025 | 1.0000 |
| Resistance | 1.0185 | 1.0205 | 1.0255 | 1.0275 | 1.0305 |
| Recommendation | Based on the charts and explanations above, our opinion is selling the pair around 1.0185, and take profit in stages at (1.0070 and 1.0010) and stop loss with 4-hour closing above 1.0275 might be appropriate | ||||
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