Euro is being hammered by Italian bond spread yields that finally shot past 7pc. This means the Italian government won’t be able to affront its debts, not to mention, when the yields on Greek, Irish and Portuguese government debt got close to 7pc, those governments had to ask IMF and EU for bailouts, as borrowing in the market was no longer an option. The EUR/USD sell off extended to an intraday low of 1.5384 before bouncing slightly higher, yet risk aversion dominates the scenes, with stocks pointing for a deep red opening in the US and gold playing around $ 1800. Hourly chart, shows indicators still heading south despite in extreme oversold levels, while the bearish momentum is also strong in bigger time frames, supporting more slides for today, towards 1.3550, next strong short term support.
Support levels: 1.3605 1.3550 1.3525
Resistance levels: 1.3640 1.3680 1.3710
Worse than expected trade balance in the UK along with the risk aversion environment sent Pound strongly down mid European session, while the slide extends ahead of US opening. Hourly chart shows price broke below the ascendant channel and already fulfilled its target, with momentum heading lower and 20 SM gaining bearish slope. In the 4 hours chart, the bearish momentum increases, supporting an extension towards 1.5870 in the short term.
Support levels: 1.5920 1.5870 1.5810
Resistance levels: 1.5970 1.6110 1.6150
The USD/JPY extended its slide to the 77.55 price zone, where the 50% retracement of the post intervention bullish run offered support to the pair. Bouncing slightly higher on dollar strength, the pair is now finding resistance around 77.70, 100 DMA. Hourly chart shows indicators heading slightly higher yet momentum is still limited below its midline. 4 hours chart, holds the bearish tone which suggest the upside will likely remain limited today.
Support levels: 77.45 77.20 76.90
Resistance levels: 77.70 78.10 78.35
Approaching weekly high set at 0.9067 past Tuesday, the USD/CHF holds a strong bullish momentum according to the hourly chart. In the 4 hours one, 20 SMA keeps guiding the pair higher as per gaining bullish slope, while indicators lack strength and turn flat above their midlines. However, only a clear break above 0.9085, would help the pair gain enough strength to trigger a clearer bullish rally.
Support levels: 0.9030 0.8990 0.8940
Resistance levels: 0.9080 0.9130 0.9170
New to forex? Visit our Glossary!
Today you will find the term, One-Step-Back.
 |
"Simply a Must Read for Every Serious Forex Beginner" Available at Amazon Now also for Kindle
|
