EUR/USD

Remains steady above 1.3723, day’s low, with regain of 1.3800 handle turning the near-term focus higher. Hourly indicators are emerging above midlines, with clearance of 1.3830, yesterday’s high, to open key short-term barriers at 1.3850/70. Hourly 20 day MA at 1.3765, underpins the recent advance, as markets await more news from Italy.

Res: 1.3830, 1.3850, 1.3870, 1.3900
Sup: 1.3800, 1.3754, 1.3723, 1.3710

GBP/USD

Maintains near-term positive tone, with today’s rally touching initial target at 1.6100. Sustained break here to open way for fresh gains and test of key barriers at 1.6140/64, 20 day SMA / 31 Oct previous high that were capping the short-term price action. Clearance of the latter faces 1.6180, Fib 61.8% of 1.6745/1.5271 decline, next. Immediate supports lies at 1.6050/34, while only below 1.6000 weakens near-term structure.

Res: 1.6100, 1.6151, 1.6164, 1.6180
Sup: 1.6050, 1.6034, 1.6000, 1.5978

USD/JPY

Break below 78.00 handle weakens the near-term structure, as losses also dented strong support level at 77.75, 31 Oct low. This risks further weakness and possible return to the previous Aug/Oct 76.00/77.00 range, however, oversold hourly / 4-hour RSI, suggests corrective bounce. Only sustained break above 78.00/25 would improve near-term outlook.

Res: 78.00, 78.24, 78.40, 79.00
Sup: 77.70, 77.55, 77.26, 77.00

USD/CHF

Trades in near-term corrective mode after posting fresh high at 0.9066 today, just ahead of our initial target at 0.9081. Loss of strong support at 0.8957, would risk further reversal. The pair is currently in a fifth wave from 0.9066 and according to the wave principles, support should be found at 0.8900, previous high of 04 Nov, also near fib 50% of 0.8760/0.9066 upleg. Loss of 0.8900 handle, however, would temporarily sideline bulls and open way for stronger correction of 0.8566/0.9066 ascend.

Res: 0.8962, 0.8993, 0.9032, 0.9066
Sup: 0.8915, 0.8900, 0.8868, 0.8835