Technical Outlook for Majors 11/10/2016

Technical Outlook for Majors 11/10/2016

EURUSD
The Euro returned to weakness and fell back under daily cloud, unable to sustain last Friday’s rally. Gains were capped under strong resistances at 1.1215 zone (daily Kijun-sen / cloud top), ahead of fresh easing.
Overall structure is bearish, with negative signals being generated on yesterday’s close below 200SMA / daily cloud base. Fresh weakness retested Friday’s low and firm break here is needed to signal bearish resumption towards next targets at 1.1045 (05 Aug trough) and psychological 1.1000 support. Daily close below 1.1108 (Fibo 61.8% of 1.0950/1.1365 rally) will confirm strong bearish stance.
Upticks are expected to hold below daily cloud base / Tenkan-sen line at 1.1167/75 zone.
Euro’s bearish sentiment requires confirmation from hawkish Fed minutes, due on Wednesday.

Res: 1.1141; 1.1167; 1.1175; 1.1215
Sup: 1.1103; 1.1045; 1.1000; 1.0950

eurusd-11-10

GBPUSD

Cable remains in red for the second day, after post-Friday’s flash crash recovery stalled at 1.2475. The pair continues to head lower from 1.275 highs, where hourly double-top was formed. British pound’s sentiment remains negative of hard Brexit fears, with technical studies also being in firm bearish mode and so far ignoring oversold readings on larger timeframes.
Today’s fresh weakness probes below 1.2292 (Fibo 38.2% of 1.1997/1.2475 recovery), which marks the first trigger, ahead of 1.2225 (last Friday’s intraday low) and 1.2180 (Fibo 61.8% retracement. Break below the latter will confirm bears and re-expose psychological 1.2000 support.
Thin hourly cloud at 1.2370 zone marks minor resistance, ahead of yesterday’s high at 1.2440 and pivotal 1.2475 barrier, break of which would trigger further upside action towards 1.2526 (daily Tenkan-sen) and 1.2590 (broken former bear-channel support).
Res: 1.2370; 1.2440; 1.2475; 1.2520
Sup: 1.2276; 1.2225; 1.2180; 1.2110

gbpusd-11-10

USDJPY

Fresh strength that emerged from 102.80 zone (where last Friday’s pullback found support), retests 104.00 barrier and eyes key resistances at 104.30/43 (02 Sep high / Fibo 61.8% of larger 107.47/99.52 descend).
Thick daily cloud (spanned between 102.04 and 103.50) continues to underpin the action, after the price emerged above, following false break below cloud top on Friday.
Break and close above 104.43 barrier is needed to confirm bullish resumption and open next targets at 105.00 and 105.60 (Fibo 76.4%).
Cloud top offers good support, ahead of Fri/Mon lows at 102.80, which are expected to contain extended dips.

Res: 104.30; 104.43; 105.00; 105.60
Sup: 103.50; 102.80; 102.10; 101.61

usdjpy-11-10

AUDUSD
Aussie fell sharply today and hit nearly three-week low at 0.7538, on fresh bearish acceleration that came after two-day directionless trading that was shaped on double long-legged Dojis. Daily studies are turning into full bearish mode, with fresh extension of the downleg from 0.7708 (29 Sep high), probing below the pivot at 0.7542 (Fibo 61.8% of 0.7440/0.7708 rally) and eyeing next strong point at 0.7530 daily cloud base). Close below here will confirm strong bearish stance for further retracement of 0.7440/0.7708 ascend and open targets at 0.7503 (Fibo 76.4%) and 0.7476 (19 Sep low).
Broken daily Kijun-sen line now offers initial resistance at 0.7585, ahead of daily cloud top at 0.7606, which marks the upper pivot and daily Tenkan-sen line at 0.7623.
Res: 0.7567; 0.7585; 0.7606; 0.7623
Sup: 0.7530; 0.7503; 0.7476; 0.7440

audusd-11-10, Daily Market Outlook