EURUSD
The Euro holds negative near-term sentiment following dollar-supportive comments from Fed. Friday’s trading ended in long red candle, maintaining downside pressure, established on pullback from 1.1365 (18 Aug high). Also, weekly bearish close after two-weeks of gains, generates bearish signal.
Today’s fresh extension lower touched strong support at 1.1170 (daily cloud top) after cracking converged daily 10, 20 & 30SMA’s support at 1.1200 zone.
Consolidation above daily cloud could be expected, as near-term studies are oversold. Initial resistance lies at 1.1206 (session high), break of which would signal hourly double-bottom for stronger correction.
Former low of 24 Aug at 1.1243 marks next significant barrier, ahead of 1.1270 zone (daily Tenkan-sen / Fibo 61.8% of 1.1339/1.1170 downleg), which is expected to cap extended upticks.
Penetration into daily cloud and slide below daily Kijun-sen line, would generate fresh bearish signal for extension towards daily cloud base at 1.1112
Res: 1.1206; 1.1243; 1.1270; 1.1300
Sup: 1.1170; 1.1157; 1.1112; 1.1069

GBPUSD

Cable remains in red on Monday and probed below 1.3100 handle, on extension of Friday’s fall that was shaped in bearish candle with long upper shadow. Fresh extension lower was so far contained by rising 4-hour cloud top at 1.3082, with consolidation on extended near-term studies not ruled out, before bears resume. Near-term focus shifts towards psychological 1.3000 support after bearish acceleration from 1.3270 zone double-top, cracked 1.3100 support.
Broken daily Kijun-sen now acts as initial resistance and caps for now, with extended rallies expected to face significant resistance at 1.3167 (25 Aug former low).

Res: 1.3136; 1.3167; 1.3200; 1.3231
Sup: 1.3082; 1.3022; 1.3000; 1.2961

USDJPY

The pair is establishing above 102 handle on fresh upside extension of Friday’s strong rally that marks the biggest daily gain since July 12. Positive signals were generated on strong bullish close on Friday, as well as bullish weekly close that come after four weeks in red and forms reversal pattern on weekly chart.
Today’s bullish extension peaked so far at 102.37, with key short-term resistance at 102.64 (lower top of 08 Aug / near Fibo 38.2% of larger 107.47/99.52 descend)), being in near term focus.
Break here is needed to signal fresh extension of recovery phase from 99.52 (16 Aug low), with lift above daily Kijun-sen line at 103.11, to confirm scenario.
However, overbought near-term studies suggest correction ahead of fresh attempts higher. Initial support at 102.00 holds for now, followed by 101.80 (Fibo 23.6% of 100.05/102.37 rally) and 101.48 (Fibo 38.2%), where dips should be ideally contained. Only return below 101 (daily Tenkan-sen / near Fibo 61.8%) would neutralize bulls.

Res: 102.37; 102.64; 103.11; 103.50
Sup: 102.00; 101.80; 101.48; 101.00

AUDUSD
Strong bearish close on Friday generated bearish signal for today’s extension below Friday’s low at 0.7548 (also Fibo 61.8% retracement of 0.7419/0.7758 upleg) that found support at 0.7523 (daily cloud top). Additional pressure was generated from the second consecutive weekly bearish candle with long upper shadow that signals persisting downside pressure.
Top of thick daily cloud is expected to hold for a while, as near-term studies are also oversold, however, limited upside action is seen for now. Initial resistance at 0.7625 (Fibo 23.6% of 0.7690/0.7523 downleg) so far holds, guarding more significant 0.7589 barrier (former low of 22 Aug / Fibo 38.2% / daily Kijun-sen line) which is expected to ideally cap.

Res: 0.7625; 0.7589; 0.7626; 0.7650
Sup: 0.7523; 0.7500; 0.7441; 0.7419

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