Technical Outlook for majors 27/12/2016

Technical Outlook for majors 27/12/2016

EURUSD

EUR trades yesterday in a sideway as a result of Christmas holidays with low liquidity, traded in a very narrow range which didn’t exceed 30 pips.

Hourly studies are mixed give a neutral signal, we need a real sustained break in whether up or down to confirm near- term trend .

Overall bearish structure keeps focus at the downside but in danger becausedaily tenkan-sen line is down to 1.0444 also the20 SMA is at 1.0548 which should keep the upside protected for now but we need break below 1.0350 to confirm the downtrend to open the way for fresh low at 1.0280.

Conversely, sustained break above 1.0548 barrier(20 SMA) might be reversal signalwhich will open the way towards strong barriers at 1.0611 (daily kijun-sen line)with extension at 1.0650.

Res : 1.0470 , 1.0510 , 1.0550 , 1.0610

Sup : 1.0370 , 1.0350 , 1.0280 , 1.0220

GBP/USD

Despite the low liquidity on Christmas holidays, and after bouncing from 1.2227 (last Friday’s low) cable still under pressure with trading under the cloud.

Pair trades in a sideway, hourly studies are mixed give a neutral signal with negative signal at stochastic and MACD but in the other hand we have a positive signal at Momentum after it crossed up level 100.

On daily studies overall bearish structure stays intact under cloud at 1.2432 which keep the downtrend protected for now with Daily Tenkan-senline at 1.2396 and scoop is seen for fresh lows below 1.2227 to open way for 1.2160 then 1.2090.

Conversely, very strong barrier lies at 1.2400/30 (55SMA & tankan-sen line and cloud bottom) sustained break of this level we might have reversal signal which will open the way for 1.2500 (kijun-sin line)

Res: 1.2325 , 1.2375 , 1.2400 , 1.2430

Sup: 1.2250 , 1.2160 , 1.2090 , 1.1990

gbpusd-27-12

USDJPY

USD/JPY trades sideway nearest to 118.65 highest price in 11months , of course , the pair is affected by Christmas holidays with low liquidity, therefore it’s expected to continue the weak trading until the end of the week.

Hourly studies are mixed with no any valid signal. The pair is trading below 20 EMA but there are positive signals at MACD and stochastic.

On daily studies overall bullish structure stays intact but showed some warning signs with a break of tenkan-sen line at 117.59 but the price is still near to it, there are overbought signals at stochastic and RSI indicatingthat the pair need some correction moves, a clear break above 117.59 open the way to retest 118.65.

Conversely, key n/t barrier lies at 115.88 (20 SMA) sustained break we might have a reversal signal which will open the way for 114.45 (daily kijun-sen line).

Res: 117.60 , 118.65 , 119.25 , 120.20

Sup: 117.00 , 116.70 , 116.00 , 115.65

usdjpy-27-12

AUDUSD

Aussie took advantage of US Market absence and makea correction move yesterday but is still under pressure and pulled back at the end of the day.

Hourly studies are mixed but tend a little bit to downside with a negative signal at Momentum and MACD beside the overbought signal at stochastic.

Overall bearish structure stays intact on daily studies and strong resistance lay at 0.7293 daily tenAnchorkan-sen line which keep upside protected for now, we need a clear break below 0.7155 in order to have valid bearish signal with extension towards 0.7110.

Conversely, sustained break above zone 0.7293 (daily tenkan-sen line) will open the way towards 0.7355 (20 SMA with extension towards) 0.7450.

Res: 0.7255,0.7290, 0.7350, 0.7380

Sup: 0.7170, 0.7155,0.7080, 0.7020

audusd-27-12

 , Daily Market Outlook