Since the opening of this week, the USD/JPY didn’t show any big moves, but trading continued below 50% Fibonacci at 120.70 as seen on the provided chart.
Stability below moving averages in addition to RSI14 trading below 50.00 levels and ADX negativity should trigger a new downside wave.
However, we remain on the sidelines due to weak trading behaviors amid vacations of the year-end.
Support: 120.00-119.65-119.40
Resistance:120.70- 121.00- 121.40
Direction: Bearish, but we will avoid trading due to lackluster of liquidity.
USD/CHF has inched higher yesterday according to our last update, but it remains stuck below the 0.9950 resistance zones.
Moving above SMA20-green- is appositive signal, but we can’t depend on it alone today due to RSI moving below 50.00 levels.
We need to see the pair stabilizing above 0.9945 to be bullish amid low volume and calm trading conditions to affirm the strength of the 0.9850 support.
To conclude, we will be neutral today and we will be waiting for a breakout above 0.9945 before taking any action.
Support: 0.9880.-0.9850-0.9805
Resistance: 0.9945-0.9975-1.0000
Direction: Bullish above 0.9945
EUR/USD trades below SMA20, hovering around 1.0930, while ADX attempts to achieve positive signal although RSI trades below 50.00.
Moreover, the pair has breached the support line yesterday and thus, we need to witness a breakout below 1.0890 to be bearish; otherwise, we will watch out the price behaviors.
Support: 1.0890 – 1.0850 – 1.0785
Resistance: 1.0960 –1.0990 – 1.1030
Direction: Bearish below 1.0890
GBP/USD has been trapped below moving averages and below 113% Fibonacci, but above 1.4795, which is the key for today’s trading.
A break below 1.4795 will extend the bearishness despite low volumes, while only a break above 1.4935 will give reason for concern.
Support: 1.4795 – 1.4760 – 1.4680
Resistance: 1.4850 – 1.4895 – 1.4935
Direction: Bearish below 1.4795