Spot Gold In Near-Term Neutral Mode; AUD/NZD Has Near-Term Neutral Tone

EUR/USD

The Euro maintains near-term positive sentiment off 1.2612 low, posted on 23 Oct. Yesterday’s acceleration higher, cracked initial barrier at 1.2750, but so far holds below broken bull-trendline from 1.2499 low, currently at 1.2780. Positive near-term studies favor further upside, as the pair stabilizes above psychological 1.27 support and attempts to build higher base at 1.2725 zone. Yesterday’s positive close above daily 20 SMA, supports the notion, as daily technicals are gaining bullish momentum and indicators are heading north. With positive technicals, fundamentals are expected to be main driver of the pair, as today’s Fed announcement is in focus. Key levels and break points remain unchanged, with sustained break above 1.2800/84, required to confirm extended correction off 1.2499, while weekly close below pivotal 1.2660, Nov 2012 low and loss of 1.2499, 03 Oct low, is required to signal resumption of larger downtrend.

Res: 1.2763; 1.2780; 1.2800; 1.2839
Sup: 1.2725; 1.2700; 1.2663; 1.2633




EUR/JPY

The pair remains positive and extended break above 137.00/24 barrier, to retrace so far over 50% of approach 139.53/134.12 downleg, on approach to lower platform at 137.90 and psychological 138 barrier. Yesterday’s close in long green candle and ticks above 100SMA, signals commence of the second leg of recovery rally from 134.12 low, which is supported by fresh bullish momentum on daily and positive near-term studies, which are also overbought. This may delay bulls for corrective action, with 137.24/00, offering initial support and extended dips to be contained above 136.50 higher base and 50% retracement of 135.19/137.79 upleg, reinforced by ascending daily Tenkan-sen line. Extension above 137.90/138.00, to open 138.45/50, daily cloud base and Fibonacci 61.8% of 141.20/134.12 descend.

Res: 137.79; 137.90; 138.00; 138.50
Sup: 137.24; 137.00; 136.80; 136.50




GBP/USD

Cable stabilizes above 1.61 handle, after yesterday’s acceleration higher peaked ticks away from pivotal 1.6182, high of 21 Oct and subsequent pullback found support at 1.6126, where near-term higher base is under formation. Bullish tone prevails on lower timeframes studies, which along with yesterday’s positive close and daily indicators heading higher, supports eventual attempt through 1.6182/1.6225 break points, to confirm resumption of short-term recovery rally from 1.5873, low of 15 Oct. Break higher to also complete inverted H&S pattern on daily chart, which is expected to trigger fresh bullish acceleration. Lows at 1.6126 offer initial support, along with psychological 1.61 support, with 1.6086/81, higher low of 28 Oct / 50% retracement of 1.5992/1.6180 upleg / daily Tenkan-sen line and daily 20SMA, should contain extended pullbacks, to keep near-term bulls in play.

Res: 1.6182; 1.6200; 1.6225; 1.6250
Sup: 1.6126; 1.6100; 1.6086; 1.6065




USD/JPY

The pair trades in extended consolidative phase under fresh high at 108.34, where acceleration of the upleg from 106.23 was so far capped and the downside attempts being for now contained by daily Kijun-sen line at 107.60. Bulls which started to develop on a daily chart, are still lacking traction, with yesterday’s Inside Day close, seen as warning. Potential fresh upside action requires sustained break above 108.00/34 barriers, to confirm resumption of recovery rally from 105.18, as near-term technicals hold positive tone. Otherwise, downside risk will remain in play, with acceleration on a break below pivotal 107.60 consolidation floor and near Fibonacci 38.2% of 106.23/108.34, to signal lower platform formation and fresh weakness towards psychological 107 support, also Fibonacci 61.8% of 106.23/108.34 upleg.

Res: 108.21; 108.34; 108.73; 109.00
Sup: 108.00; 107.60; 107.29; 107.00



AUD/USD

Near-term structure remains positive, as the pair rallies higher and approaches pivotal 0.89 barrier, also short-term 0.8641/0.89 consolidative range top. Yesterday’s positive close signals fresh direction after Monday’s Doji, with daily RSI turning higher and above neutrality zone, while fresh bullish momentum is building up. Daily Tenkan-sen / Kijun-sen bullish cross at 0.8780, underpins the action. Near-term studies are bullish and support further action higher, however, overextended conditions signal possible hesitation on approach to 0.89 break point. Previous barriers at 0.8822/00, also Fibonacci 38.2% and 50% retracement of 0.8717/0.8880 upleg, should contain corrective dips.

Res: 0.8880; 0.8900; 0.8950; 0.9000
Sup: 0.8847; 0.8822; 0.8800; 0.8780



AUD/NZD

The pair maintains near-term neutral tone, as the price action remains within narrow consolidation range, after strong rally which peaked at 1.1223 so far. Daily studies remain positively aligned for potential push higher and break of range tops for extension of the upleg from 1.0980 higher base and possible attack at key barriers at 1.1279/93, to signal an end of short-term congestion. Conversely, los of traction and penetration through near-term range floor, would signal lower top formation and fresh weakness.

Res: 1.1200; 1.1223; 1.1243; 1.1279
Sup: 1.1161; 1.1131; 1.1100; 1.1073




XAU/USD

Spot Gold is in near-term neutral mode and consolidates within 1221/1234 range, after meeting its target at 1221, 15 Oct higher low. Also, daily technicals are turning neutral, which could signal prolonged consolidation and basing attempt, as daily 20SMA holds for now and yesterday’s bullish Engulfing, seen as initial signal. However, break above current range tops at 1234, which also marks Fibonacci 38.2% of 1254/1221 descend, is seen as minimum requirement to signal near-term base formation and sideline risk of extension to the next significant support at 1218, 50% retracement / daily Kijun-sen line.

Res: 1234; 1238; 1240; 1244
Sup: 1226; 1221; 1218; 1210