Short Term Technical Analysis for Majors (07:00 GMT)

[WindsorBrokers]

EUR/USD

Continues to trade in a near-term consolidative/corrective mode, holding above 1.4000 mark, after dipping to fresh two-month low at 1.3970 on 06 Sep. Current attempt through 20 day MA at 1.4076, with break above 1.4100 barrier, would signal further recovery and expose key near-term resistance at 1.4150. Holding above 200 day MA keeps the structure positive and favors further recovery. On the downside, 1.4050/12 lows offer initial support. However, today’s ECB’s decision and particularly Trichet’s comments would provide more clear picture of the pair’s direction.

Res: 1.4107, 1.4150, 1.4170, 1.4200
Sup: 1.4050, 1.4012, 1.4000, 1.3970




GBP/USD

Remains under pressure after recovery attempt from 1.5920 low failed to sustain gains above key 1.6000 barrier and subsequent reversal slightly exceeded 1.5920, posting fresh low at 1.5917. Holding below 1.6000 keeps the immediate focus lower, with near-term studies supporting the scenario of fresh leg lower and test of 1.5900 initially. Upside regain of 1.6000 improves, but clearance of 1.6038/65 is required to confirm.

Res: 1.5991, 1.6011, 1.6038, 1.6063
Sup: 1.5917, 1.5903, 1.5850, 1.5800




USD/JPY

Maintains near-term positive structure after breaking above the one-month range tested recent high at 77.68. Subsequent pullback has so far found support at 77.00 zone and holding above here keeps scope for fresh recovery through 77.68, to test 78.00/45 next, with 20 day MA, currently at 77.20, underpinning. Loss of 77.00 handle, however, would suggest another false break higher and return back to directionless trading.

Res: 77.44, 77.70, 77.84, 78.00
Sup: 77.06, 76.71, 76.51, 76.41





USD/CHF

Trades in a narrow consolidative range after yesterday’s strong gains peaked at 0.8624. Further reversal is not ruled out at this stage, as near-term conditions are in overbought zone. Initial support at 0.8540 holds the downside for now, keeping the immediate focus at 0.8624, clearance of which to open fresh leg higher and expose 0.8750 next.

Res : 0.8624, 0.8700, 0.8746, 0.8800
Sup: 0.8582, 0.8570, 0.8540, 0.8500