Short Term Technical Analysis for Majors (14:00 GMT)

[WindsorBrokers]

EUR/USD

Corrects the latest rally that peaked at 1.3832 yesterday. Initial consolidative attempt lost ground at 1.3750 to extend reversal, with attempt to break through initial support at 1.3700/1.3670 zone, previous high of 10 Oct / 20 day MA. Ideally, reversal here would keep bullish structure intact ahead of fresh strength and above 1.3832 to focus 1.3900/35, key short-term barriers. Only break below 1.3565, 11 Oct higher platform, also Fib 38.2% of 1.3145/1.3832 ascend, would weaken the tone and trigger deeper reversal.

Res: 1.3745, 1.3765, 1.3800, 1.3825
Sup: 1.3670, 1.3600, 1.3582, 1.3565




GBP/USD

Extension of pullback from yesterday’s high at 1.5797 was triggered on break below initial support at 1.5700 zone, with over 50% of 1.5541/1.5797 ascend been retraced for now at 1.5665. Weakening hourly studies see potential for further reversal, with trendline support at 1.5650 and Fib 61.8% at 1.5640, coming in focus. However, bullish structure of the wider picture from 1.5271, 06 Oct low, remains intact while dips hold above 1.5541, key near-term support and near Fib 50% of 1.5271/1.5697. On the upside, clearance of 1.5800 barrier opens 1.5840/65 initially.

Res: 1.5715, 1.5750, 1.5761, 1.5797
Sup: 1.5665, 1.5640, 1.5600, 1.5575




USD/JPY

Strong rally through 77.00/25 barriers that extended gains to 77.48, ran out of steam, repeating the previous scenarios of false breaks above the range. Break below 77.00 returned the pair back to the previous range, as initial strength of near-term indicators is entering negative zone again. On the downside, 76.30 offers initial support, while break here would risk test of key supports at 76.10, 21 sep low and 75.93, pair’s record low posted on 19 Aug, below which would be very bearish. Only break above 77.48 would improve the near-term tone, with clearance of barriers at 77.85/78.00 required to confirm fresh direction.


Res: 77.00, 77.25, 77.48, 77.85
Sup: 76.67, 76.55, 76.30, 76.10





USD/CHF

The five-legged descend from 0.9310, 06 Oct high, found footstep at key short-term support at 0.8920, with corrective bounce under way. Near-term structure is regaining momentum, as clearance of initial resistance at 0.9000, 10 Oct low, setting scope for further recovery. According to wave principles, the wave c should extend towards key barriers at 0.9120/40, over Fib 50% of 0.9310/0.8920, above which would bring bulls in play. Failure to regain 0.9120 barrier, however, would risk lower top ahead of fresh weakness, as loss of 0.8920 handle would increase possibilities of testing 200 day MA, currently at 0.8800 zone.

Res: 0.9051, 0.9100, 0.9120, 0.9140
Sup: 0.8970, 0.8920, 0.8900, 0.8850