FX Technical Analysis

Daily Forex Technicals | Written by Mizuho Corporate Bank | Jun 09 09 06:32 GMT |

EURUSD Comment: Trying to base against the 26-day moving average and retracement support. Yesterday's bounce was decent but not conclusive so allow for more of the same today. Strategy: Attempt longs at 1.3890; stop below 1.3800. Short term target 1.4020, then 1.4245 Direction of Trade: →↗ Chart Levels: Support Resistance 1.3853 " 1.3938 1.38 1.4023 1.3790/1.3775* 1.4050/1.4065* 1.3725 1.41 1.3600* 1.417 GBPUSD Comment: Bouncing smartly from retracement and trendline support, and the 26-day moving average which all cluster around 1.5800, despite an appalling political situation. Two-way price action should keep the bid tone to implied volatility. Strategy: Attempt small longs at 1.6035, adding to 1.5855; stop below 1.5800. First target 1.6100, then 1.6200 Direction of Trade: →↗ Chart Levels: Support Resistance 1.5985 " 1.6105* 1.5800* 1.6155 1.575 1.62 1.57 1.6245 1.5514* 1.6435 USDJPY Comment: Hovering above the top of the Ichimoku 'cloud', which gets very thin at the end of next week, the summer solstice. Expect more cautious random small swings today and probably all week. Strategy: Possibly attempt small shorts at 98.10, adding to 98.55; stop above 99.25. First target 97.65 then 96.00 Direction of Trade: → Chart Levels: Support Resistance 98.00 " 98.58 97.87 98.85/99.00* 97.57 99.49/99.60 97 99.69/99.80* 96 100 EURJPY Comment: Consolidating between 138.00 and the 9-day moving average at 135.50, and we favour more of the same today with a downside test likely late in the afternoon. Strategy: Attempt small shorts at 136.55, adding to 137.50; stop above 138.20 Short term target 135.50, maybe 134.00 Direction of Trade: → Chart Levels: Support Resistance 135.70 " 137.33 135.45 138.02 135.25 138.2 134.5 138.57 134 139.26* Mizuho Corporate Bank Disclaimer The information contained in this paper is based on or derived from information generally available to the public from sources believed to be reliable. No representation or warranty is made or implied that it is accurate or complete. Any opinions expressed in this paper are subject to change without notice. This paper has been prepared solely for information purposes and if so decided, for private circulation and does not constitute any solicitation to buy or sell any instrument, or to engage in any trading strategy.