Technical Analysis for Crosses

Daily Forex Technicals | Written by ecPulse.com | Jul 31 09 06:25 GMT |

GBP/JPY The sterling versus Japanese yen has been capable of reaching 157.90 zones which represent 23.6% Fibonacci level while negative divergence has been caught on RSI 14, which we see that it may confirm the completion of the previous discussed Elliott cycle. Therefore we keep our overview to the downside on the intraday basis, particularly if the pair succeeded to make a four-hour closing below 157.05 as the mentioned divergence will be activated strongly and then, a new downside sequence is to start. Trading range for today is among key support at 152.80 and key resistance at 16150. The general trend is to the downside as far as 167.45 remains intact with target at 116.00. Support: 157.30, 156.70, 155.85, 155.00, 154.60 Resistance: 158.00, 158.70, 159.35, 160.00, 160.50 Recommendation: Based on the charts and explanations above our opinion is, selling the pair from 157.90 targeting 155.85 and stop loss above 159.60 might be appropriate. EUR/JPY The pair is facing a cluster resistance around 61.8% Fibonacci level of the last short term decline which started at 136.08 and was bottomed out at 132.73 as seen on the above four-hour chart while forming a series of harmonic patterns. Hence the intraday basis is to be kept to the downside with an expected reversal zone between 134.80 and 135.30 which will offer the [D1] of the bearish harmonic structure. Trading range for today is among key support at 131.55 and key resistance now at 137.400. The general trend is to the downside as far as 141.44 remains intact with targets at 100.00 followed by 88.97 levels. Support: 134.15, 133.60, 133.10, 132.50, 131.60 Resistance: 135.00, 135.50, 136.10, 136.65, 137.30 Recommendation: Based on the charts and explanations above our opinion is, selling the pair from 134.80 targeting 133.10 and stop loss above 136.20 might be appropriate. EUR/GBP The royal pair is moving typically according to our mid-day report yesterday, as we could capture a positive divergence on the hourly chart as shown on the above chart on Zero lag MACD indicator that pushed it upwards. Now a slight correction is needed before resuming the intraday bullishness towards the technical target of the pattern around 0.8610. We think that this positive action is to start from around the solid support of 0.8515 zones Trading range is among the key support at 0.8390 and key resistance now at 0.8680. The general trend is to the upside as far as 0.8020 area remains intact with targets at 1.0000 followed by 1.0400 levels. Support: 0.8515, 0.8485, 0.8440, 0.8420, 0.8400 Resistance: 0.8560, 0.8605, 0.8645, 0.8700, 0.8720 Recommendation: Based on the charts and explanations above our opinion is, buying the pair from 0.8515 targeting 0.8605 and stop loss below 0.8445 might be appropriate Ecpulse disclaimer: The content of ecPulse.com and any page in the website contain information for investors/traders and is not a recommendation to buy or sell currencies, stocks, gold, silver & energies, nor an offer to buy or sell currencies, stocks, gold, silver & energies. The information provided reflects the writers' opinions that deemed reliable but is not guaranteed as to accuracy or completeness. ecPulse is not liable for any losses or damages, monetary or otherwise that result. I recommend that anyone trades currencies, stocks, gold, silver & energies should do so with caution and consult with a broker before doing so. Prior performance may not be indicative of future performance. Currencies, stocks gold, silver &energies presented should be considered speculative with a high degree of volatility and risk