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Technical Analysis (2014-10-24)

EUR/USD
Previous Day Range High: 1.2677 Low: 1.2614 Close: 1.2646
Technical Chart Resistance
R-2:1.2708
R-1:1.2677






Support
S-1:1.2615
S-2:1.2583



Forecast
High:1.2677
Low:1.2615









Despite breaching 1.2624 minor support, EUR/USD quickly recovered and intraday bias stays neutral first. Firm break of 1.2624 will indicate that the correction from 1.2500 has completed at 1.2886 already. In such case, intraday bias would be turned back to the downside. Break of 1.2500 will extend the fall from 1.3993 for 1.2042 low next. In case of another recovery, we'd expect strong resistance from 1.2994 to limit upside and bring fall resumption eventually.




USD/JPY
Previous Day Range High: 108.35 Low: 107.11 Close: 108.27
Technical Chart Resistance
R-2:109.15
R-1:108.71








Support
S-1:107.47
S-2:106.67




Forecast
High:108.71
Low:107.47









USD/JPY's rebound from 105.19 extended higher today and the break of 107.49 minor resistance suggests that fall from 110.08 is already finished. Intraday bias is back on the upside for retesting 110.08 first. Break will resume larger up trend and target next long term fibonacci level at 111.62. On the downside, below 106.24 minor support will extend the correction from 110.08. In that case, we'd look for reversal below 61.8% retracement of 101.08 to 110.08 at 104.51


GBP/USD
Previous Day Range High: 1.6060 Low: 1.5995 Close: 1.6028
Technical Chart Resistance
R-2:1.6093
R-1:1.6060






Support
S-1:1.5995
S-2:1.5963




Forecast
High:1.6060
Low:1.5995





Intraday bias in GBP/USD remains neutral for the moment. The consolidation from 1.5876 could extend. But in any case, as long as 1.6226 resistance holds, further fall is still expected. Below 1.5876 will extend the decline from 1.7190 and to 61.8% retracement of 1.4813 to 1.7190 at 1.5721 next. Break will target 100% projections of 1.7190 to 1.6051 from 1.6523 at 1.5384. However, break of 1.6226 will bring stronger rebound back towards 1.6523 resistance instead.


USD/CHF
Previous Day Range High: 0.9560 Low: 0.9518 Close: 0.9541
Technical Chart Resistance
R-2:0.9581
R-1:0.9561







Support
S-1:0.9519
S-2:0.9498




Forecast
High:0.9561
Low:0.9519







USD/CHF is still being held by 0.9561 minor resistance and intraday bias remains neutral. Price actions from 0.9688 is viewed as a correction. Break of 0.9561 will suggest that such correction is finished at 0.9359 already and will turn bias back to the upside for retesting 0.9688 first. Break will extend that larger rise from 0.8698 towards 0.9838/9971 key resistance zone. In case of another fall, we'd expect strong support from 0.9300/9395 support zone to complete the correction and bring rebound.



AUD/USD
Previous Day Range High: 0.8806 Low: 0.8749 Close: 0.8757
Technical Chart Resistance
R-2:0.8828
R-1:0.8792










Support
S-1:0.8736
S-2:0.8714




Forecast
High:0.8792
Low:0.8736





The Australian dollar opens marginally lower this morning as U.S. dollar strength continues on the back stronger economic activity and a reduction in overall unemployment claims. The Aussie found support in stronger than anticipated Chinese manufacturing data bouncing to intraday highs of 0.8799 before retreating to close Thursday at 0.8758. With the local economic docket free of headline data direction will come from offshore stimuli and we expect current ranges to be maintained into the weekend.

We expect a range today between 0.8725 – 0.8820



USD/CAD
Previous Day Range High: 1.1264 Low: 1.1207 Close: 1.1229
Technical Chart Resistance
R-2:1.1290
R-1:1.1260






Support
S-1:1.1203
S-2:1.1176




Forecast
High:1.1260
Low:1.1203





Our thoughts and focus continues to be on the tragic attack on Parliament Hill yesterday and all those directly affected. We still await the rescheduling of Governor Poloz’s press conference from yesterday for further clarity on the BOC stance. From the statement there appeared to be optimism of the growing US economy flowing over to our economy while the MPR remained quite dovish. CAD, MXN, and CNY have all been top performers against the Greenback over the last few days. The 1.1210 level continues to be the floor that USDCAD is having difficulty breaking through, (challenged four times this week) beyond here the pair will run into support at 1.1180. 1.1300 sits firmly as resistance to the topside.

We expect a range today of 1.1190 to 1.1300