Technical Update For EURUSD, GBPUSD, AUDUSD & USDCHF: 12.09.2017

Tue, 12 Sep 2017 12:35


EURUSD's recent reversal from 1.2090 can't be considered as a sign of weakness as three-month old ascending trend-channel still remains intact, which in-turn ignites the importance of the 1.1920 support-line figure near to that the pair is currently trading. Should the quote drops below 1.1920 on a daily closing basis and defies the Bullish formation, it can quickly test 1.1825 and the 50-day SMA level of 1.1740; however, the 1.1680 and the 1.1600 could limit the pair's following downside. Meanwhile, pair's close above 1.2000 mark can entertain buyers with the 1.2055, the 1.2075 and the 1.2090 nearby resistances, breaking which chances of its rally towards 1.2240-50 region can't be denied. During the pair's additional north-run beyond 1.2250, the channel-resistance line of 1.2265 and the 1.2310 are likely upside numbers to appear on the chart.


Even after surpassing the August high, the GBPUSD needs to provide a daily closing beyond 1.3270 in order to justify its strength in targeting the 1.3310 and the channel-resistance, around 1.3385. Given the pair manages to clear 1.3385, the 1.3450 and the 61.8% FE level of 1.3500 could become Bulls' favorite. If overbought RSI activates the price pullback, the 1.3150 and the 1.3115 could become immediate rests, clearing which 1.2995–1.3000 area, comprising 50-day SMA, might try curbing its south-run. In case of the pair's sustained trading below 1.2995, 100-day SMA level of 1.2930 and the channel-support mark of 1.2825 seems crucial for traders to watch.


Unlike previous two pairs, which are too far from their important resistances, the AUDUSD is close to 0.8055-60 horizontal-line, conquering that could rejuvenate expectations for its rise towards 0.8125. In the course of the pair's successful journey above 0.8125, May 2015 high, around 0.8165-70, followed by the year 2015 high, near 0.8300, might gain attention. On the contrary, 0.7970 and an upward slanting TL, at 0.7925, should be given proper justice if prices decline further. Though, pair's break of 0.7925 needs to clear 50-day SMA level of 0.7890 in order to aim for 0.7800 and the 0.7780 support-levels.


USDCHF's present recovery may find it hard to clear the 0.9615-20 resistance-confluence, including 50-day SMA & immediate trend-line, which if surpassed could escalate the buying momentum in direction to another TL figure of 0.9675, adjacent to 100-day SMA level of 0.9695. Should the quote trades above 0.9695, also beats the 0.9700 round-figure, the 0.9740 and the 0.9770 are likely resistances that it can aim for. Alternatively, the 0.9525, the 0.9490 and the 0.9435 can act as nearby supports for the pair before it could re-test Friday's low of 0.9420. If sellers continue dominating the trade sentiment after 0.9420, it seems wise to expect the pair's plunge to 61.8% FE level of 0.9360.

Cheers and Safe Trading,
Anil Panchal