Weekly technical outlook, by Liviu Flesar
EURUSD
Even if both currencies were quite weak during the previous days, losing ground versus the other currencies, the Euro managed to rise above the key level at 1.306. The week also closed above 1.306, therefore it is now possible to see more aggressive tests on the 1.31 area and above. The short term may bring a small retracement in action, in the 1.296-1.299 zone but a breach below 1.296 will point our attention on 1.27 again. Bullish momentum is intact on the daily studies and also on the hourlies.
Projected bearish targets: 1.298, 1.287 and 1.279.
Projected bullish targets: 1.313, 1.3165 and 1.322.
EURUSD 4 hrs. chart:
GBPUSD
Cable rose and closed above the level we expected to see on the previous week. The support level at 1.9075 will probably hold under the potential tests during the next days, being also a retracement level of the current Pound ascension versus the greenback. More support levels are seen below 1.9 at 1.8975 and 1.887 lower. First major resistance is eyed at 1.92 and it will probably be tested again during the next few days. Bullish momentum is noticed on both daily and hourly studies. In the climb to new record highs, 1.93 seems to be the next objective. Looking lower, in the southern regions of the daily charts, the 1.895 area will be the bottom where the Pound will fall on if another test in the 1.92 region will fail.
Projected bearish targets: 1.9085, 1.9005 and 1.8875.
Projected bullish targets: 1.921, 1.9285 and 1.9331.
GBPUSD 4 hrs. chart:
USDCAD
As mentioned on our previous report, the dollar retracement in the 1.235 area is probably a trend correction before heading north to 1.35/36. The retracing process may continue below 1.233 (38.2 fib of 1.2065-1.2495) to the 50% fib which is eyed at 1.228. Therefore, we will pay attention to a potential break at 1.233 during the next days. On the daily studies, important support is formed by the trendline of 1.1985 to 1.2065 and forward, the 1.225-1.23 zone of the next few days.
Projected bearish targets: 1.23 and 1.223
Projected bullish targets: 1.245 and 1.2523
USDCAD 4 hrs. chart:
AUDUSD
It was pretty easy for the ozzie to pass through several important resistance levels and finnish the week in the 0.78 zone. Before going further toward 0.8, the AUD will probably retrace a bit, to the dips of 0.77. An important resistance level was triggered by the previous week high at 0.783, this resistance being the trendline 0.7985-0.795-0.783. It won’t be easy to break this level of 0.783, therefore we will look forward for a downward move now, initially aimed at 0.773. Support is seen at 0.78 backed by 0.777 and 0.772.
Projected bearish targets: 0.777, 0.772 and 0.7665
Projected bullish targets: 0.7855, 0.7915 and 0.8043
AUDUSD 4 hrs. chart:
USDJPY
The Yen extended its gains versus the other currencies across the board being the weekly winner. After failing to climb above 107.55, consolidationg a bit and facing a second failure at this level, the dollar was dragged below all the short-term support levels it has in the 106-107 region. Dragged with a surgical accuracy right on the 161.8 projected fib of the 108.8-107.15-108.5 ABC swing at 105.8, it is possible to face a reversal pattern now, getting up again toward the highs of the 106 area. But if the Yen will continue to strengthen, we might see the pair well below 104 soon. Momentum is negative on the daily studies, but strong support is eyed in the 105.5 area (trendline of 101.75 to 103.65 and forward).
Projected bearish targets: 105.45, 104.85 and 104
Projected bullish targets: 106.9, 107.55 and 108.15
USDJPY 4 hrs. chart:
USDJPY daily chart:
EURJPY
After many days of hard testing to pass through the major barrier at 140, the Euro finally did it, reaching the highs above 140 at 140.5. Not an easy battle for the bulls, but the Yen managed to cut all the hard achieved gains of the Euro in a matter of hours, bringing the fight back in the 138 area. Losing some of its bullish constancy on the daily studies, the market sentiment is still positive for the Euro. A trend correction may bring the dips of 136-137 zones on our attention. Major support is seen around 138.2 on the daily charts, being the trendline of 134 to 137.3 and forward. A breach at 138.2 will extend the Yen’s gains to 137.3, where a tripple bottom will be formed along with the lows of 03 of February and 23 of March.
Projected bearish targets: 137.35 and 135.4
Projected bullish targets: 139.7, 140.10 and 141.25.
EURJPY 4 hrs. chart:
GBPJPY
After setting fresh yearly highs, in the 205 area, the Pound faced the same scenario as the other currencies versus the Yen. On the daily studies we can see a good support formed by the trendline of 189.5 to 197.5 and forward which is waiting in the dips of 202 right now. Another strong support is formed by the highs of 25 of February and 08 of March, at 202. 38.2% retracement of 197.5-205.3 is eyed at 202.3, therefore considering these 3 support levels we might have enough clues to think that 202 won’t be an easy to pass barrier, but probably a reverse zone, before a new climb to 206.
Projected bearish targets: 202.05, 201.4 and 200.5
projected bullish targets: 203.95, 205.1 and 205.9
GBPJPY 4 hrs. chart:
