Daily Forex Technical Trend Bias/Key Levels (Tues 25 Jun)
Kelvin Wong June 25, 2019 4:45 AM
USD weakness extends, bearish conviction has been reduced for GBP/USD.
EUR/USD – Further push up above 1.1340 key support
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- Clear bullish break above the 1.1350 upper limit of the neutrality zone as per highlighted in our previous report, also the former descending resistance from 10 Jan 2019 swing high has validated the extension of the corrective rebound in place since 30 May 2019 low. Click here for a recap.
- Flip to a bullish bias in any dips above the key short-term pivotal support at 1.1340 for a further potential push up towards the next intermediate resistance at 1.1470 (upper boundary of the minor ascending channel & Fibonacci expansion cluster). However, a break with an hourly close below 1.1340 invalidates the bullish scenario for a slide back towards the 1.1225/1180 support zone in the first step.
GBP/USD – Bearish conviction has been reduced, watch 1.2635 support
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- Recent push up in the past 2 days has managed to stall below the 1.2760 key short-term pivotal resistance as per highlighted in our previous report. However, the bearish conviction has been reduced due to the on-going USD weakness seen in the rest of the major pairs.
- Prefer to turn neutral between 1.2760 and 1.2635 where an hourly close below 1.2635 revives the bearish tone for a further potential push down to retest the 1.2560/1.2500 key support zone (major ascending support from Oct 2016 swing low).
- On the flipside, a break with an hourly close above 1.2760 sees an extension of the corrective rebound towards the next resistance at 1.2915.
USD/JPY – Bears remain in control
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- Continued to inch down lower as expected to retest last Fri, 21 Jun swing low area of 107.10. Maintain bearish bias with a tightened key short-term pivotal resistance now at 107.55 for a further potential push down to target the next support at 106.60/50 (Fibonacci expansion cluster).
- However, a clearance with an hourly close above 107.55 negates the bearish tone for a corrective rebound towards the descending channel resistance at 108.20.
AUD/USD – Further push up towards key medium-term resistance
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- Broke above the 0.6935 key short-term resistance which has invalidated the bearish scenario. Flip back to a bullish bias with 0.6935 as the key short-term pivotal support for an extension of the corrective rebound to target the key medium-term resistance at 0.7020/7050 (also a Fibonacci expansion/retracement cluster & the minor ascending channel resistance).
- However, a break with an hourly close below 0.6935 revives the bears for a slide back towards the 0.6880/0.6830 support zone in the first step.
Charts are from eSignal
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