USDJPY TECHS: Pullback Appears Corrective

• RES 4: $4443.8 - 3.618 proj of the May 15 - Jun 16 - 30 price swing
• RES 3: $4404.9 - 3.500 proj of the May 15 - Jun 16 - 30 price swing 
• RES 2: $4400.0 - Round number resistance
• RES 1: $4186.4/4381.5 - Low Oct 17 / High Oct 20 and the bull trigger                
• PRICE: $4071.8 @ 07:14 BST Oct 27
• SUP 1: $4004.3 - Low Oct 22  
• SUP 2: $3944.9 - Low Oct 9
• SUP 3: $3832.4 - 50-day EMA
• SUP 4: $3819.6 - Low Oct 2 

A sharp pullback in Gold last week appears corrective - for now. Note that the trend is overbought and a deeper retracement would allow this condition to unwind. Attention is on support at the 20-day EMA, at $4052.6, has been pierced. A clear breach of the average would signal scope for a deeper retracement, potentially towards the 50-day EMA, at $3832.4. Key resistance and the bull trigger has been defined at $4381.5, the Oct 20 high.

• RES 4: $76.82 - 2.382 proj of the Apr 9 - 23 - May 5 price swing
• RES 3: $75.43 - High Jun 23 and a bull trigger
• RES 2: $69.87/71.20 - High Sep 26 and key resistance / High Jul 30 
• RES 1: $66.78 - High Oct 24 
• PRICE: $66.21 @ 06:59 BST Oct 27
• SUP 1: $63.86/60.07 - Low Oct 24 / 20 and the bear trigger  
• SUP 2: $58.50 - Low May 5
• SUP 3: $57.88 - Low Apr 9 and a key support
• SUP 4: $55.91 - 2.00 proj of the Jul 30 - Aug 13 - Sep 26 price swing 

Brent futures traded higher last week, resulting in a breach of resistance around the 50-day EMA, at $65.15. Clearance of this hurdle signals scope for a stronger recovery. Note that resistance at $66.58, the Oct 9 high, has been pierced. A clear breach of this level would expose key resistance at $69.87, the Sep 26 high. Key support and the bear trigger has been defined at $60.07, the Oct 20 low.

A former PBOC official shares his view on China's new Five Year Plan. On MNI Policy MainWire now, for more details please contact sales@marketnews.com