USDJPY TECHS: Trend Needle Points South

• MNI: GERMANY FEB INDUSTRIAL PRODUCTION -1.3% M/M; JAN 2.0%

• RES 4: 0.8628 1.500 proj of the Mar 3 - 11 - 28 price swing      
• RES 3: 0.8604 1.382 proj of the Mar 3 - 11 - 28 price swing  
• RES 2: 0.8593 High Aug 14 ‘24
• RES 1: 0.8533 Intraday high 
• PRICE: 0.8525 @ 07:01 BST Apr 7 
• SUP 1: 0.8432/0.8380 Low Apr 4 / 20-day EMA 
• SUP 2: 0.8316 Low Mar 28 and a key near-term support
• SUP 3: 0.8299 Low Mar 5   
• SUP 4: 0.8251 Low Mar 4

EURGBP maintains a bullish tone. The latest rally has resulted in a break of key resistance at 0.8474, the Jan 20 high. Clearance of this hurdle highlights an important technical breach and strengthens a bullish condition. Sights are 0.8593 next, the Aug 14 ‘24 high. On the downside, firm support lies at 0.8380, the 20-day EMA. The contract is overbought, a pullback would allow this condition to unwind.

• RES 4: 107.835 2.000 retracement proj of the Mar 4 - 6 bear leg     
• RES 3: 107.666 1.764 retracement proj of the Mar 4 - 6 bear leg   
• RES 2: 107.600 Round number resistance  
• RES 1: 107.575 Intraday high                  
• PRICE: 107.550 @ 06:37 BST Apr 7     
• SUP 1: 107.470 Intraday low    
• SUP 2: 107.150 Low Apr 4     
• SUP 3: 106.913 20-day EMA     
• SUP 4: 106.830 Low Mar 27     

Schatz futures maintain a firmer tone and today’s fresh cycle high once again, reinforces a bullish theme. The contract has recently traded through a key resistance at 107.120, the Mar 4 high. This confirmed a full reversal of the Apr 3 - 6 impulsive sell-off. The break also highlights a stronger bull cycle and signals scope for a climb towards 107.600 next. Initial firm support is seen at 106.913, the 20-day EMA.