AUTOMOTIVE: Volkswagen (VW Baa1/BBB+/A-[N]): 1Q25 Results Headlines

• RES 4: 152.70 50.0% retracement of the Jan 10 - Mar 11 bear leg    
• RES 3: 151.30 High Mar 3  
• RES 2: 150.90/151.21 50-day EMA / High Mar 28  
• RES 1: 149.84 Intraday high 
• PRICE: 148.85 @ 07:36 BST Mar 31 
• SUP 1: 148.59 Low Mar 21    
• SUP 2: 148.18 Low Mar 20 and a key short-term support 
• SUP 3: 147.42 Low Mar 13   
• SUP 4: 146.54 Low Mar 11 nad the bear trigger 

USDJPY is trading lower today. The primary trend direction is unchanged, it remains down and the latest recovery is considered corrective. A key short-term resistance at the 50-day EMA - at  150.90 - is intact. A clear break of this EMA would undermine the bearish theme and signal scope for a stronger rally towards 152.70, a Fibonacci retracement. For bears, the first key support to watch is 148.18, the Mar 20 low. A breach would be bearish.

Japan's GPIF pension fund maintain their asset allocation targets as part of their mandate update - keeping both Japanese and foreign stocks at 25% allocation. They tweak their deviation limits slightly: switching their deviation limits on both equities and bonds to 9% from 11%. 

• These headlines are inline with expectations, as had been noted in the Nikkei newspaper earlier this month. Headlines coincide with the local equity close, which puts the Nikkei 225 10% lower off the December high, and as such formally in correction territory.

• RES 4: $76.57 - High Jan 15 and the bull trigger   
• RES 3: $72.91 - High Feb 11 and key resistance 
• RES 2: $70.98 - High Feb 25  
• RES 1: $70.22 - High Mar 26  
• PRICE: $69.37 @ 07:18 BST Mar 31
• SUP 1: $66.09/64.85 - Low Mar 19 / 5 and the bear trigger   
• SUP 2: $63.73 - Low Sep 10 ‘24 and a key medium-term support
• SUP 3: $60.00 - Psychological round number
• SUP 4: $59.40 - 2.00 proj of the Jan 15 - Feb 4 - 11 price swing   

Despite recent gains, a bearish trend condition in WTI futures remains intact, and gains this month are considered corrective. However, a key resistance at $69.17, the 50-day EMA, has been pierced. The breach strengthens a bullish theme and opens $70.98, the Feb 25 high. For bears, a reversal lower would expose the bear trigger at $64.85, the Mar 5 low. Clearance of this level would resume the downtrend and open $63.73, the Oct 10 ‘24 low.