• In FX, the latest recovery in EURUSD traded sharply lower Thursday following a reversal from the day high of 1.1150. The move lower reinforces a short-term bearish theme. The pair is testing support at the 50-day EMA at 1.0972 and has pierced trendline support at 1.0956, drawn from the May 31 low. A clear break of both levels would strengthen a bearish threat and open 1.0867, the Jul 7 low. First key resistance is at yesterday’s 1.1150 high.
  • Recent gains in GBPUSD stalled at Thursday’s high and the pair traded sharply lower. The move down highlights the fact that a bear cycle remains in play. Support at 1.2798 the Jul 24 low, has been breached. The break signals scope for an extension lower towards the 50-day EMA at 1.2737. The base of the bull channel, drawn from the Mar 8 low and a key support, lies at 1.2711 today. First key resistance is at 1.2996, yesterday’s high.
  • This week’s move lower in USDJPY is trading in a volatile manner and is slightly weaker today, marking an extension of the pullback from 141.96, the Jul 21 high. This exposes key short-term support at 137.25, the Jul 14 low. A breach of this level would cancel a recent bullish theme and instead signal scope for a deeper pullback, towards 135.53, the 61.8% retracement of the Mar - Jun bull leg. On the upside, clearance of 141.96 would reinstate a bull theme.

OUTLOOK: Price Signal Summary - EURUSD Tests Key Support Points

Last updated at:Jul-28 10:06By: Taso Anastasiou
  • In FX, the latest recovery in EURUSD traded sharply lower Thursday following a reversal from the day high of 1.1150. The move lower reinforces a short-term bearish theme. The pair is testing support at the 50-day EMA at 1.0972 and has pierced trendline support at 1.0956, drawn from the May 31 low. A clear break of both levels would strengthen a bearish threat and open 1.0867, the Jul 7 low. First key resistance is at yesterday’s 1.1150 high.
  • Recent gains in GBPUSD stalled at Thursday’s high and the pair traded sharply lower. The move down highlights the fact that a bear cycle remains in play. Support at 1.2798 the Jul 24 low, has been breached. The break signals scope for an extension lower towards the 50-day EMA at 1.2737. The base of the bull channel, drawn from the Mar 8 low and a key support, lies at 1.2711 today. First key resistance is at 1.2996, yesterday’s high.
  • This week’s move lower in USDJPY is trading in a volatile manner and is slightly weaker today, marking an extension of the pullback from 141.96, the Jul 21 high. This exposes key short-term support at 137.25, the Jul 14 low. A breach of this level would cancel a recent bullish theme and instead signal scope for a deeper pullback, towards 135.53, the 61.8% retracement of the Mar - Jun bull leg. On the upside, clearance of 141.96 would reinstate a bull theme.

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