MNI Asian Morning FX Technical Analysis

8 December 2017

By Kyle Shortland

Click below for today's MNI FX Technical Analysis Report -

http://tinyurl.com/h8lzqnc

AUSSIE TECHS: Focus Now On LT Bull Channel Base

*RES 4: $0.7598 - Hourly support Dec 5 now resistance

*RES 3: $0.7569 - Hourly resistance Dec 7

*RES 2: $0.7555 - Hourly resistance Dec 7a

*RES 1: $0.7533 - Hourly resistance Dec 7

*PRICE: $0.7506 @ 2030GMT

*SUP 1: $0.7472 - LT Bull channel base (Jan 20 2016 low) 

*SUP 2: $0.7410 - Low June 5 

*SUP 3: $0.7365 - Low May 12 

*SUP 4: $0.7360 - Daily Bear channel base (Oct 6 low)

*COMMENTARY: The pair remains heavy having broken below $0.7519 with a close

below to confirm initial focus on the LT bull channel base. A close below the

channel base sees bears targeting $0.7326-65 where the MT bear channel base is

noted. Layers of resistance are accumulating and weighing. The $0.7569

resistance is now key. Bulls need a close above to ease bearish pressure with a

close above $0.7598 to pressure $0.7631-54 where the bear channel top is noted.

KIWI TECHS: Bears Focused On $0.6781-0.6917

*RES 4: $0.6917 - High Dec 6 

*RES 3: $0.6888 - High Dec 7 

*RES 2: $0.6869 - Low Dec 6 now resistance 

*RES 1: $0.6852 - Hourly resistance Dec 7

*PRICE: $0.6832 @ 2030GMT

*SUP 1: $0.6817 - Low Dec 1

*SUP 2: $0.6803 - Bollinger band base

*SUP 3: $0.6781 - 2017 Low Nov 17

*SUP 4: $0.6716 - Weekly Bear channel base

*COMMENTARY: Topside hesitation around $0.6945 left the pair looking heavy and

sees focus on the $0.6781-0.6817 support region. Bears need a close below 2017

lows to shift focus to $0.6536-0.6723 where daily and weekly bear channel bases

are situated. Daily studies are well placed for a fresh leg lower. Bulls still

need a close above $0.6945 to confirm a break of the channel top & shift focus

to $0.6979-0.7048 where the 55-DMA is noted.

AUSSIE-KIWI TECHS: NZ$1.0946 Support Remains Key

*RES 4: NZ$1.1185 - High Nov 1

*RES 3: NZ$1.1139 - High Nov 14

*RES 2: NZ$1.1045 - Low Dec 5 now resistance

*RES 1: NZ$1.1027 - Hourly resistance Dec 6

*PRICE: NZ$1.0997 @ 2030GMT

*SUP 1: NZ$1.0946 - Monthly Low Nov 29

*SUP 2: NZ$1.0904 - Low Oct 17

*SUP 3: NZ$1.0824 - Low Sept 21

*SUP 4: NZ$1.0825 - 200-DMA

*COMMENTARY: Topside follow through was lacking last week with pressure

resulting in closes below the 55-DMA (NZ$1.1038) following dips to the 100-DMA.

Bears look for a close below NZ$1.0946 to confirm breaks of the 100-DMA and

channel base with below NZ$1.0904 needed to shift focus to NZ$1.0798-1.0824

where the 200-DMA is located. Bulls still need a close above NZ$1.1045 to ease

pressure on key supports and initially target NZ$1.1139.

AUSSIE-YEN TECHS: Bulls Need Close Above Y85.36

*RES 4: Y86.19 - High Dec 5 

*RES 3: Y85.68 - High Dec 6 

*RES 2: Y85.36 - Hourly resistance Dec 6a 

*RES 1: Y85.19 - Hourly resistance Dec 6

*PRICE: Y84.91 @ 2030GMT

*SUP 1: Y84.65 - Low Nov 30

*SUP 2: Y84.33 - Monthly Low Nov 27

*SUP 3: Y83.72 - Low June 22

*SUP 4: Y83.71 - Daily Bear channel base

*COMMENTARY: The recovery from recent 5mth lows struggle around the 200-DMA with

follow through lacking on pops above. The close below Y85.34 Wednesday left the

pair looking heavy. Bears look for a close below Y84.33 to initially pressure

Y83.71-72 where the daily bears channel base is noted. Below the channel base is

needed to confirm focus on tests of Y81.46-76 where 2017 lows are noted. Bulls

still need a close above Y85.36 to ease bearish pressure.

EURO-AUSSIE TECHS: Focus Returns to A$1.5771-1.5810 

*RES 4: A$1.5818 - Bollinger band top

*RES 3: A$1.5810 - Daily Bull channel top

*RES 2: A$1.5771 - 2017 High Dec 1

*RES 1: A$1.5730 - Hourly resistance Dec 1

*PRICE: A$1.5685 @ 2030GMT

*SUP 1: A$1.5639 - High Dec 4 now support 

*SUP 2: A$1.5549 - Hourly support Dec 6 

*SUP 3: A$1.5533 - 21-DMA 

*SUP 4: A$1.5487 - Low Dec 5

*COMMENTARY: The 21-DMA confirmed significance with the correction lower from

2017 highs finding support and bouncing. The likely close above A$1.5639 sees

bulls regain the upper hand and initial focus on A$1.5771-1.5810 where the daily

bull channel top and 2017 highs are noted. Bears now need a close below A$1.5639

to gain breathing room and hint at a correction back to A$1.5487-1.5533. Overall

below A$1.5392 is needed to target the 55-DMA (A$1.5253).

US DOLLAR-INDEX TECHS: Initial Focus Shifts To 94.165

*RES 4: 94.650 - High Nov 10 

*RES 3: 94.594 - Bollinger band top 

*RES 2: 94.165 - High Nov 21 

*RES 1: 93.962 - High Nov 22

*PRICE: 93.775 @ 2030GMT

*SUP 1: 93.488 - High Dec 5 now support

*SUP 2: 93.171 - Low Dec 6

*SUP 3: 93.035 - Low Dec 5

*SUP 4: 92.952 - Hourly resistance Dec 1 now support

*COMMENTARY: Pressure returning to key DMAs sees a likely close above the 55-DMA

(93.689) confirming an easing of bearish pressure and seeing immediate focus on

94.165. Bulls look for a close above this level to confirm focus on 95.167-464

where monthly highs are located. Bears now need a close below 93.488 to ease

bullish pressure and below 93.035 to shift pressure back to the 92.496-604

region where Nov lows are located.

EURO-DOLLAR TECHS: Bears Need Close Below 55-DMA

*RES 4: $1.1940 High Dec 1

*RES 3: $1.1884 Alternating hourly support/resistance

*RES 2: $1.1848 High Dec 6

*RES 1: $1.1814 High Dec 7

*PRICE: $1.1776 @ 2000GMT

*SUP 1: $1.1764 55-DMA 

*SUP 2: $1.1713 Low Nov 21 

*SUP 3: $1.1690 High Nov 3 now support 

*SUP 4: $1.1621 Low Nov 10

*COMMENTARY: The daily bull channel top ($1.2066) capped last week and now sees

the pair gaining traction below the channel base ($1.1875) and pressuring the

55-DMA. Bears still need a close below the 55-DMA to confirm an easing of

bullish pressure and below $1.1690 to confirm initial focus on $1.1552 Nov lows.

Bulls continue to look for a close above $1.1848 to gain breathing room and

above $1.1884 to shift focus back to $1.1940-61.

DOLLAR-YEN TECHS: Daily Bull Channel Base Confirms Significance

*RES 4: Y114.07 High Nov 9 

*RES 3: Y113.90 Bollinger band top 

*RES 2: Y113.68 Daily Bull channel top 

*RES 1: Y113.33 High Nov 16

*PRICE: Y113.09 @ 2000GMT

*SUP 1: Y112.57 Hourly support Dec 7 

*SUP 2: Y112.33 Hourly resistance Dec 7 now support 

*SUP 3: Y112.26 Daily Bull channel base (Off Nov 28 low) 

*SUP 4: Y111.82 Hourly support Dec 1

*COMMENTARY: The bounce from the channel base confirms significance with a close

above Y112.87 being ideal but a close above the 55-DMA (Y112.76) will be enough

to reconfirm focus on Y113.33. Bulls need a close above Y113.33 to add support

to the case for a move initially targeting Y114.72 Nov highs. Bears now look for

a close below the bull channel base to add weight to the case for a correction

back to the Y110.83-111.66 region where monthly lows, 100 & 200-DMAs are noted.

EURO-YEN TECHS: Supported Ahead of Bull Channel Base

*RES 4: Y135.84 Low Oct 21 2015 now resistance

*RES 3: Y134.50 2017 High Oct 25

*RES 2: Y134.05 Hourly support Dec 1a now resistance

*RES 1: Y133.74 Hourly support Dec 1 now resistance

*PRICE: Y133.12 @ 2000GMT

*SUP 1: Y132.98 Hourly resistance Dec 7 now support 

*SUP 2: Y132.58 Hourly support Dec 7 

*SUP 3: Y132.24 Low Dec 6 

*SUP 4: Y131.91 Daily Bull channel base (Aug 18 low)

*COMMENTARY: Bears failed to capitalise on a close below 21 & 55 (Y132.66) DMAs

with the pair bouncing from ahead of the bull channel base and 100-DMA

(Y131.65). Y30.59-131.91 support region is key. Bears need a close below Y131.21

to confirm breaks of the channel base & 100-DMA and below Y130.59 to shift

initial focus to Y129.36. The bounce sees bulls retain focus on 2017 highs with

a close above to shift overall focus to Y139.02-141.04 region last seen in 2015.

SPOT GOLD TECHS: Below $1243.4 Confirms Focus on 2017 Low

*RES 4: $1289.3 - High Dec 1 

*RES 3: $1277.9 - Hourly resistance Dec 1 

*RES 2: $1269.9 - Low Nov 14 now resistance 

*RES 1: $1260.1 - Monthly Low Oct 6 now resistance

*PRICE: $1245.4 @ 2030GMT

*SUP 1: $1243.4 - Low July 26 

*SUP 2: $1227.8 - Low July 17 

*SUP 3: $1214.0 - Low July 12 

*SUP 4: $1212.6 - Daily Bear channel base (Oct 6 Low)

*COMMENTARY: Having remained capped ahead of $1269.9 Wednesday the sharp

sell-off Thursday sees immediate pressure back on $1243.4. Bears need a close

below this level to confirm focus on tests of 2017 lows. Daily studies have a

little room to move before O/S is an issue. Bulls now need a close above $1260.1

to ease bearish pressure and above $1269.9 to shift focus back to $1279.9-1289.3

where DMAs and bear channel top are noted.

--MNI Beijing Bureau; tel: +44 207-862-7435; email: kyle.shortland@mni-news.com

[TOPICS: MTABLE]