MNI Asian Morning FX Technical Analysis

22 December 2017

By Kyle Shortland

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

http://tinyurl.com/h8lzqnc

AUSSIE TECHS: Bulls Flexing Their Muscle

*RES 4: $0.7906 - Low Sept 22 now resistance

*RES 3: $0.7785 - 100-DMA

*RES 2: $0.7768 - Low Oct 24 now resistance

*RES 1: $0.7730 - High Nov 2

*PRICE: $0.7705 @ 2030GMT

*SUP 1: $0.7692 - 200-DMA 

*SUP 2: $0.7623 - Hourly support Dec 14 

*SUP 3: $0.7596 - Hourly support Dec 13 

*SUP 4: $0.7580 - Hourly breakout level Dec 12

*COMMENTARY: Pressure on the 55 ($0.7669) & 200-DMAs has taken its toll with a

likely close above the 200-DMA adding support to the bullish case. Bulls

continue to look for a close above the 100-DMA to shift overall focus to 2017

highs. Key supports remain. Bears now need a close below the 200-DMA to gain

breathing room and below $0.7623 to hint at a move back to $0.7482-00 with below

$0.7580 to confirm.

KIWI TECHS: Bears Need Close Below 55-DMA

*RES 4: $0.7117 - Low Oct 18 now resistance 

*RES 3: $0.7103 - 200-DMA 

*RES 2: $0.7054 - 100-WMA 

*RES 1: $0.7033 - High Dec 15

*PRICE: $0.7009 @ 2030GMT

*SUP 1: $0.6985 - Low Dec 21

*SUP 2: $0.6941 - 55-DMA

*SUP 3: $0.6923 - Hourly support Dec 12

*SUP 4: $0.6901 - Low Dec 12

*COMMENTARY: Topside hesitation ahead of $0.7050 is less than ideal for bulls

and saw dips back to the 55-DMA as daily studies correct from modestly O/B and

resistance layers build. Bears look for a close below the 55-DMA to ease bullish

pressure and below $0.6901 to reconfirm focus on 2017 lows and the weekly bear

channel base ($0.6693). Bulls need a close above $0.7050 to target $0.7200-25

although 100 ($0.7082) & 200 ($0.7103) DMAs may slow the move.

AUSSIE-KIWI TECHS: NZ$1.1045 Resistance Key To Further Topside

*RES 4: NZ$1.1139 - High Nov 14

*RES 3: NZ$1.1045 - Low Dec 5 now resistance

*RES 2: NZ$1.1027 - Hourly resistance Dec 6

*RES 1: NZ$1.1012 - High Dec 20

*PRICE: NZ$1.0991 @ 2030GMT

*SUP 1: NZ$1.0923 - Low Dec 21

*SUP 2: NZ$1.0904 - Low Dec 18

*SUP 3: NZ$1.0858 - Low Dec 12

*SUP 4: NZ$1.0827 - 200-DMA

*COMMENTARY: Hesitation ahead of the 200-DMA and key WMAs NZ$1.0722-63 took its

toll with an aggressive bounce last week that eased bearish pressure. Bulls need

a close above NZ$1.1045 to confirm breaks of 21 (NZ$1.0986) & 55 (NZ$1.1044)

DMAs and initially target NZ$1.1139. Bears need a close below NZ$1.0904 to

retain focus on the NZ$1.0722-1.0858 support region. Below the 100-WMA

(NZ$1.0722) shifts focus back to NZ$1.0364 June lows.

AUSSIE-YEN TECHS: Overall Focus Shifts to 2017 High

*RES 4: Y89.09 - High Oct 23 

*RES 3: Y88.37 - Low Oct 19 now resistance 

*RES 2: Y88.09 - High Nov 2 

*RES 1: Y87.72 - Alternating hourly support/resistance

*PRICE: Y87.34 @ 2030GMT

*SUP 1: Y87.03 - 100-DMA

*SUP 2: Y86.56 - 55-DMA

*SUP 3: Y86.28 - Hourly support Dec 19

*SUP 4: Y85.85 - 200-DMA

*COMMENTARY: Gains continue with pressure on the 100-DMA taking its toll and the

likely close above shifting overall focus to tests of 2017 highs (Y90.30). O/B

daily studies and the Bollinger top (Y87.08) are key concerns for bulls with

potential to limit follow through. Bears now need a close below the 100-DMA to

gain breathing room and below the 55-DMA to shift initial focus back to

Y85.55-85 where 21 & 200-DMAs are situated.

EURO-AUSSIE TECHS: Focus Remains On Key Supports 

*RES 4: A$1.5553 - 21-DMA

*RES 3: A$1.5526 - High Dec 20

*RES 2: A$1.5467 - Hourly support Dec 21 now resistance

*RES 1: A$1.5441 - Hourly resistance Dec 21

*PRICE: A$1.5406 @ 2030GMT

*SUP 1: A$1.5342 - 55-DMA 

*SUP 2: A$1.5334 - Daily Bull channel base 

*SUP 3: A$1.5195 - Low Nov 13 

*SUP 4: A$1.5163 - 100-DMA

*COMMENTARY: The 55-DMA and bull channel base reconfirmed significance with

bulls taking comfort in Tuesday's bounce. In saying that, bulls still need a

close above the 21-DMA to return focus to A$1.5695-1.5774 where 2017 highs are

located. Fresh 2017 highs initially target the bull channel top (A$1.5891).

Bears continue to look for a close below the channel base to hint at deeper

sell-off with below A$1.5079 to target the 200-DMA (A$1.4896).

US DOLLAR-INDEX TECHS: 92.496 & 94.219 Levels Remain Key

*RES 4: 94.219 - High Dec 12 

*RES 3: 94.107 - High Dec 13 

*RES 2: 93.775 - 55-DMA 

*RES 1: 93.535 - High Dec 20

*PRICE: 93.288 @ 2030GMT

*SUP 1: 93.163 - Low Dec 20

*SUP 2: 93.039 - Daily Bull channel base

*SUP 3: 93.035 - Low Dec 5

*SUP 4: 92.604 - Low Dec 1

*COMMENTARY: Bulls have so far failed to capitalise on bounces from the 100-DMA

(93.356) with the failure to take out 94.219 seeing pressure back on supports.

Bears look for a close below 93.163 to add weight to their case with a close

below 92.496 to confirm focus on tests of 2017 lows. Bulls still look for a

close above the 55-DMA to ease bearish pressure and above 94.219 to reconfirm a

bullish bias targeting 95.167-654 where the 200-DMA (94.502) is noted.

EURO-DOLLAR TECHS: Bears Need Close Below $1.1827

*RES 4: $1.1961 High Nov 27

*RES 3: $1.1940 High Dec 1

*RES 2: $1.1922 Daily Bear channel top

*RES 1: $1.1901 High Dec 20

*PRICE: $1.1869 @ 2000GMT

*SUP 1: $1.1848 Low Dec 21 

*SUP 2: $1.1827 Low Dec 20 

*SUP 3: $1.1805 Hourly support Dec 19 

*SUP 4: $1.1775 Low Dec 19

*COMMENTARY: Support emerging on dips back towards the key $1.1690 level

provided the base for a move that sees the pair flirting with the $1.1884

resistance. Bulls focus on the $1.1922-61 region with a close above shifting

focus to $1.2033-1.2092 2017 highs. Daily studies are well placed for gains.

Bears continue to look for a close below $1.1827 to ease bullish pressure and

see focus return to the key $1.1690 support.

DOLLAR-YEN TECHS: Initial Focus On Y113.74-114.07

*RES 4: Y114.72 High Nov 6 

*RES 3: Y114.61 LT TL off 2015 High 

*RES 2: Y114.07 High Nov 9 

*RES 1: Y113.74 High Dec 12

*PRICE: Y113.37 @ 0530GMT

*SUP 1: Y113.08 High Dec 19 now support 

*SUP 2: Y112.87 55-DMA 

*SUP 3: Y112.50 21-DMA 

*SUP 4: Y111.98 Low Dec 6

*COMMENTARY: Follow through has been lacking on dips with the marginal close

above the 55-DMA Tuesday seeing bulls initially focused on Y113.74-114.07. Bulls

look for a close above Y114.72 to target Y115.62 and then Y118.60 2017 highs.

Bears need a close below the 55-DMA to ease bullish pressure and return focus to

Y110.83-111.98 where monthly lows, 100 & 200-DMAs are noted. Bears look for a

close below Y110.83 to target 2017 lows (Y107.31).

EURO-YEN TECHS: Overall Focus On Y139.02-141.05

*RES 4: Y139.02 Monthly High Aug 2015

*RES 3: Y136.40 High Oct 21 2015

*RES 2: Y135.84 Low Oct 21 2015 now resistance

*RES 1: Y134.88 2017 High Dec 21

*PRICE: Y134.59 @ 2030GMT

*SUP 1: Y134.25 Hourly Breakout level Dec 20 

*SUP 2: Y133.88 Hourly support Dec 20 

*SUP 3: Y133.60 Hourly support Dec 19 

*SUP 4: Y133.11 Alternating hourly support/resistance

*COMMENTARY: Continued fresh 2017 & 2+ year highs open up for a potential move

targeting monthly highs Y139.02-141.05. The Bolli top (Y134.61) is the key

concern for bulls. Layers of support are following the pair higher with bears

now needing a close below Y133.88 to ease bullish pressure and shift focus back

to the key Y130.59-132.45 support region where the 100-DMA and bull channel base

are noted. Immediate bullish focus is on Y135.84-136.40 while Y133.88 supports.

SPOT GOLD TECHS: Capped Ahead Of Key Resistance Region

*RES 4: $1278.7 - Daily Bear channel top 

*RES 3: $1277.9 - Hourly resistance Dec 1 

*RES 2: $1275.9 - 55-DMA 

*RES 1: $1269.9 - Low Nov 14 now resistance

*PRICE: $1266.7 @ 2030GMT

*SUP 1: $1259.2 - Low Dec 19 

*SUP 2: $1256.5 - Hourly support Dec 18 

*SUP 3: $1249.2 - Hourly breakout level Dec 13 

*SUP 4: $1240.2 - Low Dec 13

*COMMENTARY: Correcting O/S studies provided the impetus for a correction back

towards layers of resistance $1269.9-1289.5 where DMAs and bear channel top are

noted. Layers of support have accumulated with bears needing a close below

$1259.2 to gain breathing room, below $1249.2 to shift immediate focus to

$1235.9 and overall focus to $1204.6-1214.0. Bulls need a close above $1269.9 to

add to confidence.

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

[TOPICS: MTABLE]