MNI Asian Morning FX Technical Analysis

24 January 2018

By Kyle Shortland

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

http://tinyurl.com/h8lzqnc

AUSSIE TECHS: Topside Hesitation A Concern For Bulls

*RES 4: $0.8162 - Monthly high May 14 2015

*RES 3: $0.8124 - 2017 High Sept 8

*RES 2: $0.8102 - High Sept 20

*RES 1: $0.8038 - 2018 High Jan 19

*PRICE: $0.7992 @ 2030GMT

*SUP 1: $0.7954 - Low Jan 23 

*SUP 2: $0.7935 - Low Jan 16 

*SUP 3: $0.7916 - High Jan 12 

*SUP 4: $0.7882 - Hourly support Jan 12

*COMMENTARY: Follow through was again lacking on Friday's 2018 & 4mth highs

which is a concern with daily studies looking to correct from O/B. The break of

$0.7959 lacked follow through Thursday with bears now needing a close below

$0.7916 to target a correction back to $0.7774-0.7874 where the 100-DMA is

noted. While $0.7916 supports bulls remain focused on 2017 highs and then

$0.8295 2015 highs on a close above.

KIWI TECHS: $0.7300 Support Key Today

*RES 4: $0.7525 - High July 28 

*RES 3: $0.7458 - Low July 28 now resistance 

*RES 2: $0.7433 - Monthly High Sept 20 

*RES 1: $0.7374 - High Sept 25

*PRICE: $0.7347 @ 2030GMT

*SUP 1: $0.7300 - Hourly support Jan 23

*SUP 2: $0.7244 - Low Jan 18

*SUP 3: $0.7233 - Low Jan 17

*SUP 4: $0.7221 - Low Jan 12

*COMMENTARY: The close above $0.7243 in previous weeks ended bearish hopes and

shifted initial focus to $0.7374-0.7433. O/B daily studies looking to correct

remain the key concern for bulls as layers of support build. Bears look for a

close below $0.7300 to ease immediate bullish pressure and below $0.7221 to

target a correction back to $0.7123-30 where the 200-DMA is situated. Overall

below the 55-DMA ($0.7018) is needed to confirm focus on 2017 lows ($0.6779).

AUSSIE-KIWI TECHS: Focus Back On NZ$1.0732-1.0840

*RES 4: NZ$1.1006 - 100-DMA

*RES 3: NZ$1.0990 - 55-DMA

*RES 2: NZ$1.0920 - Low Jan 22 now resistance

*RES 1: NZ$1.0888 - Hourly resistance Jan 23

*PRICE: NZ$1.0874 @ 2030GMT

*SUP 1: NZ$1.0840 - 200-DMA

*SUP 2: NZ$1.0824 - Monthly Low Sept 21

*SUP 3: NZ$1.0807 - 55-WMA

*SUP 4: NZ$1.0732 - 100-WMA

*COMMENTARY: The 55 & 100-DMAs have proven significance having capped that

recovery from 2018 lows with pressure back on NZ$1.0824-40 where the 200-DMA is

located. The 100-WMA remains key support. Bears need a close below the 100-WMA

(NZ$1.0732) to initially target 2017 lows. Layers of resistance have accumulated

on the sell-off with bulls now needing a close above NZ$1.0920 to ease pressure

on key supports and above the 100-DMA to shift focus higher.

AUSSIE-YEN TECHS: 100-DMA Support Now Key

*RES 4: Y89.67 - High Sept 25 

*RES 3: Y89.09 - High Oct 23, Bollinger band top 

*RES 2: Y88.78 - Hourly support Jan 23 now resistance 

*RES 1: Y88.38 - Low Jan 19

*PRICE: Y88.13 @ 2030GMT

*SUP 1: Y87.73 - Low Jan 16

*SUP 2: Y87.32 - 100-DMA

*SUP 3: Y86.70 - 55-DMA

*SUP 4: Y86.30 - 200-DMA

*COMMENTARY: Bulls again failed to take out Y89.09 with the correction leaving

the pair looking a little heavy. The 100-DMA is now key support. Bears look for

a close below the 100-DMA to initially focus on Y85.92-86.64 where 55 & 200-DMAs

are situated. Bulls continue to look for a close above Y89.09 reconfirm a

bullish bias and focus on tests of 2017 highs (Y90.30). The Bollinger band top

is the key concern for bulls and limits follow through.

EURO-AUSSIE TECHS: Bulls Need Close Above A$1.5446

*RES 4: A$1.5526 - High Dec 20

*RES 3: A$1.5467 - Hourly support Dec 21 now resistance

*RES 2: A$1.5446 - High Jan 12

*RES 1: A$1.5429 - 55-DMA

*PRICE: A$1.5366 @ 2030GMT

*SUP 1: A$1.5316 - Hourly resistance Jan 23 now support 

*SUP 2: A$1.5254 - 100-DMA 

*SUP 3: A$1.5189 - Hourly resistance Jan 11 now support 

*SUP 4: A$1.5148 - 2018 Low Jan 11

*COMMENTARY: The pair remains supported ahead of the 100-DMA after having failed

to gain traction above the 55-DMA in recent weeks. Bulls continue to look for a

close above A$1.5446 to confirm a break of the 55-DMA, regaining the upper hand

and returning focus to tests of 2017 highs (A$1.5774). Bears continue to look

for a close below the 100-DMA to reconfirm focus on A$1.5034-79 where the

200-DMA is situated.

US DOLLAR-INDEX TECHS: Remains Heavy

*RES 4: 91.523 - Hourly resistance Jan 12 

*RES 3: 91.011 - Low Sept 8 now resistance 

*RES 2: 90.704 - High Jan 22 

*RES 1: 90.294 - Hourly resistance Jan 23

*PRICE: 90.174 @ 0530GMT

*SUP 1: 90.113 - 2018 Low Jan 17

*SUP 2: 89.776 - Low Dec 26 2014

*SUP 3: 89.769 - Bollinger band base

*SUP 4: 88.921 - Low Dec 18 2014

*COMMENTARY: Sideways trading continues with the index remaining capped ahead of

the 91.011 resistance. Bears still need a close below 90.113 to retain overall

focus on tests of the 88.125 Dec 2014 monthly low with O/S daily studies

remaining their key concern. Bulls still need a close above 91.011 to ease

bearish pressure and above 91.751 to hint at a correction back to 92.640-93.051

where key DMAs are clustered.

EURO-DOLLAR TECHS: $1.2156 & 1.2322 Levels Remain Key

*RES 4: $1.2599 Monthly High Nov 19 2014

*RES 3: $1.2569 Monthly High Dec 16 2014

*RES 2: $1.2360 Low Dec 10 2014 now resistance

*RES 1: $1.2322 2018 High Jan 17

*PRICE: $1.2286 @ 2000GMT

*SUP 1: $1.2270 Hourly support Jan 24 

*SUP 2: $1.2213 Low Jan 22 

*SUP 3: $1.2156 Hourly resistance Jan 12 now support 

*SUP 4: $1.2111 Hourly support Jan 12

*COMMENTARY: Bulls take comfort in support emerging on dips that retains focus

on $1.2322 despite daily studies remaining at O/B levels and overdue a

correction. Bulls need a close above $1.2322 to reconfirm focus on the LT bear

channel top $1.2686. Support layers are building once again but bears continue

to look for a close below $1.2156 to confirm an easing of bullish pressure and

below the 21-DMA ($1.2077) to shift focus back to $1.1857-1.1914.

DOLLAR-YEN TECHS: Pressuring Key Support

*RES 4: Y111.98 Low Dec 6 now resistance 

*RES 3: Y111.76 200-DMA 

*RES 2: Y111.23 High Jan 22 

*RES 1: Y110.55 Hourly resistance Jan 23

*PRICE: Y110.31 @ 2000GMT

*SUP 1: Y110.18 2018 Low Jan 17 

*SUP 2: Y109.52 Low Sept 15 

*SUP 3: Y107.31 2017 Low Sept 8 

*SUP 4: Y104.95 Low Now 10 2016

*COMMENTARY: The rejection ahead of the 200-DMA (Y111.76) last week left the

pair looking a little heavy and focus back on layers of support Y109.52-110.18.

Bears continue to look for a close below Y109.52 to add weight to the case for a

test of 2017 lows. O/S daily studies remain a concern for bears. Bulls need a

close above the 200-DMA to gain breathing room and above the 55-DMA (Y112.38) to

shift initial focus to Y112.86-113.44.

EURO-YEN TECHS: 21-DMA Supporting, Y134.81 Support Remains Key

*RES 4: Y139.02 Monthly High Aug 2015

*RES 3: Y136.62 2018 High Jan 5, Bollinger band top

*RES 2: Y136.32 High Jan 8

*RES 1: Y135.71 Hourly resistance Jan 23

*PRICE: Y135.51 @ 2030GMT

*SUP 1: Y135.16 21-DMA 

*SUP 2: Y134.81 Hourly support Jan 12 

*SUP 3: Y134.39 Alternating hourly support/resistance 

*SUP 4: Y133.60 Hourly support Jan 11

*COMMENTARY: The recovery form dips below the 55-DMA and channel base in recent

weeks sees the pair supported ahead of the 21-DMA. The Y134.81 support remains

key. Bears still need a close below Y134.81 to ease bullish pressure and shift

focus back to the 21-WMA (133.35) and 100-DMA (Y133.20). Below the 100-DMA

shifts focus to Y130.59-132.03. While Y134.81 supports focus remains on the

close above Y136.62 needed to confirm focus on Y139.02-141.05.

SPOT GOLD TECHS: Below $1315.4 To Target $1289.5-1293.5

*RES 4: $1374.9 - 2016 High July 6 2016 

*RES 3: $1367.3 - Monthly High Aug 2 2016 

*RES 2: $1357.5 - 2017 High Sept 8 

*RES 1: $1344.5 - 2018 High Jan 15

*PRICE: $1339.3 @ 2030GMT

*SUP 1: $1321.2 - Hourly support Jan 12 

*SUP 2: $1317.3 - 21-DMA 

*SUP 3: $1315.4 - Low Jan 11 

*SUP 4: $1305.9 - Low Jan 4

*COMMENTARY: Gold was rejected ahead of recent 2018 highs last Wed with the

sell-off so far lacking follow through and bulls taking comfort in recovering

lost ground. Momentum studies have corrected to neutral levels but other studies

are correcting from O/B. Bulls need a close above $1344.5 to reconfirm focus on

2017 and then 2016 highs. Bears look for a close below $1315.4 to target

$1289.5-1293.5 where 55 & 100-DMAs are noted.

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

[TOPICS: MTABLE]