MNI US Morning FX Technical Analysis

7 February 2018

By Kyle Shortland

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

http://tinyurl.com/jz5y37x

EURO-DOLLAR TECHS: Sell-Off Lacks Follow Through

*RES 4: $1.2522 High Feb 1

*RES 3: $1.2498 Hourly resistance Feb 2

*RES 2: $1.2433 High Feb 6

*RES 1: $1.2406 Hourly resistance Feb 7

*PRICE: $1.2351 @ 0930GMT

*SUP 1: $1.2313 Low Feb 6 

*SUP 2: $1.2307 21-DMA 

*SUP 3: $1.2213 Low Jan 22 

*SUP 4: $1.2156 Hourly resistance Jan 12 now support

*COMMENTARY: Bears failed to capitalise on the dip below $1.2322 with the pair

finding support ahead of the 21-DMA. Bears now need a close below the 21-DMA to

confirm a shift in focus to $1.2092-1.2156. Daily studies correcting from O/B

remain the key concern for bulls. The $1.2433 resistance is key today. Bulls

need a close above this level to gain breathing room and to reconfirm focus on

tests of the weekly bear channel top ($1.2670).

CABLE TECHS: $1.3999 Resistance Key Today

*RES 4: $1.4286 High Jan 26 

*RES 3: $1.4188 Hourly support Feb 1 now resistance 

*RES 2: $1.4081 Hourly support Feb 5 now resistance 

*RES 1: $1.3999 High Feb 6

*PRICE: $1.3898 @ 0930GMT

*SUP 1: $1.3834 Low Feb 6 

*SUP 2: $1.3720 Low Jan 15 

*SUP 3: $1.3656 High Sept 20 now support 

*SUP 4: $1.3630 55-DMA

*COMMENTARY: Follow through was lacking on Tuesday's sell-off with bulls now

needing a close above $1.3999 to gain breathing room. The pair currently flirts

with the 21-DMA ($1.3958). Above the 200-WMA ($1.4371) remains need to target

$1.5018. Bears now look for a close below $1.3834 to add weight to the case for

tests of $1.3585-1.3720 where the 55-DMA ($1.3630) is located.

DOLLAR-YEN TECHS: Bears Need Close Below Y108.12

*RES 4: Y111.23 High Jan 22 

*RES 3: Y110.47 High Feb 2 

*RES 2: Y110.04 21-DMA 

*RES 1: Y109.71 Hourly resistance Feb 7

*PRICE: Y109.06 @ 0930GMT

*SUP 1: Y108.87 Hourly support Feb 6 Jan 30 

*SUP 2: Y108.40 Low Jan 30 

*SUP 3: Y108.27 Low Jan 26 

*SUP 4: Y108.12 Low Sept 11

*COMMENTARY: Despite remaining capped around the 21-DMA bears have failed to

manage the break of Y108.12 needed to confirm initial focus on Y107.31-76 where

the rising weekly triangle base and 2017 lows are situated. Daily studies

lingering around O/S levels are less than ideal. Bulls now need a close above

the 21-DMA to ease bearish pressure and above Y110.47 to initially target

Y111.22-112.56 where key DMAs and the bear channel top are noted.

EURO-YEN TECHS: Bulls Need Close Above Y135.95

*RES 4: Y137.58 High Aug 26 2015

*RES 3: Y137.22 High Feb 5

*RES 2: Y135.95 Hourly support Feb 1 now resistance

*RES 1: Y135.09 Alternating hourly support/resistance

*PRICE: Y134.63 @ 0930GMT

*SUP 1: Y134.51 Hourly support Feb 6a 

*SUP 2: Y134.43 55-DMA 

*SUP 3: Y133.82 Low Jan 12 

*SUP 4: Y133.63 100-DMA

*COMMENTARY: Support continues to emerge ahead of the 100-DMA and 21-WMA

(Y133.83) on dips with bears needing a close below the 100-DMA to hint at a move

back to the 200-DMA (Y130.62) and below Y133.04 to confirm. Bulls now need a

close above Y135.95 to ease pressure on key supports and return focus to

Y137.22-58 where 2018 highs are found. Above Y137.58 is now needed to confirm

focus on monthly highs Y139.02-141.05 last seen in 2015 are found.

EURO-STERLING TECHS: Bulls Need Close Above Gbp0.8928

*RES 4: Gbp0.8981 High Nov 28 

*RES 3: Gbp0.8928 High Jan 12 

*RES 2: Gbp0.8921 Bollinger band top 

*RES 1: Gbp0.8909 High Feb 6

*PRICE: Gbp0.8885 @ 0930GMT

*SUP 1: Gbp0.8849 Hourly support Feb 5 

*SUP 2: Gbp0.8815 21-DMA 

*SUP 3: Gbp0.8776 Hourly resistance Feb 2 now support 

*SUP 4: Gbp0.8714 Low Feb 1

*COMMENTARY: Topside follow through was lacking Tuesday on the break of the bear

channel top. Bulls now look for a close above Gbp0.8928 to end bearish hopes and

initially target Gbp0.9048. The Bollinger top is the key concern for bulls with

potential to limit follow through. Bears now need a close below the 21-DMA to

ease bullish pressure and below Gbp0.8776 to shift initial focus back to 2018

lows.

AUSSIE TECHS: Bears Focused On $0.7229-0.7802

*RES 4: $0.8046 - Hourly resistance Feb 1

*RES 3: $0.7981 - 21-DMA

*RES 2: $0.7954 - High Feb 5

*RES 1: $0.7911 - High Feb 6

*PRICE: $0.7862 @ 0930GMT

*SUP 1: $0.7832 - Low Feb 6, Bollinger band base 

*SUP 2: $0.7802 - Low Jan 3 

*SUP 3: $0.7794 - 55-DMA 

*SUP 4: $0.7774 - 100-DMA

*COMMENTARY: Hesitation ahead of $0.8135-62 took its toll with bearish focus

currently on the $0.7729-0.7802 region where key DMAs are clustered. The

Bollinger base is the key concern with support emerging on dips. Bulls now need

a close above $0.7911 to gain breathing room now and above the 21-DMA to shift

focus back to 2017 highs. Bears now need a close below $0.7729 confirm breaks of

DMA & WMAS & to shift focus back to $0.7500 Dec lows.

DOLLAR-CANADA TECHS: $1.2588-1.2628 Resistance Region Key

*RES 4: $1.2628 - Low Dec 27 now resistance

*RES 3: $1.2612 - 100-DMA

*RES 2: $1.2601 - 55-DMA

*RES 1: $1.2565 - High Feb 6

*PRICE: $1.2525 @ 0930GMT

*SUP 1: $1.2492 - Low Feb 6 

*SUP 2: $1.2452 - High Feb 2 now support 

*SUP 3: $1.2399 - Low Feb 5 

*SUP 4: $1.2331 - High Feb 1 now support

*COMMENTARY: The recovery from 2018 lows is now hesitating ahead of the

$1.2588-1.2628 resistance region where 55 & 100-DMAs are situated. Bulls need a

close above $1.2628 to confirm an end to bearish hopes and shift focus to

$1.2767-1.2915 where the 200-DMA ($1.2767) is found. Bears now need a close

below $1.2492 to ease bullish pressure and below $1.2399 to shift initial focus

back to 2018 lows.

SPOT GOLD TECHS: Aggressively Rejected Ahead Of Key Resistance

*RES 4: $1367.3 - Monthly High Aug 2 2016 

*RES 3: $1359.7 - Hourly support Jan 25 now resistance 

*RES 2: $1352.3 - High Jan 29 

*RES 1: $1339.0 - Hourly support Feb 6 now resistance

*PRICE: $1328.0 @ 0930GMT

*SUP 1: $1319.9 - Low Feb 6 

*SUP 2: $1315.4 - Low Jan 11 

*SUP 3: $1305.9 - Low Jan 4 

*SUP 4: $1302.5 - Low Jan 2

*COMMENTARY: Bounces remain capped ahead of $1352.3 with bulls needing a close

above this level to regain the upper hand and above $1374.9 to confirm focus on

$1391.8-1433.3. Layers of support are starting to build with bears now needing a

close below $1315.4 to reconfirm focus on $1302.5-1305.6. Daily studies have

room to move before O/S is an issue.

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

[TOPICS: MTABLE]