April 26, 2024 10:20 GMT
Price Signal Summary - JPY Bears Remain In The Driver’s Seat
OUTLOOK
- In FX, EURUSD is trading higher today. The pair has pierced resistance at 1.0726, the 20-day EMA. The move higher appears to be a correction that is allowing a recent oversold condition to unwind. A resumption of the downtrend would open 1.0568 next, the Nov 2 2023 low, and 1.0534, the base of a bear channel drawn from the Dec 28 high. A clear break of the 20-day EMA would instead signal scope for a stronger recovery towards 1.0780, the 50-day EMA.
- The trend condition in GBPUSD remains bearish and this week’s recovery appears to be a correction - for now. The move higher is allowing an oversold condition to unwind. The recent break lower, maintains the downward price sequence of lower lows and lower highs. A resumption of weakness would open 1.2266, the Nov 14 2023 low. Resistance to watch is 1.2583, the 50-day EMA.
- The USDJPY trend condition remains bullish and the pair continues to appreciate. This week’s move higher confirms a resumption of the primary uptrend. Sights are on 157.65 next, the 2.236 projection of the Feb 1 - 13 - Mar 8 price swing. On the downside, support to watch lies at 153.56, the 20-day EMA.
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