Short Term Technical Analysis for Majors (07:00 GMT)

EUR/USD

The Euro starts the week under increased pressure, despite Friday’s close above 1.2900 handle, as gap lower open tested levels below 50% of 1.2660/1.3125 ascend. With bears fully in control on lower timeframes studies, and failure to fill the gap, further weakness is seen as likely near-term scenario. Immediate target lies at 1.2839, Fib 61.8%, ahead of strong support zone at 1.2820, where daily Ichimoku cloud base and bull-trendline off 1.2042 lie. Overnight’s high at 1.2914, reinforced by hourly 200 day EMA, offer initial resistance, followed by 1.2950, 06 Dec low / 07 Dec intraday high / 55 day EMA and 1.2971, 07 Dec high / Fib 38.2% of 1.3125/1.2876. Only regain of psychological 1.3000 barrier, also 50% retracement, would avert immediate downside risk.

Res: 1.2914, 1.2950, 1.2971, 1.3000
Sup: 1.2876, 1.2839, 1.2825, 1.2800





GBP/USD

Cable’s near-term price action moves above psychological 1.6000 support, also last Friday’s low, with gains being capped by 4h 55 day EMA at 1.6040 zone. Negative hourly studies are lacking momentum for stronger recovery, as additional pressure comes from 4h indicators that moved into negative territory. This keeps immediate focus at the downside, as loss of 1.6000 handle is expected to open way for further retracement of 1.5826/1.6129 rally and confirm double-top pattern. Immediate downside targets lie at 1.5978/60, Fib 50% / 28 now low, below which to possibly target 1.5942/00, Fib 61.8% / 76.4% retracement. Overnight’s high at 1.6042, offers initial resistance, while break through 1.6060, Last Friday’s high and 50% of 1.6127/1.6000, would provide relief and signal basing attempt.

Res: 1.6032, 1.6042, 1.6060, 1.6090
Sup: 1.6012, 1.6000, 1.5987, 1.5960




USD/JPY

Near-term tone shows signs of improvement, as hourly / 4h studies broke higher and the price attacked 82.80 barrier and near-term range –top. However, failure to clear 83.00 barrier, shows lack of momentum and keeps the range barrier intact for now. Holding above 82.20, 55 day EMA, would keep the prospect for possible fresh attempt high, while break below would shift near-term focus lower and expose 82.00 and 81.70, range floor.

Res: 82.63, 82.74, 82.83, 83.00
Sup: 82.20, 82.00, 81.68, 81.58





USD/CHF

The pair maintains near-term positive stance, following break above important 0.9300/40 barriers and extension higher that so far retraced over 50% of 0.9511/0.9239 decline at 0.9381. Overnight gap-higher opening and approach to important 0.9400/20 resistance zone, keeps the downside protected for now and looks for further retracement. However, extended hourly conditions may signal further consolidation, with 0.9320 zone, last Friday’s lows, reinforced by ascending 55 day EMA, expected to contain. Break of 0.9400 and 0.9420, 200 day MA, is required to resume recovery and signal triple-bottom.

Res: 0.9368, 0.9381, 0.9400, 0.9430
Sup: 0.9346, 0.9325, 0.9315, 0.9300