Technical Outlook

Recovery extension cracks pivotal Fibo barrier

Cable extends recovery from Wednesday’s two-month low (1.2675) after bears got trapped under 200DMA (1.2719) and ahead pivotal Fibo support at 1.2690 (38.2% of 1.1409/1.3482 rally). Fresh advance also points to false break below the base of rising daily cloud (1.2759), with signal to be confirmed on weekly close within the cloud. Rising momentum,…
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Bears take a breather before attempting through key supports

Cable is consolidating within narrow range above Wednesday’s nine week low (1.2675) after bears managed to close below the base of thick daily cloud but failed to register close below next pivotal support at 1.2690 (Fibo 38.2% of 1.1409/1.3482). Wednesday’s long-legged Doji candle points to indecision, as bears face headwinds from key support zone…
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Recovery shows signs of stall as risk aversion boosts yen

Bounce from new nearly six-month low at 104.00 (following false break below key support at 104.18), shows signs of stall. Three-day rally was repeatedly capped by daily Kijun-sen (105.47), with fresh weakness in early Thursday’s trading, generating initial signals of reversal. Daily moving averages are in negative setup and momentum remains…
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