Asian Session Notes

By @ibtimes on

Australian jobs numbers have turned out weaker than expected with the Employment Change data at -22,100 though the unemployment rate remains steady. This suggests further losses for the Aussy AUDUSD is nowat greater risk of developing a lower low situation in the daily charts, ie break of 1.0536.

AUDJPY

Res: 86.29/87.22/87.72

Sup: 85.86/85.30/84.61

We are currently with the daily EMA lines with macd’s dropping and stochastic at risk of crossing lower. This suggests a bearish bias in a whipsaw markets. In 4H charts we have macd’s crossing lower while stochastic is pushing for oversold levels. Hourly indicators see a new confluence of bears. At this point with disappointing jobs numbers from Australia we expect to see a test of the psychological 85.00 area. Consider shorts from just under 86.29 or on a push below the 85.86 region.

EURUSD

Res: 1.4254/1.4284/1.4324

Sup: 1.4189/1.4154/1.4116

With yesterdays sell-off we have closed under the lows from Monday giving a ‘falling three method’ bearish continuation pattern. From the indicators we have macd’s dropping while stochastic is in oversold territory poised to cross lower. Intraday indicators are mixed with the 4H picture showing a confluence of bears from the hourly level we have macd bottoming out while stochastic is overbought. At this point we prefer looking for further signs of weakness, consider shorts from under 1.4254 for a test of key levels at 1.4154.

NZDUSD

Res: 0.7910/0.7971/0.8000

Sup: 0.7882/0.7856/0.7819

Kiwi chart has been playing a range game over the course of the week though daily indicators now show a new bear cross from stochastic inline with a bearish macd. Looking intraday we have a bearish macd and stochastic in oversold territory. Hourly indicators see macd bottoming out while stochastic is crossing lower. For now we prefer playing the range game from the sell-side consider shorts under 0.7971, a close under 0.7882 on a 4H basis may also be seen as a possible sell.

AUDUSD

Res: 1.0726/1.0779/1.0806

Sup: 1.0670/1.0631/1.0581

With the commodity sell-off AUDUSD closed Wednesday below the 21D EMA. Daily indicators now see stochastic with a new bear cross inline with declining macd’s. From intraday charts we have 4H stochastic oversold while macd is dropping. In the hourly level we have a fresh confluence of bears with stochastic crossing lower and macd bearish. For now we risk developing a lower low situation from the daily charts, we already have lower highs with yesterdays sudden turn around. We prefer a sell-on rallies strategy until commodity markets stabilize. Consider shorts from under 1.0753, alternative entry a close under the 1.0670 region.

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