Asian Session Notes

AUDJPY

Resistance: 83.05 minor / 83.23 moderate / 83.55 minor

Support: 82.74 minor / 82.31 moderate / 82.95 minor

Merging the candles from the Wellington open with the rest of the Monday trade our daily candle for AUDJPY will be a grave stone doji reinforcing the notion of a top for the bull market from July 25. Among indicators we have daily macd’s opening lower while the stochastic is also heading down. Intraday we have mixed signals with 4H stochastic poised to cross up and macd’s heading lower. Hourly charts for their part are poised to see a confluence of buys on the knee-jerk to the less than dovish RBA minutes. For now we have prices heading for the 83.23 moderate resistance area look for signs of weakness or distribution before considering shorts from the said level.

AUDUSD

Resistance: 1.0475 minor / 1.0503 minor / 1.0529 moderate

Support: 1.0441 moderate / 1.0410 minor / 1.0342 moderate

Aussy saw a bounce off the 34D EMA from the open of Wellington markets though yesterdays range was limited. That said we now have a bullish crossover in daily stochastic while the macd is heading lower. In intraday charts we are also seeing mixed directions from the 4H macd and stochastic with relatively fresh crossovers bearish in the latter and bullish for the former. Hourly indicators for their part has macd’s bouncing off the signal line while stochastic is pointing higher. Note we have RBA minutes coming up at 0130GMT with a dovish read a possible catalyst for a resumption of the bear market from Friday.

EURJPY

Resistance: 98.36 moderate / 98.73 moderate / 99.10 minor

Support: 97.93 minor / 97.72 moderate / 97.47 moderate

With Euro pushing up as USDJPY sold off in New York trade we saw have EURJPY with a high wave spinning top at the close this after another such Candle Friday possibly signalling a higher high has been establish and a correction a developing risk. Daily indicators has stochastic coming off overbought levels while the macd is still pointing up. In the lower time frames we are seeing conflicting signals with hourly macd’s flat and stochastic heading lower. This as 4H charts has stochastic pushing higher and macd also just crossing down. A daily close under 97.72 will mark the start of a correction while we can also see an intraday short coming off 98.36.

USDJPY

Resistance: 79.57 minor / 79.97 strong / 80.16 moderate

Support: 79.32 minor / 79.18 strong / 78.99 minor

About the only impressive daily chart has been USDJPY with a ‘Dark Cloud Cover’ turning up by merging the Sunday Wellington Trade with the rest of the Monday trades, starting from the Japan open. Indicators has daily stochastic still overbought and macd’s rising though we have a rejection from the 200D SMA. In the lower time frames we have a confluence of bears with 4H stochastic poised to push oversold and macd’s crossing lower. Hourly charts for their part has a confluence of bears with stochastic also looking poised to push oversold. An hourly close under 79.18 could be seen as a cue for weakness among the yen pairs, while 79.57 may also be seen as a bearish entry.

©2012 FX Instructor Forex Blog - For Traders, By Traders. All Rights Reserved.

.