Forex Analysis by ForexCycle

[forexcycle]

AUDUSD stays in a bullish price channel on its 4-hour chart and remains in the uptrend from 0.7807. As long as the price is in the channel, the pullback from 0.8124 could be treated as consolidation of the uptrend. Near term resistance is at 0.8050, a break above this level would indicate that the uptrend has resumed, then further rise to test 0.8124 previous high resistance is possible. The key support is at 0.7955, a breakdown below this level would confirm that the upside movement had completed at 0.8124 already, then the following downside movement could bring price back towards 0.7807.

 

[forexcycle]

GBPUSD stays above a bullish support trend line on the 4-hour chart and remains in the uptrend from 1.2774, the fall from 1.3618 is likely consolidation of the uptrend. Deeper decline is still possible and next target would be at 1,3400, followed by 1.3370. As long as 1.3370 level holds, the bullish movement could be expected to resume and an upside break of 1.3618 resistance could signal resumption of the uptrend, then next target would be at 1.3950 area. Key support is located at the bullish trend line, only a clear break below the trend line support could bring price back towards 1.2774.

 

[forexcycle]

EURUSD formed a sideways consolidation in a trading range between 1.1823 and 1.2092. Key support is now at 1.1823, as long as this level holds, the price action in the range could be treated as consolidation of the uptrend from 1.0569 (Apr 10 low). Another rise could be expected after the consolidation and a break above 1.2092 resistance could trigger another rise towards 1.2165. However, a downward break of 1.1823 support would suggest that the uptrend had competed at 1.2092 already, then the pair would fall down to next support level at 1.1662.

 

[forexcycle]

GBPUSD moved sideways in a trading range between 1.3451 and 1.3652. The sideways movement is likely consolidation of the uptrend from 1.2774. As long as 1.3451 support holds, the uptrend could be expected to continue and next target would be at 1.3950 area. On the downside, a breakdown below 1.3451 support could bring price back towards the rising trend line from 1.2909 to 1.3153 on the 4-hour chart, now at around 1.3340. Only a break through the trend line support could indicate that the bullish movement had completed at 1.3652 already, then the following downside movement could take price to 1.2850 area.

 

[forexcycle]

GBPUSD is testing a long term resistance trend line on its weekly chart. A clear break above the trend line resistance could see price rise towards next resistance level at 1.3950. This level would be the final destination of the bullish movement from the October 2016 low of 1.1946. Near term support level is at 1.3360. A breakdown below this level could see a reversal pullback towards the bullish support trend line on the daily chart. A clear break below this trend line could confirm that the whole upside movement from 1.1946 is complete.

 

[forexcycle]

EURUSD remains in the downtrend from 1.2029, the bounce from 1.1717 is likely consolidation of the downtrend. Near term resistance is located at the top trend line of the price channel on the 4-hour chart, now at around 1.1860. As long as the price is in the channel, the downside movement could be expected to continue, and another fall to test 1.1662 support is still possible after the consolidation. Below this level could take price to the resistance-turned-support trend line on the weekly chart, now at 1.1420. On the upside, a clear break above the channel resistance could indicate that the downtrend had completed at 1.1717 already, then the following upside movement could bring price back towards 1.2092 previous high resistance.

 

[forexcycle]

EURUSD stays in a descending price channel on its 4-hour chart and remains in the downtrend from 1.2029. As long as the price is in the channel, the bounce from 1.1717 could be treated as consolidation of the downtrend. Further decline to test 1.1662 key support would likely be seen after the consolidation. A breakdown below this level could take to the resistance-turned-support trend line on the weekly chart, now at 1.1420. On the other side, a breakout of the top trend line of the channel would indicate that the short term downtrend had completed at 1.1717 already, then the pair would find next resistance level at 1.1940, followed by 1.2092.

 

[forexcycle]

AUDUSD continued its downside movement from 0.8102 and the fall extended to as low as 0.7795. Near term resistance is at the top trend line of the price channel on the 4-hour chart. As long as the pair is in the channel, the downside movement could be expected to continue and next target would be at the resistance-turned-support trend line on the weekly chart now at around 0.7700. Key resistance is now at 0.7860, only an upside breakout of this level could indicate that the downtrend is complete, then the following correction rebound could bring price back towards 0.7986.

 

[forexcycle]

AUDUSD broke above the top trend line of the price channel on its 4-hour chart, suggesting that the downside movement from 0.8102 is complete. Further rally to test 0.7860 resistance could be expected in the coming days. A break through this level would confirm that the downtrend had competed at 0.7785 already, then the following correction rebound could bring price towards 0.7986 resistance. On the downside, as long as 0.7860 resistance holds, the bounce from 0.7785 would possibly be consolidation of the downtrend and another fall towards the resistance-turned-support trend line on the weekly chart is still possible.

 

[forexcycle]

EURUSD moved out of the descending price channel on its 4-hour chart, indicating that lengthier consolidation for the downtrend from 1.2029 is underway. The price is expected to test 1.1832 resistance, above this level could signal completion of the downtrend, then the following upside movement could take price to 1.1900 area. Break through this level could trigger further upside movement towards 1.2092 previous high.

On the downside, as long as the price is below 1.1832, the price action in the trading range between 1.1696 and 1.1832 could be treated as consolidation of the downtrend, and a breakdown below 1.1662 key support would take price to the resistance-turned-support trend line on the weekly chart, now at 1.1420.

 

[forexcycle]

USDJPY stays in a rising price channel on its 4-hour chart. As long as the channel support holds, the sideways movement in a trading range between 112.21 and 113.25 could be treated as consolidation of the uptrend from 107.31 and another rise to 114.00 area could be expected after the consolidation. On the downside, a break through the bottom support trend line of the channel could bring price to next support level at 112.21. If this level gives way, the pair would find support at 111.47. This level is the key support of the uptrend from 107.31. Below here would indicate that the upward movement had completed at 113.25 already, then the following correction pullback could take price towards 109.54.

 

[forexcycle]

USDJPY moved sideways in a trading range between 112.21 and 113.43. As long as 112.21 level holds, the sideways move could be treated as consolidation of the uptrend from 107.31, and further rise to 114.00 area cold be expected after the consolidation. On the downside, a breakdown below 112.21 level could bring price back to test 111.47 key support. Below this level would confirm that the upside movement from 107.31 had completed at 113.43 already, then the following correction pullback could take price to 109.50 area.

 

[forexcycle]

AUDUSD stays below a bearish trend line on the 4-hour chart and remains in the downtrend from 0.8102. As long as the price is below the trend line, the bounce from 0.7732 could be treated as consolidation of the downtrend. Further decline could be expected after the consolidation and next target would be at the resistance-turned-support trend line on the weekly chart now at 0.7700. On the upside, a clear break above the trend line could bring price back to test 0.7875 resistance, only break above this level could indicate that the downtrend had completed at 0.7732 already, then the following correction rebound could take price towards 0.7986 resistance.

 

[forexcycle]

USDJPY extended its downside movement from 113.43 to as low as 111.68. Deeper decline to test 111.47 key support is still possible. As long as this level holds, the fall could be treated as consolidation of the uptrend from 107.31 and another rise towards 115.50 is still possible after the consolidation. Near term resistance is at 112.60, followed by 113.43, above these levels could signal resumption of the uptrend. On the downside, a breakdown below 111.47 support will confirm that the uptrend had completed at 113.43 already, then the following downside movement could bring price back to 109.50 area.

 

[forexcycle]

AUDUSD rebounded from 0.7818 after touching the rising trend line on its 4-hour chart, suggesting that the pair remains in the uptrend from 0.7732. Further rise to test 0.7897 resistance could be expected, a breakout of this level could signal resumption of the uptrend, then next target would be at 0.7986. Key support is now at 0.7818, only break below this level could indicate that the uptrend had completed at 0.7897 already, then the following bearish movement could take price back towards the resistance-turned-support trend line on the weekly chart.

 

[forexcycle]

EURUSD moved sideways in a trading range between 1.1730 and 1.1879. As long as 1.1730 support holds, the side movement could be treated as consolidation of the uptrend from 1.1669 and one more rise towards 1.2029 resistance is still possible. Near term resistance is at 1.1879, a breakout of this level could signal resumption of the uptrend. On the downside a breakdown below 1.1730 support could take price to next support level at 1.1662 (Aug 17 low). Below this level will indicate that the whole upside movement from 1.0340 (Jan 3 low) had completed at 1.2092 already, then further decline towards the resistance-turned-support trend line on the weekly chart could be seen.

 

[forexcycle]

GBPUSD failed its attempts to breakout of 1.3228 resistance and pulled back to 1.3110 area, suggesting that the pair remains in the short term downtrend from 1.3337 and deeper decline towards the major support trend line on the daily chart would likely be seen in the coming days. Near term support is at 1.3087, below this level could signal resumption of the downtrend. On the upside, a breakout of 1.3228 level could bring price back to test 1.3337 resistance, above this level could trigger further upside movement towards 1.3455.

 

[forexcycle]

GBPUSD is now facing the bullish support trend line from 1.2109 to 1.2774 on the daily chart. A clear break below the trend line support could take price to a key support level at 1.2774, below this level will confirm that the upside movement from 1.1946 (Oct 2016 low) had completed at 1.3657 already, then further decline towards 1.1946 previous low could be seen. On the upside, as long as the price is above the trend line, the fall from 1.3657 would possibly be consolidation of the uptrend, and a breakout of 1.3337 resistance could trigger another rise towards the bearish trend line on its weekly chart.

 

[forexcycle]

USDJPY continued its upside movement from 111.65 and the rise extended to as high as 114.45. As long as the price is above the rising trend line on the 4-hour chart, the uptrend could be expected to resume, and further rise towards 115.50 is still possible. Near term resistance is at 114.45, above this level could signal resumption of the uptrend. On the downside, a breakdown below the trend line support could bring price to next support level at 113.24. Below this level will confirm that the short term uptrend from 111.65 had completed at 114.45 already, then the following bearish move could could take price back towards 111.47 key support.

 

[forexcycle]

AUDUSD broke above the bearish trend line on the 4-hour chart, indicating that consolidation for the downtrend from 0.7897 is underway. Range trading between 0.7624 and 0.7718 would likely be seen in a couple of days. As long as the price is below 0.7718, the downtrend could be expected to resume and further decline to 0.7500 area is still possible after the consolidation. Near term support is at 0.7624, a breakdown below this level could signal resumption of the downtrend. On the upside, a breakout of 0.7718 resistance will suggest that the downtrend had completed at 0.7624 already, then the following correction rebound could take price to 0.7800 zone.