Asia - Forex Technical Outlook and Review | 14 December 2023
DXY:
The DXY (US Dollar Index) chart currently shows a bearish overall momentum, indicating a downward trend in the US dollar. Price could potentially continue this bearish movement towards the 1st support level.
The 1st support at 102.46 is categorized as a swing low support, and it has historical significance as a level where buying interest emerged in the past. Traders should watch this level for potential signs of a temporary pause or reversal in the bearish movement.
The 2nd support at 101.83 is identified as an overlap support and coincides with the 127.20% Fibonacci Extension level. This suggests that it could be a stronger support level, but it’s still essential to monitor price action around this level carefully.
On the resistance side, the 1st resistance at 103.28 is considered a pullback resistance. This level may act as a barrier where selling interest could intensify, potentially causing a continuation of the bearish trend.
Further up, the 2nd resistance at 104.20 is categorized as a multi-swing high resistance, indicating another level where selling pressure may increase.
EUR/USD:
The EUR/USD chart currently has a bullish overall momentum, indicating an upward trend in the Euro against the US Dollar. Price could potentially continue this bullish movement towards the 1st resistance level.
The 1st support at 1.0819 is categorized as a pullback support. This level is significant as it suggests a potential area where buying interest may emerge, providing temporary support for the EUR/USD pair.
The 2nd support at 1.0748 is identified as an overlap support and coincides with the 78.60% Fibonacci Retracement level. This suggests that it could be a stronger support level, but it’s still essential to monitor price action around this level carefully.
On the resistance side, the 1st resistance at 1.0956 is considered a pullback resistance and coincides with the 78.60% Fibonacci Retracement level. This level may act as a barrier where selling interest could intensify, potentially causing a temporary pause or reversal in the bullish trend.
Further up, the 2nd resistance at 1.1017 is categorized as a swing high resistance, indicating another level where selling pressure may increase.
Intermediate resistance at 1.0878 also provides an important level to watch for potential price reactions.
GBP/USD:
The GBP/USD chart currently exhibits a bullish overall momentum, indicating an upward trend in the British Pound against the US Dollar. Price could potentially continue this bullish movement towards the 1st resistance level.
The 1st support at 1.2506 is identified as an overlap support, which suggests that it has historical significance as a level where buying interest has emerged. This support level could provide temporary stability for the GBP/USD pair.
The 2nd support at 1.2401 coincides with the 50% Fibonacci Retracement level, further reinforcing its importance as a potential support level.
On the resistance side, the 1st resistance at 1.2718 is considered a multi-swing high resistance, indicating that it has historically acted as a significant barrier where selling interest intensified. This level is a key point to watch for potential price reactions.
The 2nd resistance at 1.2811 is also noteworthy as it coincides with the 127.20% Fibonacci Retracement level, indicating potential resistance based on Fibonacci analysis.
USD/JPY:
The USD/JPY chart currently exhibits a bearish overall momentum, indicating a downtrend in the US Dollar against the Japanese Yen. Price could potentially continue this bearish movement towards the 1st support level.
The 1st support at 140.33 is identified as a significant level based on the 127.20% Fibonacci Extension, suggesting potential support at this level.
The 2nd support at 138.83 is notable as it coincides with multi-swing low support, indicating historical significance as a level where buying interest has previously emerged.
On the resistance side, the 1st resistance at 144.59 is considered a pullback resistance, suggesting that it has historically acted as a substantial barrier where selling interest intensified. This level is a key point to watch for potential price reactions.
The 2nd resistance at 146.50 is identified as an overlap resistance, indicating that it has historical significance as a level where selling pressure increased.
USD/CAD:
The USD/CAD chart currently exhibits an overall bearish momentum, indicating a new downward trend. In this context, there is a potential scenario for price to break under the 1st support and make a bearish continuation towards the 2nd support.
The 1st support level at 1.3480 is identified as a swing-low support. Further below, the 2nd support level at 1.3428 is also marked as a swing-low support that aligns with the 61.80% Fibonacci projection level, further reinforcing its importance as a key support level.
To the upside, the 1st resistance level at 1.3551 is identified as a pullback resistance while the 2nd resistance level at 1.3620 is also noted as a pullback resistance, suggesting a potential barrier for further upside movement.
AUD/USD:
The AUD/USD chart currently exhibits an overall bullish momentum, indicating a new upward trend. In this context, there is a potential scenario for price to make a bullish continuation towards the 1st resistance.
The 1st resistance level at 0.6724 is identified as a swing-high resistance that aligns with a confluence of Fibonacci levels i.e. the 127.20% extension and the 61.80% projection levels. Higher up, the 2nd resistance level at 0.6811 is also marked as a swing-high resistance that aligns with the 78.60% Fibonacci projection level, indicating its potential significance as a barrier for further upward movement.
To the downside, the 1st support level at 0.6676 is identified as a pullback support while the 2nd support level at 0.6613 is also noted as a pullback support, further reinforcing its importance as a key support level.
NZD/USD:
The NZD/USD chart currently exhibits an overall bullish momentum, indicating a new upward trend. In this context, there is a potential scenario for price to make a bullish continuation towards the 1st resistance.
The 1st resistance level at 0.6255 is identified as a swing-high resistance that aligns with a confluence of Fibonacci levels i.e. the 127.20% extension and the 61.80% projection levels. Higher up, the 2nd resistance level at 0.6303 is also marked as a swing-high resistance that aligns with a confluence of Fibonacci levels i.e. the 161.80% extension and the 78.60% projection levels, indicating its potential significance as a barrier for further upward movement.
To the downside, the 1st support level at 0.6220 is identified as a pullback support while the 2nd support level at 0.6182 is also noted as a pullback support, further reinforcing its importance as a key support level.
