"The amount isn't much as a percent of Japan's economy, so the impact on the yen was limited, but it "has added a slight risk-on tone to the markets in general."- Société Générale (based on MarketWatch)Industry outlookUSD/JPY is trapped between the 81.33 and 80.10 levels and if the pair fixes today below the latter level, it could expose the further
"Technically the UK is in recession but the pound has not sold off massively, which suggests maybe it has found a new range ... Sterling is benefiting from people diversifying out of euros and there aren't many choices out there."- Investec (based on Reuters)Industry outlookGBP/USD shows strong performance for the second consecutive week and it shows no signs of stopping
"Watching Spain now is exactly like watching Ireland around October 2010 before Ireland was forced into its bailout"- Roubini Global Economics (based on Bloomberg)Industry outlookEUR/JPY slumped lower last week as the market aims to stick to the near-term support level at 106.49. It might approach the 55-day MA located and higher Bollinger band around 107.80/99 and a breach here would
Given that 0.9066 is losing its status as a key support, 0.9000 and 0.8933 (200 day ma) are now in danger of being challenged. However, in case these supports are tested, positive outlook is likely to be restored and then shift focus to 0.9317/42.
USD/JPY is supposed to gradually erode a resistance at 81.43, provided that the pair does not breach a support level situated 80.29/11 in the interim, which is currently guarded by 80.40. In the longer term perspective USD/JPY should target 85.53.
GBP/USD shows no intention of stopping its current rally and may carry on surging on the condition that bearish correction will not result in a dip below a support at 1.6062/63. Resistances are at 1.6199, 1.6028 and 1.6298.
Bullish momentum has weakened, but should still persist, driving the currency pair upwards. The nearest support is located at 106.33, reinforced by a subsequent level at 105.93. EUR/JPY is anticipated to encounter 108.00 within the next two weeks.
EUR/USD appears to be unable to approximate to a confluence of resistances at 1.3292/97, leaving the pair capped for the next few weeks. The currency couple is now expected to aim for 1.2974/54 before seeking even lower levels.
A clash of the price and a key support at 0.9066 should lead to another leg up of the pair. Robust reignition of bullish momentum would ensure USD/CHF attaining 0.9317/42, before attempting to reach 0.9595 in the long term.
As soon as USD/JPY overcomes downtrend resistance at 80.84/81.53 we are likely to observe a rise of the pair up to 82.00 first, then 83.31/39 and 84.14. At the same time dips should be limited by supports at 80.84 and 80.29.
Persistence of the Cable at 1.6167 might bear fruit. Even though violation of the resistance is not favoured scenario, it will result in an increase of the price of up 1.6425. The initial support level is located at 1.6062, followed by 1.5984/92 and 1.5888.
EUR/JPY currency couple is slowly crawling upwards after stabilising near 106.33/105.95. Breach of 108.00 would imply additional bullishness of the pair with the possibility to attain 108.62 en route to 109.95.
Despite a breakout of 1.3204 (55 day ma), EUR/USD is still capped by a cluster of resistances at 1.3296/1.3305, which is unlikely to allow a rally to extend up to 1.3385. The nearest supports are at 1.3045 and 1.2995/1.3004.
Following a flat movement of USD/CHF just above 0.9066 in the coming days, bullish momentum is expected to be reignited, shifting attention to a resistance at 0.9317/42. Within the next three months the pair might even attain 0.9595.
The currency couple continues to be contained by a resistance downtrend, which is about to be eroded. As a result, levels at 83.31/39 and 84.19 will be targeted. In the meantime, losses of the price should be limited by supports at 80.75 and 80.29.
GBP/USD is viewed as incapable of overcoming a tough resistance located at 1.6167, challenge of which should result in a dip to 1.5984. Nonetheless, the unlikely possibility of the Cable rallying up to 1.6199 may not be ruled out yet.
EUR/JPY is currently consolidating near 106.33/105.95, before it undertakes an additional attempt to break above 107.48. Breach of subsequent resistance at 108.00 will encourage the pair to reach out for 108.62.
The outlook for the currency pair remains bearish considering a formidable resistance that lies ahead at 1.3300/12. The first support EUR/USD is likely to encounter is situated at 1.3174, then 1.3045 and 1.2974/54.
As long as a key support situated at 0.9066 remains untouched, there is little chance for USD/CHF to turn bearish. Near-term resistance is at 0.9148/68, reinforced by 0.9221. The longer term target lies at 0.9317/42.
Despite a resistance at 81.60/73 currently being ahead of USD/JPY, the level should not be able to contain the currency pair, which will leave 83.31/39 exposed. In case the rally extends further, 84.19 may be reached.
The Cable is approaching a tough resistance level at 1.6167 and seems to be losing bullish momentum, which is likely to result in a decline. The first support is located at 1.5984, lower levels may be found at 1.5874 and 1.5843.
EUR/JPY had failed to overcome 107.88/49 (55 day ma) and then dipped down to 106.33/105.95, where the currency couple should commence recovery. Once 108.00 is breached, the next target will become 108.62.
Rally of EUR/USD did not persist and the pair has once again fell below 55 day ma. A cluster of downtrend resistances cap the price at 1.3305/20, while the initial support lies at 1.3174, followed by 1.3045 and 1.2974/54.
According to experts from zifx.com, following an extensive rally of GBP/USD, the currency pair is presently undergoing a bearish correction. While the initial support and resistance levels are situated at 1.6037 and 1.6154, respectively, most of the indicators point to the downside, which supports the idea of a weaker British Pound relative to the US Dollar in the short-term, analysts