Intraday Outlooks For EUR/USD, USD/JPY, EUR/GBP, AUD/USD – SEB

The following are the intraday outlooks for EUR/USD, USD/JPY, EUR/GBP and AUD/USD as provided by the technical strategy team at SEB Group.

EUR/USD: ‘Head & shoulders’ bottom? A contracting range in line with trend or a ‘Head & shoulders’ bottom formation? – live to tell… Intraday stretches do not work well during the most recent attacks on the euro, but on the upside it seems reliable still (as was the case yesterday). If this is just another range in the ongoing downtrend, it could last until ECB, but if breaking a 1.1661 ‘Equality point’ it could be an inverse ‘Head & shoulders’ formation, ideally targeting 1.1820.

USD/JPY: Testing res at 118.85. The near-term topside ‘Equality point’ coincides with a lesser 118.85 reaction high and it represents targeted resistance. Above this level, there are alternative pockets of attraction/resistance at 119.35 & 120.00. Back under 116.92 would complete the suspected correction higher and realign aim to/below the recent 115.85 low. Current intraday stretches are located 116.90 & 118.65.

EUR/GBP: Rechecking resistance at 0.7700/50. Too low too fast is a good to describe last week’s fallout. The short-term multi-stochastics run low, but show a tendency to recover with potentially near-term bullish price action. A move through resistance at 0.7700 mid-body point would in a near-term timeframe perspective target resistance at 0.7715-0.7745/55. Current intraday stretches are located at 0.7635 & 0.7715.

AUD/USD: Correction already fading? The past day’s upside struggle together with today’s (at least so far) decline points a picture of a possible already fading upside correction. Breaking below an estimated bear flag floor at 0.8125 will further enhance downside risks (and a new round of weakness will be confirmed breading the b-wave low at 0.8068).