The following are the intraday outlooks for EUR/USD, USD/JPY, GBP/USD and USD/CAD as provided by the technical strategy team at SEB Group.
EUR/USD: Returned into the wedge. The move below 1.2321/16 has put further pressure on the pair hence enhancing the possibility of a new trend low below 1.2247. A marginally new low would, like last time, be accompanied by a bullish divergence so we still doubt that a break lower will be sustained. An alternate scenario is that the market holds above 1.2247 creating a double bottom, creating a foundation for a new upside correction attempt.
USD/JPY: Triangle under construction. The outlined triangle path continues to guide the market higher and we continues to advocate a move up to the mid 120’s before a setback is likely to occur. Once the triangle is completed it should be exited to the upside paving the way for new trend highs (the triangle scenario will remain valid unless falling below the recent correction low, 115.57).
GBP/USD: Another rejection from the low area. The rejection from the former wedge ceiling is encouraging, enhancing the probability that we are in the process of conducting a “kiss and goodbye” bull structure. More bullishness will be added into the equation if/when we find staying power above the mid body point of Wednesday’s falling benchmark candle, 1.5665. It that outcome will play then we should be looking for a continued surge up to the 1.5826-area.
USD/CAD: Trendline should arrest the decline. The move lower looks correctional within an incomplete bullish wave structure. A short-term ascending line of support works as dynamic support together with the positively inclined 8day “Tenkan-Sen” at market. An intraday dip-failure below those would become a buy-signal for extension to and through resistance just over 1.1700 and into Fibo projection objectives at 1.1755\1.1810. Current intraday stretches are located at 1.1530 & 1.1650.
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