Daily Report - 7 January 2016


End of Day Technical Analysis Report for:

EURUSD, GBPUSD, AUDUSD, USDJPY
GOLD, and SP500



► EUR/USD: we have been saying that we expected the 1.0800 area to act as resistance. Earlier today price reached the 365 ema in the 1 hr around 1.0870 which where we expected price to rotate to the downside so we took a Short with a wide Stop as we were very aware of tomorrow's NFP. And lucky we did as instead price, after an initial attempt to the downside, broke through 1.0870 and closed around 1.0930. After today's strong close our position does not look great, but we'll see what tomorrow brings.
Technical Recommendation: Short. Position underwater.
                                                                 EURUSD - Daily
                                                                 EURUSD - 1 hr

GBP/USD: today price attempted to break through 1.4600 but failed. The day ends with a pin bar at this key support level. A bullish confirmation tomorrow may see us going Long.
Technical Recommendation: Price at key 1.4600 support. A bounce is likely.
                                                                 GBPUSD - Daily
                                                                 GBPUSD - Weekly

► AUD/USD: we expected further downside and were hoping for a retracement to sell into but we never got one, which seems to be the theme for our start to the year. With minor support 0.7015 broken we can now see price down at 0.6900-0.6940 area which is a crucial support as the weekly chart shows.
Technical Recommendation: Looking for price to reach 0.6900-0.6945 support.
                                                                 AUDUSD - Daily
                                                               AUDUSD - Weekly
                           Back to Top

► USDJPY: today 118.06 minor support was easily broken so now we are likely to see price go all the way down to the 116 area.
Technical Recommendation: Price likely to show further downside and reach the 116 area.
                                                                 USDJPY - Weekly

GOLD: after breaking out of the 1050-1090 range yesterday, we said we could see further upside and we would go Long on any pull back.  We were looking to go Long on a retracement to 1090 area today but we never got the chance as price raced away from us. Yesterday we did suggest that 1118 would be a first target and this can be seen in the weekly chart below as it coincides with the 50 Fib level of the most recent downtrend. We are now almost there and it's likley it will be reached tomorrow during NFP volatility. Any longs should take some money off the table at this price if reached.
Technical Recommendation: Look for 1118$ to be reached.
                                                               XAUUSD - Daily
                                                             XAUUSD - Weekly

► SP500: the expected bounce off 1995-2000 did not happen. Instead price today acted as the reciprocal of Gold and collapsed through this key support. Unless tomorrow's NFP halts the decline, we could see price back at 1870-1900 once again as per the weekly chart.
Technical Recommendation: all supports broken. Price likely to fall further to 1870-1900.
                                                               SP500 - Daily
                                                             SP500 - Weekly

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