The pair holds positive tone on Tuesday and eyes key barrier at 110.15 (Fibo 61.8% of 111.39/108.11 bear-leg, reinforced by 200SMA). Monday’s close above a cluster of barriers between 109.40 and 109.80 (consisting of 10/30/20SMA’s and daily Kijun-sen) was strong bullish signal which requires sustain break above 200SMA for confirmation. The action faces headwinds from 200SMA barrier and may enter range between 30 and 200SMA’s as bulls lack momentum for stronger acceleration higher and daily MA’s are in mixed mode. Bullish scenario needs broken 30SMa to hold dips and keep positive structure intact for fresh upside attempts. Eventual break above 200SMA would expose barriers at 110.62 (Fibo 76.4%) and 111.15 (upper 20-d Bollinger band). Increased downside risk could be expected on return and close below 30SMA (109.64), with confirmation of bearish scenario seen on extension and close below falling 10SMA (109.37).
Res: 110.00, 110.15, 110.62, 111.00
Sup: 109.64, 109.38, 109.05, 108.83
