Res: 1.3271; 1.3300; 1.3325; 1.3400

Sup: 1.3233; 1.3216; 1.3200; 1.3164

Cable accelerated lower after repeated failures at near-term range tops at 1.5400 zone. Completion of daily diamond reversal pattern and loss of initial support and range floor at 1.5262, signals increased downside risk. The fall dented 11/07 high at 1.5220, bringing important support at 1.5200, Fibonacci 38.2% of 1.4812/1.5433, in focus. Break lower to signal near-term top and allow for deeper reversal towards 1.5122, 50% retracement and 1.5100, round figure support. Negative near-term studies favor further downside, with corrective rallies on oversold conditions to be ideally capped under 1.5350 barrier.

Res: 1.5249; 1.5262; 1.5300; 1.5327

Sup: 1.5200; 1.5157; 1.5122; 1.5100

The pair trades in near-term consolidative mode off 97.60 support zone, where 50% retracement of 93.78/101.52 and daily Ichimoku cloud ****, offered temporary support for the fall from 100.44, 25/07 high. Sideways mode is confirmed by double-Doji candle. Negative tone prevails on 4-hour studies and sees current consolidation preceding fresh leg lower, as strong bearish signal was given on a completion of Head and Shoulders pattern on 4-hour chart and daily failure swing. Break below 97.60 to open round figure support at 97.00 and 96.74, Fibonacci 61.8% retracement. Only extension through initial barrier at 98.45, 100DMA, would provide near-term relief and give initial signal of stronger recovery.

Res: 98.15; 98.45; 98.70; 99.00

Sup: 97.62; 97.22; 96.95; 96.74

The Aussie came under increased pressure on Tuesday, as downside acceleration was triggered on a break below previous low at 0.9127 and psychological 0.9100 support. Completion of 0.8997/0.9316 corrective phase is seen as likely scenario, as the price approaches key support at 0.8997, 12/07 fresh low, break of which to commence fresh bear-leg, as a part of larger downtrend. Hesitation ahead of 0.8997 support, may be triggered by oversold near-term studies, while regain of 0.9157, range’s midpoint, would avert downside risk and signal prolonged sideways trading.

Res: 0.9100; 0.9127; 0.9175; 0.9200

Sup: 0.9011; 0.8997; 0.8900; 0.8861

Spot Gold showed no changes in Tuesday’s trading, compared to previous sessions, as near-term 1308/40 range remains intact. Price action oscillates around range’s mid-point at 1324. Near-term studies hold neutral tone, as the price remains in sideways mode. However, positive daily studies keep the upside in focus, with completion of bullish pennant and extension above 1347 peak, required to resume larger rally from 1180 low. Alternative scenario sees loss of 1308/00 support zone to bring bears in play.

Res: 1340; 1347; 1355; 1366

The U.S. dollar rise against the Japanese yen arrived after Japanese economic growth figures came in weaker than projected after Japan’s Cabinet Office said the economy grew an annualized 2.6% in the April-June period, sharply slower than first-quarter expansion of 4.1%

The advance comes as heavyweight gold exchange-traded fund logged its first increase in holdings since June. Higher-than-expected import growth in China indicates a domestic-demand recovery, which will bode well for gold demand

The euro fails to drop to yesterdays low 1.3276 making a higher low today at 1.3290. Since then it went up to 1.3315. This a reversal signal for the current downtrend from 1.3400 to 1.3276. We will change our outlook to bullish only if we see it trading go back above 1.3345 opening the way for 1.3365

Today we have Euro zone German ZEW Economic Sentiment at 09:00 GMT. German analyst and investor sentiment dropped unexpectedly in July, reaching 36.3 from 38.5 in June, contrary to predictions for a 39.6 climb. Analysts believe the slowdown in China was the major cause for this decline, endangering Germany’s export-driven economy. Investor’s climate is expected to reach 40.3 this time

Res: 1.3415, 1.3400, 1.3345, 1.3315

Sup: 1.3285, 1.3265, 1.3220, 1.3200

The cable broke 1.5480 support reaching 15444. This we mentioned before would confirm the reversal of the previous uptrend on the H1 chart. This leaves the next bearish targets at 1.5385 and 1.5300. Only a rise back above 1.5520 would renew our bullish outlook.

8:30 GMT we have UK Inflation data, British inflation surged in June to the highest level in more than a year, reaching 2.9% after registering a 2.7% rise in May. However the increase was less than the 3.0% climb predicted by analysts

Res: 1.5730, 1.5680, 1.5600, 1.5555

Sup: 1.5440, 1.5385, 1.5300, 1.5200

Yen successfully achieves a new high for the H1 chart uptrend breaking 97.35 and reaching 97.55. This leaves the next target at 97.80. The previous two days saw big gains completely reversing the previous downtrend with a rise of almost 160 pips.

The yen losing ground after the Nikkei newspaper reported that Japan’s Prime Minister Shinzo Abe may propose reducing corporate taxes to offset pressure on growth from a planned increase in the national consumption tax

Res: 99.15, 98.60, 98.15, 97.80

Sup: 96.40, 95.75, 95.15, 94.70

The AUDUSD is in a downtrend on the H1 chart ever since making a double top near 0.9200 resistance continuing its fall to drop below the 33 exponential moving average and to trade outside the previous upward channel. However it did manage to find support at key level 0.9100.

Analysts at NAB assessed, “We see GDP growth softening to 2.2% in 2013, before rising to 2.6% in 2014, and a significant deterioration in the labour market is expected this year (unemployment above 6%) and next. Our forecasts have been revised a touch lower – with downside risks building. When combined with still low inflation, we expect another RBA cut, probably in November, and more cuts may follow. We remain a touch more bearish than recently revised (down) forecasts from the Government and the RBA”.

Res: 0.9316, 0.9300, 0.9240, 0.9200

Sup: 0.9100, 0.9050, 0.9000, 0.8920

We saw Gold break 1331 resistance yesterday to achieve a new top for the uptrend at 1343. Since then Gold seesawed between minor gains and losses Tuesday, with strength in the U.S. dollar serving as a headwind ahead of U.S. retail-sales data that may support the Federal Reserve’s plan to start tapering monetary stimulus. We can also notice that the 1331 resistance turned from a resistance to a support as we can see from today’s low

Res: 1376, 1368, 1360, 1348

Sup: 1316, 1300, 1288, 1270

Res: 1.3342; 1.3379; 1.3399; 1.3414

Sup: 1.3300; 1.3272; 1.3260; 1.3232

Res: 1.5655; 1.5700; 1.5721; 1.5751

Sup: 1.5600; 1.5573; 1.5538; 1.5500

Near-term structure remains weak, as corrective bounce off 97.04, last Friday’s low, remains congested at 97.80, near 50% of 98.64/97.04 downleg. Failure to clear psychological 98.00 barrier as initial resistance, would risk further downside, as a part of broader weakness from 101.52 high that is maintained by bear-trendline, currently standing at 99.20. Break below 97.00 handle would open key near-term support at 95.78, 08/08 low.

Res: 97.84; 98.03; 98.64; 98.75

Sup: 97.34; 97.18; 97.00; 96.40

The Aussie dollar maintains positive near-term tone and cracks the upper boundary of one-week consolidation range at 0.9220, as a part of larger recovery rally from 0.8846, 05/08 low. Positively aligned studies on lower timeframes keep focus at the upside, with 0.9240, daily Ichimoku cloud ****, seen as the next barrier. Break here to complete daily cup ad holder reversal pattern and open key short-term hurdles at 0.9316/43, also 50% of 0.9790/0.8846 descend, for possible stronger recovery of larger downtrend. Alternative scenario sees risk of upside rejection at 0.9220 and double-top formation that requires confirmation on a break below 0.9080/60 supports.

Res: 0.9240; 0.9255; 0.9316; 0.9343

Sup: 0.9167; 0.9140; 0.9123; 0.9072