Kickstart your FX trading for October 19 with technical look at EURUSD, USDJPY and GBPUSD

EURUSD: The EURUSD has rotated back to the upside after holding support near a swing area between 1.0525 and 1.05316. The subsequent move above the 100-hour moving average 1.05456 and the 200-hour moving average at 1.0563, gave the buyers additional incentive to push higher. There is a swing area near 1.0583 followed by the double tops near the highs for the the week at 1.0594. Get above those levels and traders will start to look toward the 50% midpoint of the move down from the September high at 1.06087. Risk is a move back below the 200-hour moving average at 1.0563. The price has been trading above and below the 100 and 200-hour moving averages over the last 3 trading days. Traders still looking for a shove with momentum in either direction, but the bias is more positive above the 2 moving average levels.

USDJPY: The USDJPY remains supported by higher yields. Technically, the price remains above the 100-hour moving average at 149.658. The high price today has reached 149.89. The 150.00 level remains a feared level. Recall from October 3 the price moved above that level only to then fall 280 pips. Earlier this week, there was another quick 100-pip move to the downside (in 1 minute). Traders who like the upside stand the risk of a flash move to the downside. That may be keeping traders out of the market and the price trading within a narrow up-and-down trading range as a result.

GBPUSD: The GBPUSD is moving higher in the early New York session after falling below a key swing area between 1.2105 and 1.21109. That break lower failed. The subsequent move higher has the price looking toward the following 100-hour moving average of 1.21649. Getting above that level should increase the bullish bias. However, recall from yesterday, the corrective higher intraday stalled against that moving average on a test. So there may be sellers willing to lean against that level on the first look with a stop on a break above.

This article was written by Greg Michalowski at Source