As expected, GBPUSD formed a short term cycle bottom at 1.5801 level on 4-hour chart. The rise from 1.5801 is now treated as resumption of uptrend from 1.3654 (Mar 11 low). Further rise to test 1.6662 previous high resistance is now in favor. However, consolidation is expected before breaking above this level. Initial term support is now located at 1.6230, as long as this level holds, we’d expect the short term uptrend from 1.5801 to continue.
EURUSD failed to test 1.3793 key support and rebounded sharply from 1.3804, suggesting that a short term cycle bottom had been formed on 4-hour chart. The rise from 1.3804 could possibly be resumption of uptrend from 1.2884. Further rally could be seen to re-test 1.4338 previous high resistance, a break above this level will confirm the resumption of uptrend, and then the next target would be at 1.4600 zone.
AUDUSD breaks above the resistance of the falling trend line from 0.8263 to 0.8121, suggesting that a short term cycle bottom has been formed at 0.7827 on 4-hour chart and the fall from 0.8263 has completed. Further rally to test 0.8121 resistance is expected in a couple of days. Near term support is now located at 0.7827, only fall below this level will signal deeper decline to 0.7700-0.7750 area.
After breaking above 1.1257 resistance, USDCAD pulls back sharply from 1.1289 level, suggesting that a short term cycle top has been formed on 4-hour chart. The fall from 1.1289 could possibly be resumption of downtrend from 1.3063. Deeper decline is now in favor and the next target is to re-test 1.0784 previous low support, a break down below this level will signal further fall to 1.0500 zone.
USDCHF has formed a short term cycle top at 1.0986 level on 4-hour chart and the fall from 1.0986 could possibly be resumption of downtrend from 1.1740. Deeper decline is expected to re-test 1.0590 previous low support in next several days, a beak down below this level will signal further fall to 1.0400 zone.
USDJPY breaks below 97.70 support, suggesting that a short term cycle top has formed at 98.88 level on 4-hour chart, and the fall from 98.88 is more likely resumption of downtrend from 101.43. Further decline is now in favor and the next target is at 96.00 zone. Key resistance is now located at 98.88, only break above this level will signal further rally to test 99.64 (May 7 high) resistance.