Aussie Dollar – AUD/USD continue to fell lower to its 0.8694 key support level as we expected in our 26th September 2014 Market Outlook. Traders who have shorted as we recommended may consider taking profits at this 0.8694 key support level. We are likely going to see a small bounce here or even a reverse in price after such a long and significant sell-off in this market. Price rejected the 0.8694 key support level this morning and we might see price move higher to the 0.8887 key resistance level before continue its bearish move. Aggressive traders may consider taking a counter trend trade at this 0.8694 key support level while conservative traders may wait a retrace back to resistance or short on rallies to rejoin this bearish trend.
Kiwi Yen – We have a very significant sell-off in NZD/JPY in the last 3 trading days and this strong sell-off has caused price broke through the 85.85 key support level. The trend is clearly down at the moment therefore traders may consider selling short at 85.85 key resistance level (Previous key support level) to rejoin this strong bearish momentum. The next key support level is not seen until 81.50.
Canadian Yen – CAD/JPY is consolidating above the 97.72 support level after a long bullish move. Given that the trend is still up, traders may look for buy signals as long as price remains above this 97.72 support level. However if price breaks below this 97.72 support level, we may then likely going to see price retest the 96.19 support level.