Intraday Analysis - Wednesday, Oct. 14

GER 40 hits resistance

The Dax (GER 40) lost some ground after hitting a fresh high above 25400.

• A break below 25100 would lead buyers to take some chips off the table.

• The medium-term trend would remain bullish if the quote heads towards the next target at 25600.

• 25100 is a fresh support with 24850 as a second layer of defence.

EURUSD finds support

The US dollar remained in control even though the pair bounced higher.

• A move below the daily support of 1.1200 kept the bulls on the defensive before a subsequent bounce.

• A drop below this rebound will invalidate the momentum and signal a continued sell-off below 1.1150.

• 1.1230 is the first hurdle to clear to weaken the short side and drive prices above 1.1300.

CADJPY breaking the channel

The Yen lost control as the dollar jumped over 100 pips.

• On the chart, bulls are regaining the upper hand after bouncing higher to the top end of the ascending channel.

• However, despite the jump, the pair is in danger of a reversal.

• A close above 111.40 would confirm the bullish drive and shake out more sellers.

• On the flip side, a retracement towards 110.70 opens the path towards 110.00.