Though many of the daily and weekly studies were bullish, USD/CHF failed to close above 0.92 and instead returned to the weekly PP level.
As expected, the resistance at 105.50, represented by the 2014 high, proved to be a formidable obstacle by sending USD/JPY back to the weekly R2. And the sell-off may extend even further.
The Sterling stopped moving a day before the MPC rate statement, and for now it is underpinned by the monthly S1 level.
Most traders are in a wait-and-see mode before this week's major event, and the market remains unwilling to break any of the important levels.
NZD/USD has just formed a bearish channel, meaning the Kiwi is likely to continue underperforming.
Following a breach of a two-month up-trend to the downside, USD/CAD managed to find support at 1.0858, where the Apr low coincides with the 55 and 100-day SMAs.
AUD/USD continues to exhibit a lack of trend, as it has been trading between 0.95 and 0.92 since the second quarter of this year.
Since EUR/JPY has recently broken out of the falling wedge and confirmed the upper edge of the pattern to be the new support, the pair is in a good position to move further North.
Just like the Euro, the Franc is also largely unchanged with respect to the Dollar, even though the latter seems to be in demand throughout the market.
The bearish risks were not realised, and the pair soared up to 105.50—a major obstacle for further advancement, since this year's highest point.
In the end the bullish correction from 1.6550 did not manage to extend up to the May low.
The U.S. Dollar gained ground against most of its counterparts, but failed to appreciate relative to the Euro.
The Kiwi fell below the weekly PP at 0.8358, after climbing yesterday. The next key level is around the 0.83 mark, as there is a nine-month low, weekly S1, that could try to stop the current retreat.
The U.S. Dollar rebounded from April's low at 1.0859 to climb above the 1.09 mark once again.
AUD/USD dropped below the 0.93 mark today, after approaching the 55 and 100-day SMAs at 0.9344/47 yesterday.
The Europe's currency has started the week very strong, after yesterday's advance above the 137 mark the currency pair breached June low at 137.71 today.
USD/CHF keeps on grinding higher, being that there are no tough resistances nearby.
Despite a high risk of a pull-back to the July high at 103, USD/JPY preserved a strong bullish momentum.
For now the Cable stays on a bullish path and may gain another 70-80 pips before turning around.
Although EUR/USD has finally reached a major support, the bulls largely remain inactive.
NZD/USD started the last week with approaching the six-month low at 0.8314; however, it seems that it gave some bullish impetus to the pair, as it reached June low at 0.8403 later.
After last week's decline the U.S. Dollar seems supported around April's low at 1.0859. To our mind, the pair should rebound above the 1.09 level once again.
The Australian currency continues to hover above the 0.93 level and today it reached the 55 and 100-day SMAs at 0.9349/45, respectively.
Last week the pair fell below the 137 level and failed to appreciate above it. However, today the Euro has breached the weekly and monthly PPs at 136.84/95 and climbed above the 137 mark.