An attempt of the bulls to negate the selling pressure at 1.66 turned out to be fruitless, as all of the intraday gains were eventually negated and the bears remained in control of the market.
Despite toughness of the demand area around 1.33 and ‘buy' signals on the monthly chart, the bears continued to push the price lower.
The Kiwi fell lower once again; however, this time it has dropped below a very significant level—namely the major level at 0.84, this level has not been breached since early March.
The bullish traders finally awaited the Greenback's advance, as yesterday the currency gained around 50 pips against the Canadian counterpart.
The pair dropped below the major level at 0.93, after reaching the 100-day SMA at 0.9341. The yesterday received bearish impetus is not giving up, as the pair has failed to break the weekly PP at 0.9299 today.
The Europe's common currency climbed higher today, after yesterday's bearish ambitions, when the pair slid below the major level at 137.
The rate has just broken the upper boundary of the flag pattern to the upside, meaning the current rally should at least extend up to the 2013 Nov 7 high at 0.9250.
The U.S. Dollar is strengthening across the board, as evidenced by USD/JPY surging above the July high.
After being fairly quiet on Monday the Sterling effortlessly pierced a number of significant supports yesterday, including the May low and monthly S2 at 1.67 and 1.6650 respectively.
EUR/USD, as suggested by the near-term technical indicators, has finally broken 1.3350 to the downside, which allowed it to re-test the 2013 Q4 low at 1.33.
The Kiwi fell lower, after posting losses for already two days in a row. The next support level that could halt the current decline is June low at 0.8403, we do not expect a further retreat from that point onwards for the time being.
The buck approached the weekly PP and 20-day SMA at 1.0911/13 today, after trading below the 1.09 level for couple of days.
The Aussie has been appreciating moderately for a week now and it touched the 100-day SMA at 0.9342 today. We expect the pair to test the 100-day SMA again in the near term, possibly in the next trading session.
For a three straight trading days the Euro traded above the major level at 137; although, it slid below this level today. It seems that the pair's bulls took a break for now, as the daily and weekly technical indicators also point to the south.
USD/CHF is currently forming a flag pattern, which implies resumption of the July rally at some point.
USD/JPY did in fact find support at 102.38/30 yesterday, where the 200-day SMA joined forces with the monthly PP.
The Cable, despite opening this week 40 pips above the Friday's close, is not trying to close the upside gap for the time being.
As expected, EUR/USD did not rise above the three-week down-trend resistance at 1.3390/80, instead it declined down to 1.3345/40.
Already from 5th of August the New Zealand's currency has been trading below the 0.85 level and it has tried to surpass this level repeatedly; although, unsuccessfully.
The pair is little changed since it tumbled below the major level at 1.09 on Friday. Even though, the pair slid below the 1.09 mark, which was a major support at the first part of August, the decline was stopped by pair's bulls in a moment.
Last week the Aussie breached the 0.93 level with a sharp advance on Wednesday; moreover, afterwards it strengthen its positions with a close above the 0.93 mark.
The Euro continued to appreciate gradually against the Japanese Yen, the pair has posted a four consecutive daily gains and is looking forward to do the same today.
USD/CHF is getting closer to the major rising trend-line at 0.90, which is supposed to nullify the downward momentum and instead initiate a bullish wave.
A rally above the 200-day SMA once again proved to be unsustainable, as a large portion of the gains were offset by the Friday's dip.