The British Pound had a very challenging trading session yesterday. Due to comments made by the EU Chief Negotiator Michel Barnier about a "deadlock" in Brexit negotiations the Sterling lost 116 basis points against the Greenback just in couple of hours.
After surging for more than a week in a minor rising wedge pattern, the currency rate made an expected breakout near the monthly PP 1.1875.
Following a short-term consolidation period in force since October 6, the Kiwi finally managed to break out of its narrow trading range and test the 200-hour SMA.
USD/CAD was restricted by a strong resistance area formed by the 200-, 55– and 100-hour SMAs and the weekly PP circa 1.2520.
The AUD/USD exchange rate was moving sideways for two trading sessions, as it was unable to move past the weekly PP at 0.7796.
The second half of Wednesday's trading session was dominated by bulls which managed to push the rate up to the weekly R2 at 133.58.
In line with expectations, the pair continued to move in a limbo between the weekly R1 and R2 in anticipation of release of the FOMC meeting minutes.
As it was expected, after reaching the weekly S1 at 112.19 traders tried to push the rate to the top.
In accordance with expectations, the currency exchange rate was consolidating before a release of the Fed meeting minutes.
The common European currency continues to advance against the US Dollar four days in a row, fluctuating in a junior ascending channel.
The New Zealand Dollar has failed to leave the 0.7060/0.7095 area for the third consecutive session.
The lowest intraday point of USD/CAD was reached mid-Tuesday when the Greenback halted at the 1.2485 mark.
AUD/USD showed no drastic changes to its overall price level on Tuesday, as the rate was confined in the 0.7775/0.7796 area.
On Tuesday, EUR/JPY was testing the upper boundary of a short-term channel prior to breaching this level later in the evening.
In result of the previous trading session, traders with bullish outlook pushed the pair simultaneously from larger descending and minor ascending channels.
Another test of another North Korean ballistic missile expectedly led to sharp depreciation of the Dollar against the Yen.
Due to release of better than expected data on the UK manufacturing production, the pair continued to climb to the top and even managed to bypass the 1.32 mark.
In line with expectations, the Euro continued to appreciate against the Dollar yesterday.
As previously expected, the New Zealand Dollar was standing rather still during the past trading session, as it remained between its four month low and the monthly S1 at 0.7060 and 0.7095, respectively.
Expectations of a possible breakout of the medium-term ascending channel did finally materialise when strong downside risks pushed the rate down to the 100-hour SMA and the weekly PP during the first hours of Tuesday's session and subsequently lower to test the 200-hour SMA circa 1.25.
Even though the Australian Dollar had taken a direction towards the monthly and weekly S1s during the first half of Monday's trading session, this bearish sentiment changed swiftly early in the morning when the rate surged up to the weekly PP at 0.7796.
The common European currency managed to breach the medium-term descending channel on Monday, even despite being restricted by the 200-hour SMA and the 38.2% Fibonacci retracement.
Because of the robust demand on gold from two largest Asian countries as well as continuous fears related to the North Korean crisis, the exchange rate continued to head to the top towards the 1,290.00 target.
An assumption about further movement of the pair was partially confirmed yesterday. On the one hand, bulls made not less than five attempts to break to the top and restore lost positions.