Yesterday's surge came to an abrupt halt as soon as NZD/USD reached the bearish resistance line that may be drawn through the highs posted since May 13.
The downward momentum USD/CAD received after encountering 1.0357 was sufficient in order to deliver the price to the support at 1.0295/67, which in turn is not willing to give in at once.
As feared, AUD/USD's surge from the 2012 low at 0.9577 did not prove to be sustainable, failing to extend up to the weekly R2 at 0.9783, let alone May 21 high at 0.9843, although there is still a chance of such a move in the short term.
Once EUR/JPY dropped down to the support at 130.07/129.57, a strong rally was triggered.
A struggle between the bulls and bears continues at the resistance formed by the 200-day SMA.
USD/CHF was unable to cling to the support at 0.9567/44, but apparently has better chances at preventing development of the decline at 0.9469/67, which consists of the weekly S1 and 55-day SMA.
Similarly to what was happening early April, USD/JPY dipped below the rising support line, thus endangering its upward tendency.
GBP/USD disregarded a number of strong resistances yesterday and managed to settle above a support zone at 1.5305/1.5265, opening new opportunities for itself.
A sharp fall last Friday triggered a strong bullish reaction, which has nearly erased the latest losses, but there is still some distance until 0.8115/13 to fully rehabilitate.
USD/CAD did not have to rise as high as 1.0453/47 to face selling pressure strong enough not only to stop pair's advancement, but also to send it back down to the support at 1.0295/67.
It appears that the 2012 low has freed AUD/USD from the heaviness it had the past month.
As expected, EUR/JPY exhibits bearish behaviour, while firmness in the currency pair is yet to arrive in the future.
The currency pair is close to breaching the support at 0.9567/44, Mar 14 high, which appears to be unable to save the bullish outlook on the price.
SD/JPY has finally reached the lower boundary of the channel up pattern it has been trading within for the past 130 days.
Last week EUR/USD was unable to gather enough bullish momentum in order to break through a wide but nevertheless formidable resistance area at 1.3091/40, formed mainly by the 100 and 200-day SMAs.
Just as EUR/USD, the Cable jumped higher, but also encountered strong resistance, which is unlikely to let a rally to develop.
For the second half of May monthly S3 level was keeping the exchange rate more or less stable.
If we are to connect the troughs the price charted over May, we would get an accelerated up-trend that has been just breached.
"The slide in the Australian dollar has been large, but it's not the only one, most commodity and emerging currencies have fallen significantly in May."- RBS (based on the Australian)Pair's OutlookA short two-day recovery has been completely negated today, as the price came back to the support at 0.9577/37, 2012 low. Considering Aussie's behaviour for the past two months, the
For now EUR/JPY manages to hang above the April high, but there is a substantial risk of the currency pair failing to find sufficiently strong support not to fall down to 127.73/65, a February high.
Bullish sentiments have failed lately, since the U.S. Dollar depreciates precipitously, breaking through major supports.
The pair is on the decline for a second week, as the price retreated from a 104 benchmark to a 100.62 is to face the resistance around a 100.44 level, where currently the Bollinger band is located.
The Cable was higher yesterday, as the exchange rate increased till a 1.5234 level, where the 20-day SMA merges with the major historical resistance level.
The major currency pair sharply strengthened for a second trading session yesterday, as the price easily went through the 55-day SMA at 1.2995 and reached a 1.3040 level, where the 100-day SMA merges with the monthly pivot point.