The first attempt of the Cable to overcome a downtrend resistance line at 1.5538 has been unsuccessful. The currency couple is now likely to pull back to 1.5443, where bullish activity of the pair should be triggered, leading to a repeated challenge of 1.5538 and its consequent violation. In a longer term perspective (several months), GBP/USD is still viewed as
Bullish correction did not drag EUR/USD far above 1.2555/85 and now appears to be fully terminated. The currency pair is currently heading towards an interim support located at 1.2436, which in case of a breach will pave the way to 1.2301/1.2249. The latter area, however, is unlikely to give in easily, but should capitulate eventually, given the overall negative outlook.
Even though a rebound from 1.5263/57 is not as robust as expected, GBP/USD is nevertheless advancing towards the closest resistance level, situated at 1.5538. Additional resistance will be provided by 1.5610/67 and 1.5778, however, these levels are likely to be overcome within the next several weeks. Dips in the meantime should be halted by 1.5443 and 1.5263/57.
The price of the U.S. Dollar, denominated in Swiss Francs, has dropped precipitously yesterday, straight down to 0.9539, where the currency pair is presently consolidating. For now USD/CHF is likely to trade sideways, being supported by 0.9558/38, which in turn is reinforced by 0.9510/0.9497. Accordingly, we should anticipate a bounce off the support area, which should reinstate a target at
USD/JPY appears to have finally breached a downtrend resistance line that weighed upon the currency couple for almost three months. The pair has left a bearish channel and is currently trading above a significant support area at 79.03/24. Nonetheless, to confirm its bullish intentions, USD/JPY will have to conquer 80.03/14 as well, prior to further advancement.
A formidable support area at 1.2565/85 managed to repel the currency pair, supposedly bringing to an end bullish correction, which was started after an encounter with a downtrend support at 1.2334/16. In case EUR/USD still erodes 1.2565/85, resistances at 1.2660 and 1.2773 will come into play, limiting further gains. An interim support, on the other hand, may be found at
NZD/USD continued trading in a flat trend over mixed US macroeconomic data. If the bearish momentum to emerge, support levels at 0.7619 (R1 Weekly; upper support level) and 0.7590 (23.60% Fibo) are going to be the initial targets. Near 0.7417/0.7368, a consolidation and further trend reversal is highly probable as bears will face a fierce bullish resistance there.
The bearish momentum in USD/CAD intensified today as the US economic recovery is losing pace as the labour costs declined last quarter (1.3% act./2.0% prev.). If the bearish reversal adds to gains, 1.0284 (S1 Weekly; Initial support line) is likely to be targeted by the bears. If the level is left behind, 1.0174 (PP Monthly) and 1.0008 (100-day ma) are going to be in focus
AUD/USD continued trading in a bullish trend as the Australian quarterly GDP data were higher than expected (1.3% act./0.5% est.). If the pair maintain bullish momentum, 0.9832 (R1 Weekly; Upper resistance line) will be the first target among bulls. A breakout of this level would expose further levels at 0.9900 (psychological level) and 1.0122 (100-day ma) accordingly.
Bullish correction in EUR/JPY continues as the EU leaders discuss the creation of the banking union in Europe. In case bullish reversal accelerates, the initial resistance level is likely to be placed at 99.47 (R1 Weekly), followed by 101.42 (initial resistance line) and 103.74/53 (55-day ma; R1 monthly).
The U.S. Dollar carries on depreciating against the Swissie following a failed attempt to surge above an accelerated uptrend resistance at 0.9730. USD/CHF has already penetrated a support at 0.9662 and is now crawling towards a tough area at 0.9553/42, near which the pair is likely to recommence gaining ground, since the long-term outlook remains bullish, aiming for parity.
USD/JPY is currently approaching a resistance area 79.02/24, which is formed by a confluence of several levels, implying unlikelihood of being breached any time soon. The currency pair is anticipated to continue trading within a tight downtrend channel until is slides down to 76.97, where there is an increased chance of changing present southward direction to an upward one.
The Cable is slowly gaining upward impetus after bouncing off a formidable support at 1.5263/44. Resistances, which will be most likely encountered at 1.5443 and 1.5538 are not expected to withstand bullish pressure, but to give in and thus pave the way towards attainment of 1.5620/67, where we may observe first significant correction before advancement resumption.
Rally from a support at 1.2324 was not sustained for a prolonged period of time, as bullish momentum is gradually fading away ahead of a tough resistance zone at 1.2570/85, which in turn is followed by notable levels at 1.2660 and 1.2773, while a key medium-term resistance is situated at 1.2908/22. An interim support, on the other hand, may be
NZD/USD managed to maintain a flat trend today. However, if the bearish momentum to emerge, support levels at 0.7427 (S1 Weekly; Lower Bollinger band) and 0.7368 (November 2011 low) are going to be the initial targets in case bearish trend develops further. Near 0.7417/0.7368, a consolidation and further trend reversal is highly probable as bears will face a fierce bullish resistance there.
USD/CAD committed a decline today as the Bank of Canada left the overnight interest rate unchanged at 1.00%. If the bearish reversal adds to gains, 1.0284 (S1 Weekly; Initial support line) is likely to be targeted by the bears. Once this level is successfully approached, 1.0174 (PP Monthly) and 1.0008 (100-day ma) are going to be in focus among bearish investors. However, the pair to
AUD/USD advanced today the greenback after Reserve Bank of Australia cut benchmark interest rate by 0.25%. If the pair to stick to bullish momentum, 0.9832 (R1 Weekly; Upper resistance line) will be the first target among bullish traders. A breakout of this line would expose further levels at 0.9900 (psychological level) and 1.0122 (100-day ma) respectively.
The shared European currency paired previous daily losses against Japan's yen after the Italian manufacturing activity contracted less than expected (42.8 act./41.8 est.). In case bullish reversal strengthens, the initial resistance level is likely to be positioned at 99.47 (R1 Weekly), followed by 101.42 (initial resistance line) and 103.74/53 (55-day ma; R1 monthly).
Following an encounter with a downtrend support at 1.2333, EUR/USD has commenced recovery and is currently heading towards 1.2585/90, where the rally is likely to be halted. Additional resistances may be found at 1.2660 and at 1.2773. Given the overall negative outlook for the currency pair, we should observe reignition of bearish sentiment once 1.2585/90 is reached.
The Swiss Franc has strengthened considerably relative to the U.S. Dollar, leading to a precipitous fall of USD/CHF currency pair down to 0.9576, which is just above a formidable area 0.9553/0.9497, formed by a number of supports. Moreover, monthly indicators suggest continuation of the bullish trend, therefore current weakness is viewed simply as a phase of the bearish correction.
USD/JPY is about to challenge a downtrend resistance yet one more time, although the currency pair is still deemed incapable of penetrating it. The price should be thus capped by a tough resistance at 79.00/24, encounter with which should shift focus on supports once again. For now USD/JPY is underpinned by 77.90/63 and 77.27, with a key level located at
Downward advancement of the Cable is gradually slowing down ahead of a key support at 1.5261. As suspected, the currency couple is currently attempting to reverse bearish trend and start conquering resistances. The initial one is situated at 1.5443, while subsequent levels are located at 1.5538 and at 1.5620/67. However, being that some of the technical studies still point to
NZD/USD managed to maintain a flat trend today. However, if the bearish impetus to occur, support levels at 0.7427 (S1 Weekly; Lower Bollinger band) and 0.7368 (November 2011 low) are going to be the initial targets in case bearish trend develops further. Near 0.7417/0.7368, a consolidation and further trend reversal is highly probable as bears will face a fierce bullish resistance there.
USD/CAD continued its rally, set at the end of April, as concerns over Eurozone have not eased. If the bearish reversal occurs, 1.0445 (upper Bollinger band; upper resistance line) is likely to be targeted by the bears. Once this level is successfully approached, 1.0174 (PP Monthly) and 1.0008 (100-day ma) are going to be in focus among bearish investors. However, the pair to preserve longterm