As long as the currency couple is capped by resistances at 104.75, 105.32 and 106.60/78, the price is likely to carry on moving sideways. In case a support level at 103.08 is breached, the dip then might extend down to 100.77.
The initial resistance is situated at 1.3562, followed by higher level at 1.3616. Even if the pair manages to overcome these lines, the outlook will nevertheless remain bearish, as a key resistance area is at 1.4250/85.
Despite the fact that the most part of the day the currency couple has been trading above pivot point at 1.3484, being a bullish sign, EUR/USD was not able to penetrate resistance located at 1.3554/68 today. This signifies continuation of the downtrend and the current outlook therefore remains bearish. At the moment the price for 1 unit of the European currency is 1.3521 American Dollars.
It seems that the pair is forming an ascending triangle on a 1-hour chart and the market participants are waiting for further turn of events in the Euro Zone. The initial resistance is quite tough, as it is being formed by one of the pivot point levels (R1) and several highs of preceding days. Nevertheless, the pair is rather calm at the moment and overall
S1 at 1.5567 has successfully repelled price's attack and has sent it up to 1.5681. The present rally is though unlikely to climb over the latter level, which is reinforced by 55-hour exponential moving average. Since most of indicators are neutral or mutually exclusive, it is expected to continue trading sideways and no extensive movements are thus foreseen in the nearest future.
After USD/JPY has been unexpectedly active on Tuesday and has spiked up to 77.33 in the early morning, the market has cooled off and the pair gradually slid down to 76.83. In the afternoon USD/JPY has yet again made an attempt to break through a downtrend, though this second endeavour was unsuccessful as well, as bullish impetus was not supported by the main part of
Following a dip down to 0.9107, being a second daily support level the currency pair has bounced off it and surged. However, this effect was only temporary and did not last for long, as the rally was halted by 20-hour exponential moving average which is just above the current price at the moment. Anyhow, the long-term bias stays bullish and recent failures are likely to
At the moment the European currency is rallying, but is expected to be halted by resistances at 1.3616 and 1.3635. These levels are likely to trigger a sell off down to 1.3270 and 1.3145 in the long-term, after EUR/USD breaches the immediate support at 1.3424.
The pair's bias remains more or less neutral as it is being traded in a tight corridor between a support at 103.40 and a resistance located at 106.45. The latter level is anticipated to provoke failure in case of advancement and send the pair down to 100.74.
The British Pound - American Dollar currency pair has already pierced through a support at 1.5720 and almost reached a target at 1.5632. Today the price should find support at 1.5613 and consolidate there for now.
USD/JPY is currently directionless and is not expected to move in particular direction on Tuesday, as price's maneuvers should be limited by support at 76.58 and resistances situated at 77.29/32 and 78.07.
Trading indicators show a strong sell signal for USD/CHF, even though dips will encounter tough supports at 0.9015 and 0.8555/20 that should hold the pressure. Nevertheless the outlook remains positive with aims set at 0.9237, 0.9317 and eventually 0.9341.
The American dollar remains in favour versus the Swiss Franc as investors continue buying the pair on dips; hence the market participants' consensus at 0.9163 remained intact today.
USD/JPY inched lower today as worries intensified over the European financial turmoil, causing investors to purchase the Japanese yen against the American dollar.
The British pound commenced moving downwards on new worries over the European Debt crisis amidst the UK economy shows no signs of a sustainable recovery. As a result, the market mean at 1.5806 remained untapped today.
The pair was hammered today as worries over the EU debt crisis intensify and investors turn to safe-havens instead, making the Japanese Yen appreciating versus the American dollar and crossing the daily market mean at 103.98.
The single European currency continued the bearish trend, started 20 days ago as the borrowing costs for Spain and Italy are rising on fresh worries the countries won't manage their debts.
Current rally which has started from a support at 1.3380/60 is about to end. As soon as the price reaches 1.3835/80 after overcoming resistances at 1.3616 and 1.3635 it is anticipated to tumble down to 1.3270 or even 1.3145.
The bearish momentum is weakening while the price approaches a tough support located at 103.08. Should the latter level be penetrated, 100.77 will come into play. Resistances, on the other hand, are situated at 106.80 and 108.50.
Support line at 1.5720 is not deemed as strong enough to halt downward impetus as fairly soon the currency couple will be headed towards 1.5632 en route to 1.5272 and ultimately, 1.5050.
Levels at 76.22 and 75.94 are expected to provide sufficient support for USD/JPY to surge up to such marks as 79.56 and 80.37, 55 week ma. The initial resistances will be met at 77.29 and at 78.07 as well.
Since USD/CHF is supported by 0.9015 and 0.8555/20 from below, the pair is expected to regain its bullish momentum and commence advancing. The primary target is located at 0.9237, while further goals are 0.9317 and 0.9341.
Euro attempted to advance today after the European Central Bank president Mario Draghi assured financial markets that the Central bank will continue doing what it has to do amid the German Producers Price Index released higher than forecast (0.2% versus 0.1%) today. This caused the pair to breach the market mean at 1.3467 and strive to a daily maximum at 1.3613.
The pair commenced a downward slide as investors preferred to acquire Japanese yens, seeking for safe-haven amid growing uncertainty over the EU debt crisis. Therefore, the market mean at 104.61 remained intact today.