The supports continue to resist immense selling pressure, but are slowly being eroded. Yesterday USD/JPY closed beneath the up-trend support that connected the troughs since this year's February.
The resistance at 1.6240 keeps on denying the Cable access to higher levels, such as 1.6313/1.6288, where the upper trend-line of the rising channel stands, and 1.6456/1.6390, which is mainly formed by the January high and the monthly R1.
The weekly R2 has already fallen victim to the bullish appetite of EUR/USD and in the nearest future the R3 at 1.3655 is likely to be devoured too, being that the currency pair is aiming for 1.3711.
Pair's dip to 0.82 provided so needed impetus to advance to 0.83.
It seems that 1.035 it causing more trouble than anticipated.
For the past 3 days pair has been struggling with 94 cent mark.
Pair bounced off the 55-day SMA, at the moment is trading at the weekly and monthly PP and is testing 20-day SMA.
Being that USD/CHF has just breached the falling support line and at the moment is changing hands near the February lows, it thereby runs the risk of falling even lower, down to 0.8930.
The 200-day SMA failed to buoy the greenback, but it seems that a combined demand, created by the supports from 97.50 to 97.00, will be able to prevent an increase in the losses.
GBP/USD faced some selling pressure at the weekly R1 level, but the British Pound did not stop the surge, it continues to appreciate at an accelerated pace with respect to the U.S. Dollar.
EUR/USD has finally broken free from the flat channel it has been trading within during the second part of September.
Failure at 0.829 caused the pair to dip by 100 pips.
Pair is lowly eroding 1.035, which proved to be able to cause substantial short term sell offs.
Aussie-greenback cross is picking up the pace after bouncing from 0.929 and at the moment is testing 0.940.
Despite the minor bullish sentiment early in the session yesterday, pair did not manage to advance above the weekly R1.
While the U.S. Dollar is ceding ground against the Yen, USD/CHF remains stable between the weekly pivot point and the down-trend support line.
Following a test of the formidable resistance area formed by the 55 and 100-day SMAs, USD/JPY gave in to the bearish sentiments and as a result, is eroding the 200-day SMA at 97.90.
The Cable is currently coming off a new high at 1.6261, as the pair approached an up-trend resistance line that represents an upper boundary of the rising channel.
EUR/USD did not manage to gain a foothold above 1.3568/52 yesterday, but nonetheless remains bullish, being that none of the nearest supports were violated when the currency pair started to retreat after attaining a new high.
Although daily studies speak in favour of a strong rally (five out of eight are bullish), NZD/USD is moving in the opposite direction, as the weekly pivot point at 0.8290 turned out to be impenetrable.
"There's been a significant amount of bearish expectations regarding Canadian growth, and overall it's been a little bit more positive recently. The Canadian dollar has had a tendency to outperform."- Societe Generale SA (based on Bloomberg)Pair's OutlookThe currency couple is slowly grinding higher, but intraday may slide down to the 200-day SMA, a support that should remain intact for the
AUD/USD is rapidly gaining bullish momentum at the moment, being that the price has found a strong support in the face of the 38.2% Fibonacci retracement level derived from the rally observed in the first half of September.
Due to EUR/JPY's explicitly bearish behaviour yesterday, the gap is now fully closed.
Although currently the daily technical indicators are less bearish than yesterday, some are even giving ‘buy' signals, a breach of the support at 0.9021/03 is still a viable scenario.