After yesterday, when the greenback breached the major level at 1.09, the pair is trading just above this level. It seems that the pair is starting to form bullish trend; however, we might see some small drops.
The pair has not fluctuated much after yesterday's 100 pip drop, right now it is trading below the weekly S3 at 0.9243.
Currently the weak Euro has prolonged its depreciation against the well-performing Japanese Yen by falling below the weekly S1 and monthly S2 at 138.30/38.
USD/CHF appears to slowly drift away from the resistances in the face of the monthly R1 and 200-day SMA after two prominent but unsuccessful attempts to overcome them.
The demand zone at 101.19/00, consisting of the 50% Fibo and monthly S1, was supposed to give the bulls strength to commence a rally, but seems to be already exhausted as a result of numerous tests during the last three months.
As it turned out, GBP/USD did not have to undergo a deep bearish correction in order to climb over the weekly PP. Now the currency pair is free to move even higher.
The currency pair remains completely motionless, even though the daily and especially monthly technical indicators imply elevated volatility in the exchange rate.
For the first time in May the pair fell below the major level at 0.86 and slid even further almost reaching the weekly S2 at 0.8560.
The greenback gained slightly and it is likely to approach the major level at 1.09.
The Aussie traded around 0.9360 for 8 trading days, when yesterday it started to slide and today it has dropped below the 55-day SMA and weekly S2 at 0.9286/85.
The pair continues to trade around the major level at 139; however, it almost touched even the 138.50 today.
The nearby resistances, such as the monthly R1 and 200-day SMA, still keep the spot price low, thus proving their significance.
While the 200-day SMA has already been breached, which is generally reckoned to be a bearish sign, some of the strongest demand areas remain intact.
The Cable is currently experiencing difficulties overcoming the weekly pivot point, which did not let the Pound to appreciate further.
EUR/USD is still lacking momentum. From the upside the currency pair's movements are restricted by the monthly S1, but there are also additional resistances represented by the 100-day SMA and up-trend line at 1.3760 and by the 55-day SMA and monthly PP at 1.38.
Yesterday Eurozone's currency managed to open above the major level at 139; however, today the Euro extended last week's decline and slid below this level once again.
At the beginning of this week the pair is trading steadily above the 20 and 55-day SMA and monthly PP at 0.8616/30.
Since the pair bounced back from more than a three-month low at 1.0814 it is supported by the monthly S1 at 1.0859.
Already for nine trading days the pairs has been consolidating around the weekly PP at 0.9367.
USD/CHF stays buoyant regardless of the tough resistances located nearby, such as the monthly R1 and 200-day SMA.
USD/JPY remains hesitant to commence a recovery. Instead it is weighed upon by the selling pressure, which forced the currency pair to decline below the 200-day SMA.
The Pound continues to recover after an encounter with a cluster of supports around 1.6750.
Neither the ceiling at 1.3725 nor the floor at 1.3686 seem to be willing to give in.
The Kiwi is starting to show some bearish signs; nevertheless, it has rather reliable support (the 20 and 55-day SMA; monthly PP) at 0.8612/24.