EUR/USD broke the 1.1800 and 1.1850 resistance levels, but it seems to be facing a crucial hurdle. However, the bulls are facing an uphill task near the 1.1900 resistance zone. The recent high was formed near 1.1891 before the pair corrected lower. On the downside, there are many important supports, starting with 1.1850. There is also a key bullish trend line forming with support near 1.1840 on the same chart. If there is a downside break below the trend line support, the pair could test the 1.1800 support. The 100 simple moving average (red, 4-hours) and the 200 simple moving average (green, 4-hours) are also near 1.1795 to act as a strong support. Any further losses may perhaps lead EUR/USD towards the 1.1750 support zone.
Sustained trading beyond 1.3315/20 area, including the highs marked since September 03, restricts the immediate upside ahead of highlighting the yearly top surrounding 1.3480/85. On the contrary, 10-day SMA near 1.3240 offers immediate support to watch during the quote’s pullback moves.
The USD/JPY pair has found sellers around 104.00 in the last two trading days, and technical readings suggest that a new leg lower is coming. In the daily chart, the pair is developing below firmly bearish moving averages, as technical indicators consolidate within negative levels. In the shorter-term, and according to the 4-hour chart, the risk is also skewed to the downside, as a bearish 20 SMA provides resistance, accelerating its slump below the larger ones. Technical indicators develop below their midlines but lack directional strength.
AUD/USD remains neutral for sideway trading below 0.7339 temporary top. Further rise is in favor with 0.7221 support intact. Consolidation pattern from 0.7413 should have completed with three waves to 0.6991. Above 0.7339 will target a test on 0.7413 first. On the downside, break of 0.7221 minor support would likely extend the consolidation pattern from 0.7413 with another falling leg.
USD/CAD remains neutral at this point. Above 1.3172 will extend the rebound from 1.2928. But near term outlook will remain bearish as long as 1.3389 resistance holds. On the downside, break of 1.3034 minor support will bring retest of 1.2928 temporary low.
Inspired by vaccine news, WTI crude oil prices closed at a 11-week high of US$ 42.46. The price appeared to have broken above an immediate resistance at US$ 42.00 and may have opened the door for further upside potential towards US$ 43.80 – a key resistance.
The Technical Indicator shows that the XAU/USD pair is defending the powerful support at $1871, which is the convergence of the previous low on the four-hour, Fibonacci 38.2% one-week and Bollinger Band one-hour Middle. Buyers will then aim for the confluence of the Fibonacci 61.8% one-week and Pivot Point one-day R1 at $1882. However, the Pivot Point one-day R2 at $1891 remains the level to beat for the bulls. To the downside, acceptance below the abovementioned $1871 support could open floors for a test of $1864. That level is the meeting point of the Fibonacci 23.6% one-week and Bollinger Band one-hour Lower. The previous month low of $1860 will be next on the sellers’ radars. A sharp drop towards the intersection of the previous week low and Pivot Point one-day S2 at $1852/50 cannot be ruled if the bears extend control below the $1860 level.
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