The EURUSD pair is testing the support at around 1.2140 and, if the level holds, the next zones around 1.2180 and 1.2230 could enter the buyers’ crosshair. A breach above 1.2180 could be interpreted as an early signal telling us that the pullback above 1.2340 has ended. If this is the case, the first resistance zones are found at 1.2230 and at 1.2280, with the main target still being the level of 1.2340. The key support, which is expected to hold the pullback, remains at 1.2060.
GBP/USD even surpassed the 1.3700 resistance zone before it started a downside correction. There was a test of the 50% Fib retracement level of the upward move from the 1.3519 swing low to 1.3745 high. On the downside, there are many major supports forming near 1.3600 and the 100 simple moving average (red, 4-hours). There is also a major bullish trend line forming with support near 1.3600 on the same chart. The trend line is close to the 61.8% Fib retracement level of the upward move from the 1.3519 swing low to 1.3745 high. Any more losses could lead the pair back towards the 1.3520 zone and the 200 simple moving average (green, 4-hours).On the upside, the pair is facing resistance near the 1.3740 and 1.3750 levels. A successful break above the 1.3750 resistance could open the doors for a steady increase towards the 1.3800 and 1.3820 levels.
USDJPY Trading could continue in the range between the 103.60 support and the 104.27 resistance zones. If bears fail to reach a new local low, bulls might take the initiative and charge 104.27 once again. The small consolidation just below 103.82 signals for position accumulation and a breach of both 103.82 and 103.60 is possible. If the support fails to hold, short sellers could take off and lead the pair towards the support at 102.60.
AUD/USD is still staying in consolidation from 0.7819 and intraday bias remains neutral first. As long as 0.7641 support holds, further rise is expected. On the upside, break of 0.7819 will resume larger up trend to 61.8% projection of 0.5506 to 0.7413 from 0.6991 at 0.8170. However, decisive break of 0.7641 will turn bias to the downside, for deeper correction to 0.7461 support and possibly below.
USD/CAD’s rebound from 1.2588 extends higher today but stays below 1.2798 resistance. Intraday bias remains neutral first. On the upside, decisive break of 1.2798 should confirm short term bottoming, on bullish convergence condition in 4 hour MACD. Intraday bias will be turned back to the upside for 1.2957 resistance and possibly above. On the downside, break of 1.2588 will resume the down trend from 1.4677 to 61.8% projection of 1.4667 to 1.2994 from 1.3389 at 1.2355.
WTI crude oil prices continue to maintain a mixed bias with prices giving back the intraday gains made. As a result, oil prices are once again trading near the lower end of the sideways range at 51.87.Given that this consolidation comes after the recent rise in prices, we could expect to see prices snapping lower.The recent rebound of this lower end of the range so the stochastics oscillator rising from the oversold levels. If oil prices lose the 51.87 technical support, then we expect a decline towards the 49.00 handle eventually. This will also see a confluence with the longer term trend line.
XAUUSD has breached critical support at $1857, where the Fibonacci 38.2% one-month converged with the SMA50 one-hour. The next relevant support awaits at $1851, the SMA10 one-day. On a break below the latter, the price is likely to face a dense cluster of support levels around $1848, which is the intersection of the previous day low, SMA200 one-day and Fibonacci 38.2% one-week. The bears could challenge the $1837 cushion, the pivot point one-day S2 if the selling pressure intensifies. On the upside, recapturing a powerful $1857 barrier is critical to extending the recovery towards $1863, the previous high four-hour. Further north, the previous day high at $1867 could be back on the bulls’ radar. The intersection of the previous week high and Fibonacci23.6% one-month around $1876 will be the level to beat for the XAU bears.
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