With the US dollar appearing slightly weak due to limited fundamentals and ongoing speculation, investors may consider betting against the dollar for now. This is because the Durable Goods Orders data came in weaker than the previous release and only slightly better than anticipated by the market. Let’s dive into the major FX pairs below.
EUR/USD: Bearish
The EUR/USD market still finds itself weighed down despite slight bullishness in today’s trading activity. The latest price candle on the chart stands above the 9-day Exponential Moving Average (EMA) line, even though it is red. This candle, however, shows modest bearish activity as of the time of writing and remains just above the 9-day EMA curve.
The Stochastic Relative Strength Index (SRSI) lines maintain their upward direction, as the previous session showed a more notable upward movement compared to the ongoing session’s downward move. Therefore, traders can still expect price action to move toward the 1.1600 level.
GBP/USD: Bullish
The GBP/USD market continues to record modest gains. The pound has consistently outweighed the dollar for five straight sessions. The last price candle stands above the 9-day EMA and is green, indicating bullish sentiment.
Meanwhile, the SRSI indicator lines continue rising after an upside crossover just below the 80 mark. The leading line of the indicator is now above the 80 level. Therefore, traders can still aim for the 1.3250 price level.
USD/CHF: Bullish
The USD/CHF market has managed to stay in the green in the ongoing session. The last price candle is green and keeps the pair above the 9-day EMA. However, price activity has been consolidating for the past three sessions.
Similarly, the SRSI lines continue rising into the overbought region, with the lead line already piercing the 80 mark. Consequently, this aligns with the view that price action may soon approach the 0.8100 level.
USD/CAD: Bearish
Price movement in the USD/CAD market suggests that the Canadian dollar may be gaining on the greenback. The market is descending toward the support formed by the 9-day EMA, a move that started in the previous session.
Meanwhile, the SRSI indicator lines have resumed an upward trajectory after aborting a downward crossover. Although the current session is represented by a red candle, it still stands above the 9-day EMA. This suggests the technical level is holding and may provide support for an upward rebound toward the 1.4100 level.
AUD/USD: Bullish
Support in the AUD/USD market at the 0.6472 level appears to be holding firmly. Price action is rising back above this level after briefly falling below it. The latest candle stands above 0.6472 and brings the pair above the 9-day EMA.
At the same time, the SRSI indicator lines are rising sharply from the oversold zone. This aligns with recent recovery momentum in the market. Traders can continue targeting the 0.6550 level.
EUR/JPY: Bullish
After breaking through the 180.00 level, the EUR/JPY market has continued moving upward. It now trades above the 181.00 level. The current session is bullish, with the price above the 9-day EMA.
The latest candle indicates strong buying activity. Meanwhile, the SRSI line is approaching a bullish crossover near the 50 mark, signaling that price action may soon break above the 182.00 level.
USD/JPY: Bullish
The price trend in the USD/JPY market indicates that an upward rebound may have formed off the 9-day EMA. The latest candle is green after price tested the EMA support, keeping trading conditions generally bullish.
The SRSI lines dropped sharply into oversold territory, but the lead line is now deflecting sideways and seems to be forming an upward crossover. Therefore, price action may head toward the 160.00 level.
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