Most of the major FX pairs this week seem to be gaining on the weaker fundamentals surrounding the US dollar. Meanwhile, in very few cases in this week’s analysis, the weakness of the USD isn’t having much effect, consequently causing a headwind in their market. Let’s dive into these markets to see how they may fare shortly.
EURUSD: Bullish
The EURUSD pair has gathered the needed momentum to keep fighting in the frontline, in the bear zone on the Fibonacci Retracement tool. Recently, price action regained position above the crossover of the 9- and 22-day Moving Average MA lines. This seems to have offered fresh upside impetus to the major pair. However, more recently, a red price candlestick appeared in this market, and it seems to show that bears are trying to regain control of price action at this point. Meanwhile, the indications from the Moving Average Convergence Divergence (MACD) indicator do not suggest the above inference. This is because the appearance of the last price candle here hasn’t caused any deviations in the upside path of the MACD curves. Likewise, the histogram bars of this indicator are still solid green. Therefore, price action in this market may still be heading toward the 1.08500 price mark shortly.
GBPUSD: Bullish
Buyers in the GBPUSD market have successfully resisted the downward retracements that were earlier in focus in this major pair a few days ago. Since then, this pair has capitalized on the weaker fundamentals surrounding the US dollar and used them to pip above the 1.2600 mark. Nevertheless, it appears that short traders are coming up again, as a red dashed-shaped price candle has appeared in the ongoing trading session. However, price activity stays above the MA lines on this chart, which suggests that price action remains on its upside path. In addition, the MACD lines are still rising upwards above the equilibrium level, as their bar remains solid green above the 0.00 level of the indicator. Consequently, prices may be heading toward the 1.2700 mark.
USDCHF: Bullish
The USDCHF had regained its upside focus towards 0.9080 after failing to break the resistance at this price mark. Recently, the price mark was respected as prices bounced off the same resistance. In this session, another attempt is currently in progress as a green hammer-like price candlestick appears for this trading session. Yet, it appears that losses recorded in the previous session seem more significant than the present gain, as the MACD curves continue to trend slightly downwards towards the equilibrium level. However, it could be seen that the last bar of the MACD is now pale red, indicating the effect of buyers in this market. As a result, traders can hope for a retracement of the $0.9100 price mark.
USDCAD: Bearish
The USDCAD pair has been making lower lows after the support at the 1.3523 price mark failed. At this point, it appears that price action in this market has also torn down the support at the 61.80 Fibonacci Retracement tool, as the last price candle here is a bearish one. Consequently, this has placed prices further below the two MA lines on this chart. Meanwhile, to this effect, the Relative Strength Index is about to deliver another bearish crossover while its lines are still in the oversold region. Consequently, this offers more hope to bearish traders in this market, as prices may be heading toward the 1.3200 mark soon.
AUDUSD: Bullish
This major pair gathered more bullish momentum, with which it extended profits past the resistance 0.6700 mark about three trading sessions ago. At this point, price action in this market is approaching the 68.1 Fibonacci retracement level at the 0.6813 price mark. In addition, technical indicators are still reflecting the possibility of price-extending upside gains in this market. The price action stays above the 9- and 21-day MA curves. Likewise, the RSI curves have recently performed an upside crossover in the overbought region as the lines of this indicator continue towards the 100 mark of the indicator. This suggests the possibility of a retracement of the 0.6800 price level shortly.
EURJPY: Bullish
The prices of the EURJPY pair have stayed mostly around the MA lines on this price chart in recent times. However, in the current session, not only have prices leaped off the MA lines, but they have also increased significantly in just one session. This can be perceived through the appearance of the last price candle on this daily chart. At this point, prices have broken into the 151.00 region. Meanwhile, the RSI indicator has just performed a bullish crossover above the 40-level of the indicator. As a result, this effectively communicates that the price of this major pair may advance toward the 152.00 mark from its current position at 151.54.
USDJPY: Bullish
Price action in the USDJPY seems to have found support above the 139.10 price mark since about three trading sessions ago. However, the current trading session has experienced significant gains. This can be seen as the last price candlestick appears significantly larger than any other previously seen price candle. In addition, it should be noted that this price candle has placed the price of this major pair above the 9- and 21-day MA lines. Simultaneously, RSI indicator lines are ramping upwards from the oversold region of the indicator. By implication, this suggests that upside momentum is very prominent at this mark, and may propel price action further towards the 142.00 price mark.
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