The US dollar continues to maintain a fair performance against its peers. As a result, most of the major FX pairs are simply maintaining stasis as they consolidate sideways. However, let’s assess the potential for significant moves in the market.
EUR/USD: Bearish
The EUR/USD market has managed to sustain itself above key technical levels. However, this major FX pair has seen diminished momentum, showing minimal fluctuations. Despite this, the greenback has exerted some downward pressure, leading to a retracement since the previous session.
Nevertheless, trading activity remains above all the Moving Average (MA) lines. Also, the Stochastic Rate of Change (SROC) indicator remains above the equilibrium level and maintains a generally upward trajectory. Traders may only target the nearby resistance around the 1.4000 mark unless a major catalyst emerges.
GBP/USD: Bearish
The GBP/USD pair displays similar characteristics. The last two sessions have shown only minor downward retracement. However, price action remains above all the MA lines on the chart, indicating that it may rebound from support near these lines.
The SROC lines continue to rise above the equilibrium level, suggesting momentum remains intact. As a result, price action may still aim for the 1.3500 level.
USD/CHF: Bullish
The USD/CHF market has posted minimal gains due to a modest recovery in the greenback. Nevertheless, price activity remains subdued and stays below all the MA lines. The last price candle closes near the 20-day MA from below.
The SROC lines remain below the equilibrium level and have continued trending slightly downward, reflecting the lack of significant upward movement. Therefore, price action remains restrained, and only minor gains are likely. This market remains vulnerable and may descend toward the 0.8000 level.
USD/CAD: Bearish
The USD/CAD market remains subdued. Recent price candles show sideways consolidation with only minimal fluctuations. Similarly, price action is below all the MA lines on the chart.
The last candle appears red and relatively small. The SROC lines are trending downward after falling below the equilibrium level. This suggests the Canadian dollar is countering the minimal strength of the US dollar. Consequently, we can anticipate a move downward toward the 1.3500 level.
AUD/USD: Bullish
The AUD/USD market continues to hold onto gains from previous weeks. Over the past nine sessions, price action has remained largely sideways. However, the latest candle is green, indicating slight bullish pressure.
Price activity remains above most of the MA lines, with the 20-day and 50-day lines converging below price. This positioning supports a possible move towards the 0.6500 level.
EUR/JPY: Bullish
The EUR/JPY market is performing strongly at elevated levels. Price action has climbed above all the MA lines, with the most recent green candle also above them. The MA lines are converging below the price action, supporting continued strength.
Meanwhile, the SROC lines have turned sideways above the equilibrium level. A closer look at the indicator suggests it is preparing to lift off from that level. As such, the price of this major FX pair could rise toward the 164.00 mark.
USD/JPY: Bullish
Similar to other major FX pairs, the USD/JPY has posted modest gains. The latest price candle appears larger than the previous ones. However, price action remains below all MA lines, signaling continued caution.
The SROC indicator is below the equilibrium level and is now moving sideways. Although the market is gradually rising, trading below the MA lines suggests only limited gains are likely, potentially heading toward the 145.00 level.
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