The market continues not to anticipate more economic data from the US dollar side of the market. As it is, economic indicators from the US dollar side of the market will provide most of the needed impetus for the major FX pairs. Let’s give attention to each of the markets below.
EUR/USD: Bearish
Although price activity in the EUR/USD market remains above the 9-day Exponential Moving Average (EMA) line, today’s trading so far has brought further price decline to the downward retracement that occurred in the previous session.
And although it seems like the dollar is generating some headwinds, this major FX pair has sustained above the 9-day EMA curve at the moment.
At the same time, the Stochastic Relative Strength Index (SRSI) indicator lines have started descending toward the 80 mark of the indicator. Additionally, considering the upcoming economic data, this pair may descend through the 9-day EMA if they price favorably to the dollar.
GBP/USD: Bullish
Over the recent past, the GBP/USD market has been retracing to higher price levels. The latest upward rebound started when price action rebounded from just below the 1.3100 price level. Today’s trading has brought the market to dip below the 9-day EMA curve.
This can be observed as the corresponding price candle of the ongoing session has appeared red, dipping below the 9-day EMA curve. Meanwhile, the SRSI indicator lines can be seen falling through the 80 mark of the indicator via the lead line.
At this point, this market may still descend lower toward the 1.3300 price level, considering what the upcoming interest rate data may spark for the USD.
USD/CHF: Bearish
The USD/CHF market has been consolidating sideways for three sessions straight. Also, trading remains below the 9-day EMA curve. However, the ongoing session is represented by a small green price candle. The upper shadow of the last price candle can be seen touching the 9-day EMA curve again.
At the same time, the SRSI indicator lines are rising upwards from the oversold zone of the indicator. The terminals of this indicator are already taking an upward trajectory.
This signals that this major FX pair is already picking up in anticipation of the interest rate data. However, traders can hold until price activity rises past the 9-day EMA curve before aiming at the 0.8000 price level.
USD/CAD: Bearish
The Canadian dollar has been stronger than the US dollar lately, and this has forced this market to lower price levels. The mentioned downward correction spanned over two weeks. However, the ongoing session has produced an upward rebound from just below the 1.3800 price level.
Nevertheless, trading remains below the 9-day EMA curve. To this effect, the SRSI indicator lines are rising upwards from their location deep in the oversold region of the indicator.
This coincides with the appearance of the last price candle on the chart. Still, it seems best if traders wait until price action rises past the 9-day EMA curve before targets are taken at the 1.4000 price mark.
AUD/USD: Bullish
Throughout this week, the AUD/USD market has been retreating toward the 9-day EMA line. The US dollar has also been able to force out an additional minimal downward retracement in today’s trading activity. As a result, this major FX pair keeps trading below the 9-day EMA curve.
Meanwhile, the SRSI indicator lines have been descending steeply toward the oversold region of the indicator. The lead line of the indicator can be seen to have fallen significantly below the 50 threshold. Also, with no deflection on the SRSI lines, it seems this market may present bears with some additional gains toward the 0.6600 price level at the least.
EUR/JPY: Bullish
The EUR/JPY market over the past two sessions had retraced downward. However, the last price candle here has appeared green, bringing this market to resurface above the 9-day EMA curve. Also, this has sustained the market above the 182.00 threshold level.
Meanwhile, the SRSI indicator lines have descended significantly toward the oversold region with such a modest downward move that occurred over the past two sessions. This, however, suggests that bears are weak at the moment and long buyers are ready to retake the stage toward the 183.00 price level.
USD/JPY: Bullish
While the USD/JPY market has been on a downward correction over the past five sessions, the current session seems to have just returned the major FX pair to trade above the 9-day EMA curve.
This is observable as the last price candle has appeared green with no upper shadow. To that effect, an upside crossover can be seen to have occurred on the SRSI lines. The ensuing lines of the indicator can be seen taking to a slight upward trajectory following an upside crossover below the 20 threshold of the indicator. This market may still push toward the 157.00 price level.
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