EUR/USD

The Euro bounced from 1.0860 support level during the U.S trading session and we have seen an acceleration higher above 1.0900 mark.

As of now, our view remains unchanged and we believe that the short-term in the single currency is still neutral.

EUR/USD has failed two consecutive times to overtake 1.0960/85 zone, which keeps the lower lows/lower highs structure from 1.1060 peak intact until now.

Overall, the Euro remains bearish in the med-term but regarding the short-term; uncertainty is still surrounding investors sentiment, which keeps this pair in a sideways move between 1.0800 in the downside and 1.0985 level in the upside.

To summarize, our view is neutral in the short-term, with a light preference to the downside as per the dominant trend.

Support: 1.0860-1.0835-1.0800

Resistance: 1.0930-1.0985-1.1010

 

GBP/USD

The British pound fell to fresh yearly lows as Carney said that the time is not appropriate yet for a rate increase.

This dovish comment was a confirmation for the current bearish trend and the pair retreated below 1.4250 support level.

Actually, we believe that the pair remains under pressure as far as prices keep trading below 1.4475 peak.

Consequently, we are still looking for further weakness, especially if the pair manage to end this week below 1.4250/20 zone.

The nearest resistance zone stands at 1.4340 level.

In the other side, the sell-off should intensifies if we see a break below 1.4100 mark.

Support: 1.4120-1.4100-1.3970

Resistance: 1.4195-1.4340-1.4365

 

USD/CAD

The pair managed to break above 1.4600 psychological barrier, which keeps the current trend intact.

By now, the med-term trend still strongly bullish but when looking at the momentum indicators, we can see that the pair is sitting in the overbought territory.

Actually, we believe that prices approaches a major resistance near 1.4735-1.4796 zone and we may see a correction lower in the next hours as profit taking is likely to begin.

In the meantime, as far as prices keep trading above 1.4430 level, upside pressure is likely to remain strong.

To conclude, we expect the pair to begin losing its bullish momentum in the next days, but we have to wait for a daily close below 1.4430 to confirm a potential bearish reversal.

Otherwise, the bullish trend is likely to remain intact.

Support: 1.4485-1.4420-1.4330

Resistance: 1.4700-1.4735-1.4796

 

 

AUD/USD

The Australian Dollar bounced strongly yesterday and we have seen the Aussie re-gaining 0.6900 handle again.

As of now, we believe that the Aussie remains bearish in the daily chart, and we are looking at yesterday’s upside move as a correction only.

Consequently, traders should focus on the south side, especially after we saw a big rejection from the 61.8% retracement of the recent recovery from 0.6830 lows.

To summarize, our view remain strongly bearish in this pair and we are seeing that the upside potential is very limited as far as 0.7075 peak is intact. Consequently, we expect prices to drop further towards 0.6800 psychological level in the next days.

Support: 0.6820-6800-0.6750

Resistance: 0.6955-0.6997-0.7050

 

USD/JPY

USD/JPY tried to gain some ground during yesterday’s European session, and we have seen the pair gaining as much as 1.20% before to find strong resistance around 118.00 level.

The pair has erased its daily gains as we saw a bug sell-off during the U.S trading session. As of now, we expect prices to keep heading lower towards 116.00 psychological support from where the pair should find some buyers.

Hence, our view remains bearish in the daily and the hourly time frames and we are waiting for a daily close below 116.00 level to confirm a new bearish signal.

Finally, 119.70 represent the hourly bearish pivot, and the pair is likely to remain under pressure below this peak.

In the near-term 118.10-118.35 zone represents the nearest resistance zone.

Support: 116.50-116.00-115.30

Resistance: 118.10-118.35-118.83

GOLD

The yellow metal showed clear signs of strength as prices rebounded from a critical Fibonacci retracement.

Gold has lost exactly 61.8% of its recent recovery from 1046 lows to 1113 peak. This level stands at 1072$ per ounce and we have seen a strong reversal from this level, which gave us a confirmation that the bullish trend in the hourly chart is still alive.

Currently, we expect gold to trade higher in the direction of the hourly resistance line, located at 1095$.

In other side, the hourly bullish pivot stands at 1072$ actually, and as far as this level holds, another rally towards 1113 peak cannot be ruled out.

To conclude, gold is bullish in the hourly chart, and a re-test of 1095$ resistance level should be seen very soon, while a daily close below 1072 support level will put gold under pressure again.

Support: 1086.50-1080-1072

Resistance: 1095-1100-1113

NZD/USD

The New Zealand Dollar traded in a wide range yesterday and we have seen the KIWI rising to as high as 0.6510 level, which represents the 61.8% retracement of the recent recovery from 0.6380 lows.

As of now, the trend remains bearish in the hourly chart, and we expect the pair to remain under pressure as far as 0.6590peak still intact.

Consequently, any rebound in this pair during this week should face strong selling pressure for another leg lower towards 0.6290 level in the next days.

Near-term resistance stands at 0.6510 levels, and a break above this level will expose 0.6590 peak.

In addition, a daily close above this peak will confirm a bullish reversal in the short-term. Otherwise, downside risks are likely to remain strong.

Support: 0.6380-0.6340-0.6290

Resistance: 0.6510-0.6590-0.6675

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