EUR/USD

The single currency fell below 1.1100 psychological support last week, which opened another extension lower towards 1.1050/60 zone.

Effectively, prices dropped before to find a low around 1.1070 support level and made several attempts to break below this level but in vain.

The euro managed to bounce back above 1.1100 mark and succeeded to end the week above this psychological support, which kept the med-term trend bullish.

As of the week ahead, our view is neutral currently, and we will focus on 1.1140 resistance in the upside, as a break above it is likely to clear the way towards a re-test of 1.1190 peak. While a daily close below 1.1070 support will confirm a deeper correction that can reach as low as 1.1000 level in the next days.

Support: 1.1070-1.1050-1.1000

Resistance: 1.1140-1.1190-1.1230

GBP/USD

The Sterling saw big volatility during the previous week as worries about a potential (Brexit) remains in place.

Looking at the med-term trend, it is clear that the British pound remains under pressure below 1.4660 level. Moreover, prices managed to overtake 1.4350 hourly support, which led to an acceleration lower in the direction of 1.4230/area.

This zone represents a critical support zone and a daily close below it is likely to trigger another big sell-off in this pair.

In the other side, 1.4400 is the nearest resistance level and as far as prices keep trading below it, our view will stay unchanged.

To conclude, the outlook is bearish in this pair and downside risks are likely to continue, unless we see a daily close above 1.4400 level.

Support: 1.4250-1.4230-1.4080

Resistance: 1.4375-1.4400-1.4450

USD/CAD

USD/CAD was very choppy in the last days as volume increased significantly in this pair.

Looking at last week price action, the pair failed to break below 1.3650 daily support and rallied to as high as 1.3850 level before to face strong resistance again.

Technically, the short-term trend is bearish below 1.3910 peak and the outlook is likely to remain unchanged until we see a daily close above this resistance.

Otherwise, another re-test of 1.3650 support cannot be ruled out, while a breach of this level will increase the selling pressure in this pair and we may see prices entering a free falling zone in the next days in the direction of 1.3540 weekly support.

Finally, traders should be aware that the med-term trend is bullish but the near-term is flat to slightly negative, which keeps the view unclear and we expect further volatility during this week until we see a clear break of the range mentioned above.

Support: 1.3710-1.3650-1.3540

Resistance: 1.3850-1.3880-1.3910

AUD/USD

The Aussie remains steady in the near-term and prices may be in the phase of a bullish reversal but we are still looking for further confirmation in the coming days.

Prices did an attempt to break below 0.7080/60 zone but nothing is confirmed yet as we have to wait for a close below it to clear the way for further decline.

In the opposite, if the Aussie manage to bounce from this support zone, then we will wait for another rally towards 0.7180 peak followed by a break above it this time, as momentum indicators support this scenario by the time being.

Looking at the med-term picture, AUD/USD still negative as far as prices keep trading below 0.7325/80 zone.

But in the near-term, the view is slightly positive and we expect a bullish reversal in the next days, especially if the pair overtake last week high located around 0.7185 level.

Support: 0.7080-0.7060-0.7000

Resistance: 0.7180-0.7220-0.7240

 

USD/JPY

USD/JPY seems to be set for further decline as prices succeeded to slide below 113.30 support level, which confirmed a new wave of weakness.

From a swing trading view, as far as 115.50 peak is in place, the pair is likely to keep heading south.

The nearest support stands at 112.30 level followed by 111.90 zone and momentum indicators are still pointing for further decline in the pair.

Looking at the weekly chart, the pair is likely to stay negative below 117.50 peak and only a break above this level will confirm a bullish reversal in the med-term.

While in the near-term, the battle take place between 113.20 in the upside and 112.30 in the downside.

Support: 112.30-111.90-111.00

Resistance: 113.20-114.30-115.00

GOLD

Gold broke above 1217 resistance level during last week and rallied to as high as 1240 level before to face heavy sellers.

In addition, prices did an attempt to break above 1240 peak but failed around 1235$ per ounce, forming a lower highs structure in the hourly chart, which should warn traders about a potential weakness in the yellow metal in the short-term.

The confirmation for a dip lower will come with a break below 1220 level and consequently prices are likely to continue heading south towards 1215 hourly support followed by 1209 in extension.

Meanwhile, 1200$ represents the hourly bullish pivot and we should see buyers appearing above this level in the next days.

In sum, gold is still bullish as far as prices keep trading above 1180/1190$ per ounce in the daily chart and only a break below this zone, will warn about a deeper correction to the downside. While in the hourly chart, a break below 1200$ per ounce should send prices lower towards this daily support zone in the following days.

Support: 1220-1215-1200

Resistance: 1235-1240-1260

NZD/USD

The New Zealand Dollar is following an identical price action structure to the Australian Dollar and we are waiting for price action to develop further in order to forecast the next direction in this pair.

Technically, the trend remains bearish regarding a med-term basis, which keeps the kiwi under pressure.

But in the near-term, and regarding a pure technical standpoint, we need a clear break above 0.6750 to confirm a bullish reversal in this pair. Otherwise, the technical picture will remain negative.

For the week ahead, traders should watch 0.6580/60 support zone, as a break below it will bring a new bearish signal in the near-term and can trigger a selloff in the pair towards 0.6525 level.

In the opposite, if bulls succeed to protect this support zone then a re-test of 0.6675 level is likely to happen.

Support: 0.6625-0.6560-0.6525

Resistance: 0.6680-0.6750-0.6880

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