Bearish Reversal For USOUSD

• 22 Oct 2021

USD/JPY

The USDJPY pair is beginning to descend away from the 114.51 price ceiling. Sellers appear to lack the conviction to drive the trend change as buying pressure is still present in price action. Momentum indicators are undergoing reversals with RSI pulling back to the 70 zone. 

 

 

 

 

GBP/USD

The GBPUSD pair has stalled after the break of the descending trendline. Despite buying pressure in yesterday’s trading, sellers have returned in the last two trading sessions. Momentum indicators are bullish with an upside break of the zero line on MACD.

 

 

 

 

EURUSD

The EURUSD pair has failed to test the 1.167 resistance line any significant way, therefore the price line remains an obstacle to future rallies. Price action will likely oscillate within the current trading range in the near-term. Momentum indicators remain bullish.

 

 

 

 

USDCAD

USDCAD has appears to be making a recovery at the 1.228 support level as the sell-off starts to lose steam and buyers return to the action. A target exists at the 1.243 resistance line. Momentum indicators appear to be undergoing reversals.    

 

 

 

 

USOUSD

The USOUSD has started to reverse the previous rally as sellers have begun to dominate price action. Buying pressure remains, however, so significant bearish conviction will be required to drive the trend change. Momentum indicators are on the verge of bearish reversals. 

 

 

 

 

US500

US500 has moved to test a recent price ceiling at the 4545 price line. Previously, tests have been followed by extended bearish moves and therefore strong bullish momentum will be required to facilitate the break. Currently, conviction appears weak.  

 

 

 

 

ASX200

The ASX200 rally appears to have been short-lived as the 7399 price line remains an obstacle to buyers. Doji candles reflect a breakdown in bullish conviction. The index may now continue to languish within the current consolidation range.