Eurodollar Tests Key Support

• 5 Jul 2021

USD/JPY

The USDJPY pair has pulled back after touching the 111.42 resistance zone and price action may now move towards the ascending trendline, which is a strong support level for the pair. Buyers are still active in early trading reflecting strong , long-term bullish sentiment. Momentum indicators are bullish.

 

 

 

 

GBP/USD

GBPUSD has returned towards the 1.380 support level and a previous trading range between the 1.380-1.399 price levels. The pair may now enter into a period of consolidation with narrower oscillations. Momentum indicators are testing oversold conditions.

 

 

 

 

EURUSD

The Eurodollar has pulled back to test two key support levels at the ascending trendline and 1.184 support level. Buying pressure climbed in the last trading session which indicates that the current trading range may remain intact. Momentum indicators are have flattened in bearish territory.

 

 

 

 

USDCAD

The USDCAD volatility continues and despite several tests of the 1.245 resistance zone, pullbacks have followed. A break of the ascending trendline to the downside signals rising bearish sentiment in the pair, despite buyers returning in early trading. Momentum indicators have flattened in bullish territory.

 

 

 

 

XAUUSD

XAUUSD continues to trace the ascending trendline and will now test the 1795 resistance zone, in order return to a previous trading range, established before the sell-off initiated at the end of May. Any moves in the metal currently are reflecting sentiment in the dollar. Momentum indicators appear to be undergoing reversals.

 

 

 

 

USOUSD

The USOUSD has broken the 73.87 resistance line where a series of doji candles indicates indecision. Selling has risen yet there appears to be a lack of bearish conviction especially against such an established rally. Momentum indicators are testing overbought conditions.

 

 

 

HK50

The HK50 index has stalled at the 28,172 support level where typically, bullish rebounds take place. A doji candle in early trading may suggest waning bearish sentiment. Another support level exists at the 27,630 price line which sellers have been unable to breach. Momentum indicators have turned bearish.