USOUSD Plummets From Recent Highs

• 8 Jul 2021

USD/JPY

The USDJPY pair has moved back to the ascending trendline where doji candles indicate indecision. The trendline has held as a support level since December 2020 and currently remains intact. Another bullish rebound is anticipated. Momentum indicators have flattened in bullish territory.

 

 

 

 

GBP/USD

The GBPUSD pair has so far failed to clear the 1.380 support level which is proving to be an obstacle for sellers. Price action may now trade horizontally in the absence of strong conviction from sellers. Momentum indicators have flattened in bearish territory.

 

 

 

 

EURUSD

The Eurodollar has begun to extend its move lower as the pair heads towards the 1.170 support level which represents a recent price low. A return to this support area also represents a complete reversal of the recent rally. Momentum indicators are bearish with RSI moving beyond oversold conditions.

 

 

 

 

USDCAD

The USDCAD has finally broken the 1.245 resistance area as the pair has found support in this week’s trading. The next target is the 1.263 resistance line. Bullish conviction appears strong with buyers returning in the current session. Momentum indicators are fast approaching overbought territory.

 

 

 

 

USDCHF

The USDCHF has broken the 0,922 resistance area after a series of attempts, as the US dollar gains support towards the end of the trading week. The pair is now returning towards recent highs reached at the height of the pandemic recovery. Momentum indicators are testing overbought conditions.

 

 

 

 

XAUUSD

XAUUSD has, once again, stalled at the 1795 price line as buyers appear lack the conviction to restart the rally. Selling pressure is rising and it remains to be seen whether the metal can sustain the break. Momentum indicators have sharp upward trajectories.

 

 

 

 

USOUSD

The USOUSD has broken the 73.87 price line and now price action may take the commodity back to the $60 per barrel range. Fundamental factors are responsible for the recent fall, as producers grapple for control of global oil markets. Longer-term sentiment remains bullish. Momentum indicators have turned bearish.