Asian Indices On The Backfoot

• 16 Aug 2021

USD/JPY

The USDJPY pair has come under sharp selling pressure in recent trading, as support for the US dollar falls. As such the pair is now moving to test the 109.02 support level, which has previously contained sell-offs. Momentum indicators remain in bearish territory.  

 

 

 

 

GBP/USD

The GBPUSD pair has rebounded from the 1.380 support level where price action is currently being contained. A consolidation channel appears to be forming between the 1.380-1.395 price levels. Oscillations are likely to continue.  Momentum indicators have flattened in neutral territory.

 

 

 

 

EURUSD

The Eurodollar has moved to test the descending trendline which remains intact as a key resistance level for the pair. A support level exists at the 1.177 price line where the previous sell-off was contained. Momentum indicators have stalled in bearish territory.

 

 

 

 

XAUUSD

XAUUSD is mounting a price recovery, with a break of the 1761 support level, which has contained previous sell-offs. The 1795 resistance line is in sight and will be the next target. Momentum indicators support bullish momentum with a recovery from oversold conditions.

 

 

 

 

USOUSD

USOUSD appears to have begun a longer-term downtrend. Several attempts at the descending trendline have contained the rally with the 66.72 price level acting as support. On two previous occasions, sellers have struggled to break this support level and therefore significant conviction will be required. Momentum indicators are bearish.

 

 

 

 

HK50

The HK50 has failed to clear the descending trendline in confirmation of the longer-term bearish bias. Selling activity has risen at this resistance level, which may take price action towards the 25,942 support level. Momentum indicators have flattened in bearish territory.

 

 

 

 

JP225

The JP225 index has broken the 27,654 support line as selling activity has risen sharply in the last three trading sessions. Sellers’ conviction will be tested at the 27,087 support line where previously, bullish rebounds have taken place. Momentum indicators are bearish.