EUR/USD - European Session
After yesterday's downside move, the pair inched higher and achieved a daily closing above 1.3700 represented in 23.6% correction failing the bearish extension of yesterday. In fact, stabilizing above the referred to level could trigger intraday corrections today, but Linear Regression Indicators has negatively crossed over and broke the bullish support keeping the overall downside move.
We expect a correction to short the pair especially that MACD is still negative and the pair is trading below the bullish support as showing on graph. Only a break above 1.3835 indicates the possibility of bringing the upside move back.
GBP/USD - European Session
The pair rebounded to the upside from around the key support level of the ascending channel as showing on graph, indicating that the ascending channel still affects the pair and could extend the upside move. AROON and MACD Indicators are currently showing that negativity isn't over yet, as Linear Regression Indicators are covering the pair from the upside, while Linear Regression Indicator 34 is negative.
Hence, we will close most of the selling positions and bet intraday on some bullishness that depends on breaching 1.6825. Of note, the negative signals on technical indicators will be activated again by a break below 1.6700 and achieving it will bring negativity back.
USD/JPY - European Session
USDJPY has broken the rising trend line for the latest bullish wave yesterday, and that threatens the bullish resumption scenario. However, the price remains above the main horizontal support level at 102.30-102.20 areas. Accordingly, the conflicting technical position forces us to move to the sidelines, awaiting a clearer trading signal.
USD/CHF - European Session
USDCHF failed to hold above the main resistance and neckline for the double bottom formation at 0.8950, as shown on the daily chart above. The price has formed a major shooting star candle at that resistance, indicating a potential downside correction for the latest rally.
USD/CAD - European Session
USDCAD fluctuated yesterday, however the price is attempting to resume the bearish correctional wave following the retest of the descending resistance as shown on the daily chart above, which we continue to favor the bearish bias as long as below that resistance a long as below that trend line, targeting 1.0725 level.
AUD/USD - European Session
The AUDUSD retreated lower, approaching 0.9315-0.9300 major near term support level, where the bearish action was indicated by price forming a long-legged doji candle over the four-hour chart above, while RSI momentum is showing a bearish divergence, indicating Accordingly, we maintain our bearish bias towards 0.9300 support area.
NZD/USD - European Session
NZDUSD retreats lower, where after testing 0.8668 resistance level, as price failed to print a daily closing above 0.8668 high. Holding below the latter favors the bearish scenario for today, eying a retest of 0.8600 level, followed by the major support at 0.8515.
