EUR/USD Current price: 1.1059
View Live Chart for the EUR/USD
The EUR/USD pair retreats from daily high of 1.1076 ahead of the US opening, having got a short term boost from some ECB's officers, commenting on the future of the region economic policies. The macroeconomic calendar has been pretty quiet so far in the day, with the only piece of data released in Europe being the German import price index, which fell by 4.0% yearly basis, reflecting the slowdown in the EU largest economy. Investors however, are holding their breath ahead of the US Federal Reserve decision over its economic policy, to be announced later today. The pair has been confined to a tight range ever since the week started, for the most consolidating around the 1.1050 figure.Technically, the 1 hour chart shows that the price tested a bearish 100 SMA before retreating, whilst the technical indicators have lost their upward strength above their mid-lines. In the 4 hours chart, the price is above a flat 20 SMA, whilst the Momentum indicator is turning south around the 100 level, and the RSI hovers around 41. Overall, the bearish tone set last Thursday by the ECB remains firm in place, although whether it can extend or not, depends on whatever the FOMC announces today. Markets are waiting for a mild dovish tone, which means that some encouraging comments over a rate hike before the year end, can well sent the pair lower towards fresh lows through the 1.1000 level.
Support levels: 1.1000 1.0960 1.0920
Resistance levels: 1.1080 1.1120 1.1160
GBP/USD Current price: 1.5283
View Live Chart for the GPB/USDThe GBP/USD pair extended its weekly decline by a handful of pips, down to 1.5275 so far this Wednesday, and trading a few pips above the level. There has been no relevant data released in the UK, but the Pound has been weighed by the slide in commodities' prices. The short term picture is bearish as in the 1 hour chart, the price has failed to advance above a still bearish 20 SMA, whilst the technical indicators have extended their declines into negative territory. In the 4 hours chart, the 20 SMA heads sharply lower above the current level, whilst the RSI indicator approaches oversold levels, all of which supports a continued decline towards the 1.5200 region.
Support levels: 1.5280 1.5250 1.5210
Resistance levels: 1.5320 1.5355 1.5390
USD/JPY Current price: 120.32
View Live Chart for the USD/JPYThe USD/JPY pair trades flat around 120.35 ever since the day started, as investors are waiting not only for the US Central Bank decision, but also for the upcoming BOJ meeting outcome early Friday. Against the usual, the pair can see limited reactions post-FED, and even return to the current level after the dust settles, particularly if the US Central Bank offers no news. Technically, the pair lacks directional strength, with the 1 hour chart showing the price trapped between its 100 and 200 SMAs, and the technical indicators hovering around their mid-lines. In the 4 hours chart, the RSI indicator heads nowhere around 46, while the Momentum indicator continues correcting higher, but below its mid-line. Should the FED be a big disappointment the pair can break through the 120.00 support and extend its decline down to the 119.30 region, where some buying interest is expected to surge. Above 120.70 on the other hand, the rally can extend up to 121.30/50, where the 200 DMA should continue to cap the upside.
Support levels: 120.00 119.65 119.30
Resistance levels: 120.65 121.00 121.40
AUD/USD Current price: 0.7129
View Live Chart for the AUD/USDThe Aussie plunged after the release of the third quarter local inflation readings, much worse-than-expected. Trimmed CPI for the mentioned period came out at 0.3% against previous 0.6% and expectations of 0.5%, leaving the yearly figure at 2.1%, against the expected 2.4%. The AUD/USD pair fell down to 0.7110, and has barely bounced from the level afterwards, consolidating some 20 pips above the mentioned low. The 1 hour chart shows that the technical indicators have managed to correct the extreme oversold readings reached after the release, but that they remain well below their mid-lines. In the same chart, the 20 SMA heads sharply lower, providing an immediate resistance around 0.7150. In the 4 hours chart, the bearish potential is still strong, given that the 20 SMA has turned strongly lower well above the current level, whilst the technical indicators remain near oversold levels.
Support levels: 0.7110 0.7070 0.7035
Resistance levels: 0.7150 0.7195 0.7240
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
AUD/USD holds above 0.6500 in thin trading
The Australian Dollar managed to recover ground against its American rival after AUD/USD fell to 0.6484. The upbeat tone of Wall Street underpinned the Aussie despite broad US Dollar strength and tepid Australian data.
EUR/USD comfortable below 1.0800 lower lows at sight
The EUR/USD pair lost ground on Thursday and settled near a fresh March low of 1.0774. Strong US data and hawkish Fed speakers comments lead the way ahead of the release of the US PCE Price Index on Friday.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
Google starts indexing Bitcoin addresses
Bitcoin address data is live on Google search results after users realized on Thursday that the tech giant started indexing Bitcoin blockchain data. However, mixed reactions have followed the tech giant's reversed stance on the cryptocurrency.
A Hollywood ending for fourth quarter GDP
The latest revisions put Q4 GDP at 3.4%, the second fastest quarterly growth rate in two years. Much of the upside was attributable to stronger consumer spending, yet fresh profits data affirmed it was a good quarter for the bottom line as well with profits up by the most since the Q2-2022.