EUR/USD Current price: 1.1165
Dollar's advance extended during the first half of the day, although movements were limited due to the absence of volume, amid a holiday in the UK and a scarce European macroeconomic calendar. Nevertheless, the EUR/USD pair extended its decline down to fresh lows of 1.1161 after the release of US PCE price index figures, up by 0.1% as expected in July and compared to the previous month, and printing 1.6% on its year-on-year comparison. Despite not being a major surprise, the data supports the case of a rate hike, although not for next September.
The pair trades near its daily low ahead of Wall Street's opening, presenting a short term bearish tone, as in the hour chart, the price is well below a bearish 20 SMA, while the technical indicators have resumed their declines within negative territory, with the RSI heading south around 24. In the 4 hours chart, the price is developing well below the 20 and 100 SMAs, while indicators also head sharply lower near oversold territory, supporting a downside continuation towards the 1.1070/80 price zone.
Support levels: 1.1160 1.1120 1.1075
Resistance levels: 1.1245 1.1290 1.1335
GBP/USD Current price: 1.3064
View Live Chart for the GBP/USD
The British Pound extended its decline against its American rival, falling down to 1.3059 after the release of US data. The GBP/USD pair accelerated its decline after breaking below the 1.3100 figure at the beginning of the day, and now trades around the 50% retracement of its latest bullish run between 1.2865 and 1.3278, presenting a bearish tone in the 1 hour chart, as the price holds well below its moving averages, while the Momentum indicator maintains its bearish slope within negative territory. In the 4 hours chart, technical readings are also biased lower, although the pair may extend its consolidation around its lows after the US opening, due to the low volume present in the ongoing session.
Support levels: 1.3025 1.2985 1.2950
Resistance levels: 1.3115 1.3160 1.3200
USD/JPY Current price: 102.22
View Live Chart for the USD/JPY
Consolidating above 102.00. The USD/JPY pair extended its rally up to 102.39 its highest since August 12th, holding above the 102.00 level but with no upward momentum at the time being. The 1 hour chart shows that the Momentum indicator retreated from extreme overbought territory and turned flat above its 100 line, whilst the RSI indicator continues consolidating within overbought levels, with no signs of an upcoming downward corrective move. In the 4 hours chart, technical indicators resumed their advances within overbought territory, while the price is above a flat 100 SMA, and below the 200 SMA, this last at 102.70, overall supporting some additional gains on a break above the mentioned daily high.
Support levels: 102.00 101.60 101.20
Resistance levels: 102.40 102.85 103.30
AUD/USD Current price: 0.7549
View Live Chart for the AUD/USD
The AUD/USD pair recovered partially after falling down to 0.7524, now flat on the day, but overall at risk of resume its decline, as in the 1 hour chart, the price is unable to advance beyond a bearish 20 SMA, while indicators have turned horizontal the Momentum around the 100 level and the RSI indicator near oversold territory. In the 4 hours chart, indicators head modestly lower within negative territory, while the 20 SMA has extended its decline well above the current level, approaching the 0.7600 level, where the pair presents also the 200 EMA and a long term Fibonacci resistance. Recoveries up to this level will likely attract selling interest, maintaining the upside limited.
Support levels: 0.7535 0.7490 0.7450
Resistance levels: 0.7600 0.7640 0.7690
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