EUR/USD Current price: 1.1394
View Live Chart for the EUR/USD
The European session started with a weakening dollar, and the EUR extending its recent rally up to 1.1410 against the greenback. Stocks around the world are in the red, as worse-than-expected Chinese trade figures revived fears over the global economic slowdown. The macroeconomic calendar has been pretty busy early in the session, with disappointing readings, both in Europe and the UK. Earlier in the day, German inflation resulted as expected in September, down 0.2% monthly basis and at 0.0% compared to an year before. The ZEW survey showed that in Germany, economic sentiment fell down 1.9 from previous 12.1, whilst the assessment of the current situation resulted at 55.2 from previous 67.5. The EU economic sentiment, according to the same survey, shrank to 30.1 matching expectations, sending the EUR/USD down to 1.1364.
In the US, FED's Bullard, and usual hawk, offered a speech saying that a lift-off is still appropriate, as the recent challenges are not significantly robust to guide the economic policy. The pair has been holding ground well above the mentioned session low ,and the technical picture shows that in the 1 hour chart the price stands above a horizontal 20 SMA, whilst the technical indicators turned north above their mid-lines, supporting further gains. In the 4 hours chart, the price is well above a still bullish 20 SMA, whilst the technical indicators have turned lower from overbought readings, and the Momentum indicator is about to cross its mid-line towards the downside. Only below 1.1340, the mentioned 20 SMA, the pair can extend its decline down to 1.1290, should the dollar maintain the positive tone.
Support levels: 1.1340 1.1290 1.1245
Resistance levels: 1.1400 1.1430 1.1460
GBP/USD Current price: 1.5209
View Live Chart for the GPB/USD
The GBP/USD pair advanced to a fresh 3-week high, a few pips above the previous one, reaching 1.5387 before beginning to retrace, accelerating its decline on the back of worse-than-expected inflation data in the UK. The pair shed around 180 pips following news that the inflation fell 0.1% in September, compared to a year before, the second time inflation goes negative since 1960. In the same month, and also yearly basis, the producer prices index fell by 1.8%. The GBP/USD pair flirts with the 1.5200 level ahead of the US opening, having extended its decline below several intraday supports without looking back. Short term, the 1 hour chart shows that the 20 SMA maintains a strong bearish slope well above the current level, whilst the technical indicators maintain their strong bearish slopes, despite being in oversold levels. In the 4 hours chart, the 20 SMA has turned lower far above the current level, whilst the technical indicators have partially lost their bearish strength, but hold well into negative territory, limiting chances of an upward move. The immediate resistance comes at 1.5230, the 23.6% retracement of its latest daily decline, whilst below 1.5190, the pair has scope to extend its decline down to 1.5150 today.
Support levels: 1.5190 1.5150 1.5110
Resistance levels: 1.5230 1.5260 1.5300
USD/JPY Current price: 119.65
View Live Chart for the USD/JPY
More slides below 119.35. The USD/JPY pair trades slightly lower daily basis, holing near its daily low of 119.59 ahead of the US opening. The pair come under pressure on the back of stocks' slide in Asia, albeit the movement lacks momentum, with the price still confined within its latest range. Technically, the 1 hour chart shows that the 100 SMA is slowly detaching from the 200 SMA well above the current level, whilst the technical indicators head sharply lower in negative territory, maintaining the risk towards the downside. In the 4 hours chart, the technical indicators also head south below their mid-lines, supporting a downward continuation, with the next support at 119.35, the 38.2% retracement of its latest bearish run. Below this level, the pair can extend down to 118.90, followed later by 118.55, the base of its latest range.
Support levels: 119.35 118.90 118.55
Resistance levels: 120.05 120.35 120.70
AUD/USD Current price: 0.7359
View Live Chart for the AUD/USD
Bad news from China and easing gold prices have weighed on the Aussie, down against the greenback to a fresh weekly low of 0.7283. The AUD/USD pair hourly chart, shows that the price is well below a bearish 20 SMA, whilst the technical indicators are aiming to bounce from near oversold levels, suggesting the pair may recover some, should the price extends above 0.7310. In the 4 hours chart however, the Momentum indicator heads sharply lower, whilst the price is below a bearish 20 SMA and the RSI indicator has turned flat around 54, pointing for limited intraday gains during the upcoming session.
Support levels: 0.7260 0.7220 0.7175
Resistance levels: 0.7310 0.7350 0.7390
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