EUR/USD: dollar's strength intact

EUR/USD Current price: 1.0931

Investors are still digesting the latest FED's announcement this Thursday, with most of the major pair consolidating yesterday's move. The dollar has posted limited downward corrective movements during the European morning, but for the most held to its recent gains. In the US, the advanced GDP for the third quarter came out at 1.5%, in line with the 1.6% forecast, whilst weekly unemployment claims were slightly better-than-expected, up to 260K from the 263K expected. In Europe, consumer confidence remained unchanged in October matching previous -7.7, whilst German inflation came out better than expected in October. Nevertheless, the technical picture is still bearish, as the 1 hour chart shows that the price is now struggling around a bearish 20 SMA, whilst the Momentum indicator is now flat around its mid-line and the RSI consolidates around 40. In the 4 hours chart, the price is well below its 20 SMA, whilst the technical indicators have resumed their declines well into negative territory, pointing for some further declines on a break below 1.0880, the immediate support.

Support levels: 1.0880 1.0840 1.0800

Resistance levels: 1.0960 1.1000 1.1045

GBP/USD Current price: 1.5245

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The UK released its money data early Europe, showing that business lending decreased in October, whist mortgage lending came out at 68.874K against previous 71.03K, but overall strong. The pair however, has extended its decline to fresh lows after the release of US data, challenging the 1.5250 support and with the technical picture in line with a bearish continuation, given that the price is below a bearish 20 SMA, whilst the technical indicators head lower below their mid-lines. In the 4 hours chart, the technical outlook also favors the downside with the 20 SMA heading lower around 1.5300 and the technical indicators lacking directional strength near oversold territory.

Support levels: 1.5210 1.5170 1.5130

Resistance levels: 1.5285 1.5320 1.5355

USD/JPY Current price: 121.04

View Live Chart for the USD/JPY

Waiting for the BOJ. The USD/JPY pair holds pretty much unchanged intraday, hovering below the 121.00 and barely reacting to US news, as investors are waiting for the BOJ meeting outcome at the beginning of Friday. Market has been largely expecting an extension of stimulus in Japan, which means the pair will hardly move to far away from the current levels. The technical outlook is bullish in the short term, as the price is advancing above its 100 SMA, whilst the technical indicators head sharply higher above their mid-lines. In the 4 hours chart, the technical picture also favors the upside, albeit selling interest will likely contain rallies around 121.40 ahead of the upcoming Asian session.

Support levels: 121.00 120.70 120.30

Resistance levels: 121.40 121.75 122.10

AUD/USD Current price: 0.7073

View Live Chart for the AUD/USD

The AUD/USD pair trades at fresh weekly lows, as dollar momentum extends despite data. Stocks trading higher and gold under pressure are weighing in the pair, which seems poised to retest the critical 0.7000 figure. Technically, the 1 hour chart shows that the price is accelerating below a strongly bearish 20 SMA, whilst the technical indicators head lower below their mid-lines. In the 4 hours chart, the technical indicators have resumed their declines, despite being in oversold levels, supporting a bearish continuation for this Thursday.

Support levels: 0.7035 0.6990 0.6955

Resistance levels: 0.7125 0.7160 0.7195

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