Razvan Mihai, CFTe
Forex Rally
EURUSD – Pushing forward
Bulls managed to keep the EURUSD on the uptrend. After the price retested the support from 1.1170, it bounced back with high volatility. It rallied all the way to 1.1400 where it found a pretty strong resistance.
For the past several trading days, it moved sideways around 1.1400. A break below 1.1340 could signal a short term drop, towards the next support from 1.1217. On the other hand another rally, followed by a 4 hour close above the current resistance could signal a continuation of the uptrend towards the next round number level, 1.1500.
USDJPY – Everlasting
There is nothing more boring than USDJPY in this half of the year. The price move sideways between 111.00 and 113.50. Nothing from the latest fundamental news threw the currency pair outside this range.
Taking into consideration only Technical Analysis, I would say that this range might just be a continuation pattern. A break consistently below 111.00 could trigger a bigger drop for the US dollar. On a shorter period of time a break above the local resistance from 112.31 would signal another rally of the greenback towards the upper line of the range.
NZDUSD – Continuing the Uptrend
The New Zealand dollar remained strong against the US dollar. NZDUSD continued the uptrend. Last week it hit the upper line of the channel and bounced back towards a previous resistance, which now seems to be acting like support.
A break below 0.6821 could signal a continuation of the corrective move towards the next support from 0.6746. On the other hand a bounce from the current level and a rally above 0.6885 would be a strong signal that bulls are aiming for 0.7000.
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