EUR/USD Current price: 1.1007
View Live Chart for the EUR/USD
The EUR/USD pair raised following Draghi's initial speech, as the ECB president announced the Central Bank will begin purchasing bonds as soon as next Monday, albeit the pair quickly retraced towards fresh 11 year lows a few pips above 1.1000. Despite the economic outlook has been reviewed to the upside, and the ECB president gave a positive review on how the economy is doing this year, selling interest around 1.1100 was way too much for the mild hawkish review. Technically, the 1 hour chart shows that the price holds below a bearish 20 SMA, whilst the indicators gain strong bearish momentum below their mid-lines, supporting the ongoing slide. In the 4 hours chart the technical indicators also present a strong bearish tone, with the RSI heading lower despite being in extreme overbought readings, pointing for a break down to 1.0960 should the 1.1000 level gives up.
Support levels: 1.1000 1.0960 1.0920
Resistance levels: 1.1050 1.1100 1.1145
GBP/USD Current price: 1.5236
View Live Chart for the GBP/USD
The GBP/USD pair fell as low as 1.5217 following a limited upward spike to 1.5269, consolidating around pre news levels. The pair is being weighed by dollar demand, and the 1 hour chart presents a mild bearish tone, as the price develops below its 20 SMA and the technical indicators remain below their mid-lines, albeit with tepid bullish slopes. In the 4 hours chart the technical indicators are biased strongly south well into negative territory, anticipating some further declines particularly if 1.5210 the immediate support, gives up.
Support levels: 1.5210 1.5180 1.5135
Resistance levels: 1.5250 1.590 1.5330
USD/JPY Current price: 120.04
View Live Chart for the USD/JPY
The USD/JPY pair reached a daily high of 120.39 before the news, reversing its intraday gains and now pressuring the 120.00 figure. The 1 hour chart shows that indicators turned lower from overbought levels, but that the price remains well above its 100 and 200 SMAs. The price also stands above a daily descendant trend line coming from the multi-year high reached last year at 121.84, now offering support around 119.90. In the 4 hours chart, the technical indicators lost upward potential above their mid-lines, not giving too much clues on what's next on the pair. The most likely scenario is some consolidation around the current levels, ahead of Friday's US employment figures.
Support levels: 119.90 119.40 119.10
Resistance levels: 120.45 120.90 121.35
AUD/USD Current price: 0.7790
View Live Chart for the AUD/USD
The Australian dollar has shown a limited reaction to ECB announcement, as the AUD/USD pair turned south before the news, reaching 0.7784 before bouncing some. Trading below the 0.7800 level, the 1 hour chart presents a limited bearish tone, as the price develops below its moving averages and indicators hover below their midlines, albeit lacking bearish strength. In the 4 hours chart however the bearish tone is firmer, as the price extends below its 20 SMA and the technical indicators are crossing their mid-lines, extending into negative territory.
Support levels: 0.7755 0.7720 0.7690
Resistance levels: 0 .7800 0.7840 0.7890
Recommended Content
Editors’ Picks
EUR/USD clings to gains above 1.0750 after US data
EUR/USD manages to hold in positive territory above 1.0750 despite retreating from the fresh multi-week high it set above 1.0800 earlier in the day. The US Dollar struggles to find demand following the weaker-than-expected NFP data.
GBP/USD declines below 1.2550 following NFP-inspired upsurge
GBP/USD struggles to preserve its bullish momentum and trades below 1.2550 in the American session. Earlier in the day, the disappointing April jobs report from the US triggered a USD selloff and allowed the pair to reach multi-week highs above 1.2600.
Gold struggles to hold above $2,300 despite falling US yields
Gold stays on the back foot below $2,300 in the American session on Friday. The benchmark 10-year US Treasury bond yield stays in negative territory below 4.6% after weak US data but the improving risk mood doesn't allow XAU/USD to gain traction.
Bitcoin Weekly Forecast: Should you buy BTC here? Premium
Bitcoin (BTC) price shows signs of a potential reversal but lacks confirmation, which has divided the investor community into two – those who are buying the dips and those who are expecting a further correction.
Week ahead – BoE and RBA decisions headline a calm week
Bank of England meets on Thursday, unlikely to signal rate cuts. Reserve Bank of Australia could maintain a higher-for-longer stance. Elsewhere, Bank of Japan releases summary of opinions.