EUR/USD Current Price: 1.0895
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China and oil prices continue being the main market's focus this Monday, with the stocks in the second world's largest economy opening sharply lower and crude extending its decline towards $28.00 a barrel, after sanctions on Iran oil's exports were finally lifted. The Shanghai composite finally closed in the green by a few points, while the black gold recovered the lost ground and trades near Friday's close. Currencies, however, are unable to attract investors, trading within limited intraday ranges and mostly directionless. Additionally, US markets will remain closed due to a local holiday, meaning that there are little chances of some action for the second half of the day.
As for the EUR/USD pair, it remained capped by the 23.6% Fibonacci retracement at 1.0925, and trades a handful of pips below the 1.0900 level. Short term, a slightly negative tone surges from the 1 hour chart, as the price is now below a bearish 20 SMA, while the technical indicators are turning south below their mid-lines. Nevertheless, the 100 SMA has provided some support around 1.0870. In the 4 hours chart, the Momentum indicator has crossed its mid-line towards the downside, but remains within neutral territory, as the RSI indicator holds flat around its mid-line whilst the price stands above is moving averages.
Support levels: 1.0870 1.0845 1.0800
Resistance levels: 1.0925 1.0965 1.1000
GBP/USD Current price: 1.4286
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The British Pound has managed to bounce some against its American rival from a fresh multi-year low posted at 1.4247 at the beginning of the day, a couple of pips below Friday's one. But the GBP/USD strong bearish trend prevails, as the pair has failed to sustain its intraday gains and is slowly grinding lower. Short term, the 1 hour chart shows that the technical indicators have turned sharply lower, with the RSI already below its mid-line, anticipating some additional declines. In the 4 hours chart, the price is still well below a bearish 20 SMA, currently around 1.4350, while the technical indicators are turning south within bearish territory after correcting oversold readings, all of which supports a downward continuation on a break below 1.4250.
Support levels: 1.4250 1.4220 1.4185
Resistance levels: 1.4295 1.4350 1.4390
USD/JPY Current price: 117.32
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Upside limited, slides expected below 116.90. The USD/JPY pair opened the week lower, but quickly advanced above the 117.00 level, extending up to 117.43 in the European morning. With the US on holidays and no data scheduled for what's left of the day, the pair is consolidating near the mentioned high, and the 1 hour chart shows that the rally stalled far below its moving averages, while the technical indicators have turned south above their mid-lines, limiting chances of a stronger advance. In the 4 hours chart, technical readings also suggest that the upside is limited, given that the technical indicators stand within bearish territory, whilst the 100 SMA extended further its decline, standing now around 118.70. Should the pair resume its decline and fall below 116.90, the bearish acceleration can take the pair down to 116.50, en route to 116.10.
Support levels: 116.90 116.50 116.10
Resistance levels: 117.40 117.75 118.10
AUD/USD Current price: 0.6884
View Live Chart for the AUD/USD
The Australian dollar started the week with a strong note, advancing up to 0.6927 against the greenback. Although Asian stocks wavered at the beginning of the week, a slight improve in market's sentiment helped the Aussie correct part of the sharp losses seen by the end of last week. Nevertheless, the bearish trend prevails and the 1 hour chart shows that the price is struggling around a flat 20 SMA, while the technical indicators have turned south around their mid-lines, increasing the risk of a bearish run. In the 4 hours chart, the price is below a strongly bearish 20 SMA, currently around the mentioned daily high, while the technical indicators remain well into negative territory, supporting additional declines on a break below 0.6860, the immediate support.
Support levels: 0.6860 0.6825 0.6780
Resistance levels: 0.6890 0.6925 0.6960
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