Bulls unlikely to come-in as EUR/USD trades below 1.2690

EUR/USD pair - Hourly chart

The EUR/USD pair finished yesterday at 1.2632, erasing the three-day gains after having faced rejection around 1.2780 levels. The pair is trading lower today at 1.2596 with the daily RSI bearish at 40.21 levels. Moreover, the prices are trading below the multiple support levels located around 1.26. However, the hourly RSI has hit the oversold territory which may lead to a slight correction in the pair. The hourly chart shows that the pair has breached the head and shoulder neckline level of 1.2618. Thus, a fresh demand for the USD can be anticipated around 1.2615-1.2630 levels today. Moreover, the bulls are unlikely to come-in so long as the pair trades below 1.2690 levels. Meanwhile, a failure to rise above the Head and Shoulder neckline level of 1.2618, shall open doors for 1.25 levels on the downside.

GBP/USD pair

The GBP/USD pair finished yesterday at 1.6012, erasing the three-day gains after having struggled to rise above 1.6180 for the fourth time this month. The pair is trading lower today at 1.5982, with the daily RSI bearish at 39.65 levels. Moreover, the pair has declined below 1.5993 levels, which is the 61.8% retracement level of the uptrend witnessed earlier this month. However, the prices may re-test 1.61 levels today during the European session as the hourly RSI has fallen into the oversold territory. The prices are likely to re-test 1.5940 levels today if the pair struggles to rise above 1.6 levels. Meanwhile, the GBP bulls are unlikely to have a say so long as the pair trades below 1.6070 levels.

EUR/GBP pair

The EUR/GBP pair struggled yet another time to finish above 0.79 levels yesterday. The prices have failed to sustain gains above 0.79 levels for six-straight sessions. The pair is trading lower today at 0.7882, after having hit a high of 0.7907 with the daily RSI bearish at 47.25 levels. Moreover, the pair continues to trade in a 40-pip range of 0.790 to 0.7860 levels, although multiple failures to rise above 0.79 levels has increased the probability of the pair breaching the 0.7860 levels today. The hourly RSI, at 39.76 levels, is pointing to a further slide in the pair. Meanwhile, the prices have also breached the rising trend line support located at 0.7886 levels on the hourly charts. Moreover the pair can decline to 0.7820 levels if the support at 0.7860 levels is breached.

USD/JPY pair

The USD/JPY pair finished yesterday at 108.89 level tracking a sharp rise in the US treasury yields. The pair is trading slightly higher at 109.10 levels with the daily RSI bullish at 62.82 levels. However, the pair appears due for correction as a negative divergence with the RSI is seen on the hourly charts. Moreover, the hourly RSI has hit the overbought region, which may push the prices down to 108.60-108.70 levels. A fresh demand for the US Dollar can be anticipated around 108.70 levels, while the bears are likely to come-in strong only below 108.30 levels. Overall the pair appears poised to re-test the recent high of 110.10 as the prices have recovered smartly after dipping below the5-week moving average level earlier this week.