Intraday Market Analysis – USD Fakes Rebound

By Orbex

USDCHF fails to bounce back

The US dollar surged after May’s core CPI rose by 3.8% yoy.

The pair remained under pressure after it broke below the lower band of the consolidation range at 0.8930. An oversold RSI has led to a brief whipsaw, which has turned out to be more of an opportunity to sell into strength.

Unless the greenback can lift the offers around the psychological level of 0.9000, the price could see another round of sell-off. February’s low at 0.8870 would be the next target should the pair dip below 0.8920.

EURJPY capped by key resistance

The euro weakened after the ECB maintained its accommodative monetary stance.

The pair has so far kept its bullish bias following a rally above April 2018’s high at 133.48. The price action has bounced off 132.90, the base of a previous rally which also coincides with the 20-day moving average on the daily chart.

133.80 is a major resistance, as its breach could clear the path for an extended rally above 134.

However, a drop below the aforementioned congestion area may prolong the sideways actions towards 132.50.

GER 30 seeks support on key daily level

The DAX consolidates gains as investors weigh high valuation against the pace of recovery.

On the daily chart, a bullish MA cross is a sign of acceleration in the rally after a six-week-long consolidation.

The index is currently looking for support from the 20-day moving average (15475). Bullish sentiment remains strong as long as buyers hold above this key level. Failing that, 15350 would be the next line of defense.

On the upside, a recovery to 15720 would bring in momentum players for a runaway rally.

By Orbex

---

Latest Financial Markets News:

• Trump lashed out at the US Federal Reserve chief Jerome Powell with criticism. Energy prices are falling Apr 22, 2025
• EUR/USD Hits Three-Year High as US White House Policy Concerns Mount Apr 21, 2025
• Today is Good Friday — most financial markets will be closed Apr 18, 2025
• EUR/USD in Equilibrium: Quiet Trading Expected on Good Friday Apr 18, 2025
• The Bank of Canada kept the interest rate unchanged. In New Zealand, there is an increase in inflation Apr 17, 2025
• Pound Among the Winners Boosted by US Dollar Weakness and Rate Cut Prospects Apr 17, 2025
• China data beat expectations. Inflationary pressures in Canada continue to ease Apr 16, 2025
• Japanese Yen Surges as Weak US Dollar Fuels Momentum Apr 16, 2025
• Investors welcome tariff reliefs. Demand for safe assets is decreasing Apr 15, 2025
• CN50 waits on key China data Apr 15, 2025