By Orbex
USDCHF approaches key hurdle
The US dollar continues to make up lost ground thanks to post-NFP momentum.
The break above 0.9150, the last leg of the previous sell-off, suggests solid commitment from the bulls. The rebound has originated from the demand zone around 0.9030 on the daily chart, and it is heading towards the major resistance at 0.9230.
A bullish breakout may help the dollar break free of a narrowing consolidation range and resume the rally from the start of the year.
0.9140 is the first support in case of a pullback to let the RSI cool down.
Free Reports:
Download Our Metatrader 4 Indicators – Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
EURGBP tumbles through floor
The sterling rises as traders bet that the BOE would start to tighten its policy sooner than most of its peers.
The daily support at 0.8470 has failed to contain the firesale. The bearish breakout has invalidated April’s rebound as sellers became more aggressive.
The downward momentum is pushing the price towards 0.8400.
An oversold RSI may have caused a limited bounce as intraday traders take some chips off the table. Sentiment remains downbeat though, as long as the euro is under 0.8520.
GER 30 struggles to break higher
The Dax 30 hits a speed bump as investors fret about tapering in the wake of strong US jobs data. The rebound has come to a halt right at the peak at 15800.
Buyers’ struggle to push past the all-time high indicates stiff pressure from both profit-taking and fresh selling.
The RSI divergence in this kind of major supply area is a warning sign as buying has lost its impetus.
The break below 15660 could prompt the bulls to bail out. 15440 would be the next support as the index goes into a correction.
By Orbex
- AI Revolution and NVDA: Why Tough Going May Be Ahead Mar 28, 2024
- GBP Consolidates Amid Concerns Over Economic Growth and Wage Trends Mar 28, 2024
- The Australian and German indexes set all-time highs. The Reserve Bank of South Africa kept the rate at 8.25% Mar 28, 2024
- Target Thursdays: EURGBP, GBPUSD & Crude hit targets! Mar 28, 2024
- EURSEK: Hits fresh 2024 high at 200-day SMA Mar 27, 2024
- Australia has seen a decline in inflationary pressures. Japan may conduct currency intervention shortly Mar 27, 2024
- Australian Dollar Slides to Three-Week Low Mar 27, 2024
- Trade restrictions between the US and China are intensifying. Japan’s currency diplomats talk about possible intervention to support the yen Mar 26, 2024
- Japanese Yen Awaits Intervention Amid Weakness Mar 26, 2024
- NETH25 index chasing new record highs! Mar 26, 2024