By Orbex
USDCHF attempts to rebound
The US dollar came under pressure after a contraction in December’s US retail sales.
Strong selling pressure from the supply area around 0.9280 has pushed the pair all the way below the daily support at 0.9100.
An oversold RSI triggered a buying-the-dips behavior but the rebound could be limited as sentiment tilted to the bearish side.
The bulls will need to reclaim the support-turned-resistance at 0.9190 first. Otherwise, a new round of sell-off below 0.9090 could send the greenback to last August lows near 0.9020.
Free Reports:
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.
Sign Up for Our Stock Market Newsletter – Get updated on News, Charts & Rankings of Public Companies when you join our Stocks Newsletter
NZDUSD seeks post-rally support
The New Zealand dollar fell as risk sentiment subsided going into the weekend. The surge above the supply zone around 0.6850 has triggered a reversal fever after a month-long sideways action.
As the RSI drops back into the neutrality area, buyers could be waiting to jump in at a discount. A pullback below 0.6840 has led to some profit-taking but as long as the price stays above 0.6780 the rebound is valid, or the kiwi could revisit the critical floor at 0.6700.
A break above the recent high at 0.6890 would extend the rally to 0.6960.
UK 100 consolidates gains
The FTSE 100 finds support from the UK’s stronger-than-expected GDP. A break above the top of the previous consolidation range (7545) means a continuation of the current uptrend.
Trend-followers may consider a pullback as an opportunity to stake in. Short-term sentiment remains bullish as long as the index is above 7470.
A break above the immediate resistance at 7580 would extend the rally upward. A deeper retracement would test 7370 which used to be a major resistance from the double top on the daily chart.
Article by Orbex
Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com
- The Dollar Index strengthened on Powell’s comments. The Bank of Mexico cut the rate to 10.25% Nov 15, 2024
- EURUSD Faces Decline as Fed Signals Firm Stance Nov 15, 2024
- Gold Falls for the Fifth Consecutive Trading Session Nov 14, 2024
- Profit-taking is observed on stock indices. The data on wages in Australia haven’t met expectations Nov 13, 2024
- USD/JPY at a Three-Month Peak: No One Opposes the US Dollar Nov 13, 2024
- Can Chinese Tech earnings offer relief for Chinese stock indexes? Nov 13, 2024
- Bitcoin hits an all-time high above $88,000. Oil remains under pressure Nov 12, 2024
- Brent Crude Stumbles as Market Sentiments Turn Cautious Nov 12, 2024
- Bitcoin hits new record high just shy of $82,000! Nov 11, 2024
- The Dow Jones broke the 44 000 mark, and the S&P 500 topped 6 000 for the first time. The deflationary scenario continues in China Nov 11, 2024
