The U.S. Dollar Under Pressure Again
EURUSD – The EURUSD Holds Above 1.3180
Having started decreasing yesterday, the EURUSD tested the support around 1.3180, managed to stay above it and increase up to 1.3268 then. During the Asian session, the pair passed this resistance and increased to 1.3291. Thus, the pair remains positive, being in demand on wanes as well – this allows it to trade above the acsending support line and 20 day MA. The RSI on the 4 hour chart entered the overbought zone again, thus the EURUSD may return to the 32nd figure in the absence of updated drivers, whose loss would make the pair decrease to 1.3130-1.3100.
The GBPUSD was consolidating after its increase to 1.5683 and trading between 1.5494 and 1.5586. During the Asian session, the bulls tested 1.5601, after which they retreated to 1.5579. The pair’s wanes are small, but continue attracting the purchasing interest. As a result, the pair is trading above the 20 day MA, as well as ascending resistance line, maintaining its further growth potential. But the Parabolic SAR is above the price chart, and the RSI is showing signs of being overbought, thus the pair’s consolidation phase is likely to continue. The loss of the 1.5494 support would weaken the bulls and make the pair drop to 1.5430, which would not mean the end of the rising dynamics.
The U.S. dollar tried to win back lost positions against the Swiss franc, having increased to 0.9418, but there it faced the bears’ onslaught which made the pair return to 0.9317, but during the Asian session they had no scruple to test 0.9305. This support managed to keep the dollar from its further decrease – this makes the bulls believe the pair will return to the 94th figure. However, until the dollar is trading below 0.9500-0.9555, these levels will limit the bulls and the pair will continue being put under pressure.
The USDJPY continued its recovery which started on Friday, but its increase was not energetic. However, having rebounded from 97.70, the dollar managed to increase to 99.28 before it came under pressure again. As a result, the rate decreased to 97.79, which was able to constrain the bears’ onslaught during the Asian session – thus, the pair pulled back to 98.47. The fact that the dollar failed to hold above the resistance near the 99th figure is the negative factor – this indicates the continuing trend towards the downward correction.
