The EURUSD Is Unable to Continue Growing
The EURUSD increased to 1.3687 on weak non-farms and ended the week slightly below this level. With a start of the new trading week the pair has not managed to continue increasing, instead of this it consolidated in a tight range. Attempts to decline were limited by support around the level of 1.3637. Inability to grow above current resistance creates risks for a downward momentum resumption. A breakout of support at 1.3618 will lead to a decline of the pair`s currency rate to 1.3569—1.3545. A loss of the latter will put passing of 1.3475 at risk. To improve prospects the bulls should overcome the 37th figure and consolidate higher.
With a start of the new trading week the GBPUSD pair has attacked the 65th figure, but it failed again. After testing 1.6507 the British pound was sold out that led to a breakout of support at 1.6380 and a fall to 1.6346. Now pullbacks are attracting a buying interest and they are limited by resistance near the 64th figure. A loss of current support will lead to a decline to 1.6306 and a breakout of the level will open the way to the 62nd figure. On the whole, short term outlooks look bleak and in order to improve them the bulls need to return and consolidate above the 64th figure.
The USDCHF continued declining yesterday but found support around the level of 0.8985. Now it is trying to develop growth above 0.9000. Ability to consolidate above this level will indicate that the bulls continue to control the situation and then growth should be expected to continue and testing of the 91st figure. A loss of current support will worsen prospects of the dollar and will open the way to the 89th figure. So far the dollar has failed to consolidate above 0.9100, risks of the fall resumption are kept.
Pressure on the USDJPY has remained that led to the rate decline to the level of 102.85, where the pair was able to find support. Now the dollar is trying to rise above the 103.56 level ( which serves as support) but unsuccessfully. Undoubtedly, a current fall of the pair is corrective. The yen has oversold heavily, so its rise can be a large-scale, but still the dollar is trading above 102.00—101.59, an uptrend is not at risk. A loss of the last level will significantly weaken positions of the bulls to a decline to 100.68-100.00.
