By Orbex

Euro Back At Technical Support, But Can It Hold?

The euro currency is trading weaker on Wednesday after failing to keep up on the momentum from the previous session.

The common currency erased all gains from earlier as it moved back to the lower technical support near 1.1261.

This potentially creates a short term sideways range with the technical resistance at 1.1347 holding up as well. A breakout from either of these levels is needed.

We suspect that the risk is to the downside unless there is a rebound. A break down below the support area at 1.1261 will open the way for EURUSD to test the 1.1132 level this time around.

But, this will be subject to prices closing the previous lows near 1.1173.

GBPUSD Tumbles But Remains Range-Bound For Now

The pound sterling is down near 0.60% on the day, erasing some of the gains from the previous few sessions.

The reversal came after the pound sterling failed to breakout above the technical resistance level near 1.2516.

This has pushed price lower as a result. But the declines are limited for the moment.

GBPUSD is likely to find support near the 1.2368 level from which iT recovered earlier on.

However, if price breaks down below this level, it opens the risk for further declines.

The next key support area is around the 1.2250 level marking the 28 May lows.

WTI Slips On Inventory Build

WTI Crude oil prices are down over 3% intraday. The declines come just after prices touched a three-month high near 41.50.

Following this gain, oil prices are trading back below the 40 handle which had proven to be a bit of a struggle to break earlier on.

Currently, WTI crude oil is likely to slip further to the lower support area around the 37.67 handle.

We expect support to hold in here as it might attract new buyers into the market.

But there is a real risk of prices collapsing further pushing oil back to the lower support area at 34.42.

A test of this level could potentially cement the upside considering that the 34.42 handle wasn’t tested firmly.

Gold Prices Pause As Momentum Slows

The precious metal is seen slowing down its gains following the recent breakout.

There seems to be a technical resistance near the 1774.50 handle.

Still, at the time of writing gold prices are attempting to break out above this level. This will keep the 1800 level within sight for the precious metal.

However, there is also a risk of a pullback. We could expect to see a possible correction if gold prices close below the recent intraday lows of 1766.87.

A daily close below this level could see a move to the 1747 handle, followed by a retest of the 1732 level in order for support to be established.

By Orbex