EUR/USD – seems exhausted
The EUR/USD changed little in the morning, looks undecided on the short term also because is located inside of a major resistance area (1.1376 – 1.1466). Price retreated again after the failure to reach the 1.1444 previous high, could come down to retest the 1.1466 static support before will increase further.
EUR/USD developed a Rising Wedge pattern on the Daily chart, but is far from being confirmed, we’ll have another leg lower if will manage to breakdown from this pattern. Maintains a bullish perspective as long as is trading above the 1.1376 static support and above the downside line of the potential Rising Wedge. Only a drop below the lower median line (lml) of the minor ascending pitchfork will confirm a larger drop.
Technically a minor retreat is favored after the impressive rally, major resistance could be found at the 1.1466 level, we may have a minor consolidation above the 1.1376 because needs to recapture more directional energy to be able to increase further.
USD/JPY – trading in the green
Price continues to increase on the Daily chart, but remains to see what will happen because has touched a resistance area. Continues to move somehow sideways, but looks determined to increase further because the behavior has changed when has started to make higher lows. Is trading near 114.20 level and could increase further as the Nikkei stock index has increased in the morning and stays above the 20058 broken static resistance. A further Nikkei’s increase will force the Yen to depreciate versus all its rivals.
Price has managed to escape from a minor symmetrical triangle and now is challenging the 23.6% retracement level. We have a strong resistance at the third warning line (WL3) of the major descending pitchfork, a valid breakout above this line will attract more buyers, which will drive the rate towards fresh new highs.
AUD/USD – still bullish
The currency pair increased today and resumed the last day’s rebound, technically is somehow expected to increase further despite the minor retreat. The Aussie is trading in the green, even if the Australian data have come in mixed, the Home Loans increased by 1.0% in May, less versus the 1.5% estimate, while the NAB Business Confidenceincresed from 8 to 9 points in June.
Price has found strong support much above the upper median line (UML) of the major descending pitchfork and now has jumped above the sliding line (SL) again. I’ve drawn a minor ascending pitchfork to catch a potential upside momentum, will climb much higher if will have enough energy to stabilize above the 0.7600 psychological level. The next major upside target will be at the black downtrend line, will reach this obstacle if will stay within the pitchfork’s body.
