Daily Tecnical Analysis

EUR/USD

Current level – 1.1794

On the first trading day of the week, the currency pair was not particularly active and the euro recorded a modest loss against the U.S. dollar. The session formed an intraday support at around 1.1766, and the market is showing early signs of reversal. Declines to 1.1740 are possible, and if they get aggressively bought out, the uptrend of the union’s currency will be confirmed.. It is possible that the bulls will try to attack the resistance again at 1.1800 and, if successful, the next targets would be 1.1830 and 1.1900. Today, an increase in activity can be expected around the announcement of the retail sales data for the United States (12:30 GMT) and the statement of FOMC chairman Jerome Powell (17:30 GMT).

USD/JPY

Current level – 109.24

The bears eased the pressure around the support at 109.22 and it is possible for the market to enter a pullback phase. The first resistance for the bulls is found at 109.44, and the next one, which should limit any attempt of a rally from the buyers, is located at 109.73. The chance for a prolonged decline is confirmed by the higher time frames, and potential rallies are expected to be aggressively shorted. The bears will try to attack the support at 108.74, with their ultimate goal being the bottom of around 107.46 that was reached in April.

GBP/USD

Current level – 1.3825

Like most of the other major currencies, the dollar depreciated against the sterling at the end of the previous week. At the time of writing, the Cable is headed towards a test of the resistance level at 1.3862 which, if successful, would deepen the correction and we might witness prices rise above 1.3900. In the negative direction, the first support lies at 1.3827. This week, investors’ attention will be focused on the data on the consumer price index (Wednesday; 06:00 GMT) and the retail sales for the UK (Friday; 06:00 GMT).