Daily Technical Analysis

EUR/USD

Current level – 1.1584

At the time of writing, the currency pair is trading just above the zone of 1.1578 as a result of the momentum gained by the bulls which, at the end of last week, managed to establish themselves on the market and successfully limited the sell-off to around 1.1510. The sentiment at the moment is rather neutral, with a range move between 1.1534 – 1.1620 remaining a possibility. Today’s announcement of the U.S. PPI data (13:30 GMT) could lead to an increased volatility for the currency pair.

USD/JPY

Current level – 112.81

After almost a month-long range movement in the range between 113.38 – 114.41, the bears managed to prevail and breach the support zone of 113.38. At the time of writing, the market is sitting at 112.81, with the most likely scenario being a test of the next significant support of 112.00. However, should the bulls return and only if the 113.38 level (now acting as the first important resistance) is breached, we could witness a resumption of the range-bound movement.

GBP/USD

Current level – 1.3554

Since the end of last week, the U.S. dollar has been losing ground against the British pound, with the sell-off being limited down to the support level of 1.3427. At the time of writing, the currency pair is trading just below the resistance of 1.3574 and the most likely scenario is for an attack on the mentioned level. A successful breach here could strengthen the bullish sentiment and lead the market towards a test of the next significant resistance zone of 1.3670.