EUR/USD
During the first trading session of the week, the currency pair breached the resistance level of 1.1170 and, at the time of writing, is headed towards a test of the next resistance at 1.1235. In case the bulls violate this resistance level, then the corrective phase would develop and the pair would head for a test of the next resistance zone at 1.1287. Alternatively, if 1.1235 withholds the bullish pressure, then we might witness a short-term consolidation in the zone between 1.1170 and 1.1235. Today, heightened activity can be expected around the announcement of the ISM manufacturing PMI data for the United States at 15:00 GMT.
USD/JPY
The currency pair is consolidating in the zone of 115.00 – 115.60 following the unsuccessful test of the resistance level at 115.60. At the time of writing, the pair is headed for a test of the lower border of the range. In case the support at 115.00 is violated, then the corrective movement would gain momentum and we would probably witness a test of the next support at 114.68. If the bears fail to breach the support at 115.00, then the pair would likely continue to trade within this range.
GBP/USD
After the massive selloff during the last week, the Cable managed to bounce back from the support zone at 1.3370 and is now headed towards a test of the resistance level at 1.3444. A possible breach of this level would facilitate the bulls’ attack on the next resistance levels at 1.3520 and at 1.3571, respectively. If, however, the resistance at 1.3444 withstands the bullish pressure, then the short-term retracement would be complete and a new test of the local bottom at 1.3370 would be the most likely scenario. Today, an increase in activity can be expected around the announcement of the manufacturing PMI data for the UK at 09:30 GMT.
EUGERMANY40
During the last couple of days, the German index has been trading in the range between the support at 15000 and the resistance at 15587. The bulls have so far made an unsuccessful attempt at violating the resistance at 15587 and, at the time of writing, the price is staying just below the upper border of the range. It is likely that the market expects a catalyst to find a unified direction and that it might find one today, when the manufacturing PMI data and the unemployment change data for Germany is announced at 08:55 GMT.
US30
During yesterday’s trading session, the U.S. blue-chip index breached the resistance level of 34800 and the forecast is for the index to continue inching towards a test of the next resistance zone of 35520. In the negative direction, the first support lies at 34445. Today, an increase in activity can be expected around the announcement of the ISM manufacturing PMI data for the United States at 15:00 GMT.
