EUR/USD Constrained By Resistance, USD/JPY Holds Strong
Over 1.0000, EUR/USD is attempting a comeback wave.
On the 4-hours chart, a significant bullish trend line is developing with support at 0.9995.
GBP/USD continued to decline under the 1.1450 level of support.
A negative correction from the 145.00 level is being indicated by the USD/JPY.
Technical Analysis of EUR/USD
The US Dollar/Euro exchange rate encountered significant resistance close to 1.0197. The EUR/USD pair launched a new fall and traded beneath the 1.0060 level of support.
The pair extended losses below the 1.0020 support, the 100 simple moving average (red, 4-hours), and the 200 simple moving average, according to the 4-hours chart.
Before the bulls took control, the price traded as low as 0.9945. Losses are currently being consolidated over the 0.9980 mark. The pair is up against a significant resistance area in the 1.0060 area and the 200 simple moving average.
In order to operate as resistance, the important decrease from the 1.0197 swing high to 0.9945 low is also close to the 1.0070 level.
The 1.0060 and 1.0070 levels could be decisively crossed if a higher increase is desired.
An early support for the downside is located close to the 0.9995 level. On the same chart, a significant bullish trend line with support at 0.9995 is also developing. A downward break below the trend line’s level of support might lead to a swift drop towards the level of support at 0.9950.
The pair may even test the 0.9900 level in the ensuing sessions if they fall below the next significant support, which is located close to the 0.9920 level.
In terms of the USD/JPY pair, two efforts to break through the 145.00 resistance level were unsuccessful. As a result, there is a chance that the price will correct downward to 140.00.
Economic News To Trade Today
- NAHB Housing Market Index for September 2022 is predicted to be 48, down from 49 previously.
Author: Amogo Solomon
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