Price action in USD/JPY is in line with the bearish harmonic pattern “Gartley”. The pair has approached resistance at 106.88 (descending 50-day MA).
Daily Market Analysis
Looking ahead, highlights from macroeconomic calendar include EZ Sentiment Index and Fed’s Evans speech who is a Fed non-voter. Rise in US-China tensions (WeChat specifically) sends US dollar higher.
GBP/USD formed a pin bar with a long lower shadow – a short-term bullish sign.
If the market gets confirmation that Canadian economy is doing better than the US one, which had a very bad Q2, USD/CAD will suffer.
EUR/JPY rebounded from the 123.00 level on the H4. The pair formed a “piercing line” pattern.
NZD/CAD has reached a 200-week MA (0.8950) and formed a “shooting star” candlestick on the D1. On the H4, we see a lower high.
XAU/USD has moved this week in line with its short-term uptrend and the overall long-term uptrend reaching $1 865.
EUR/GBP is trying to break higher after the consolidation that took the major part of this week.
EUR/JPY is likely to move further within an uptrend. Look for the break out above 121.55!
GBP/CHF formed a "bullish engulfing" candlestick on the W1. On smaller timeframes, we see a higher low that makes the price action resemble an “Inverse Head and Shoulders” pattern.
It’s simply the question of time before gold price gets to the higher levels…
USD/CAD is consolidating after breaking above the bearish “wedge”. The pair has bullish dynamics since the start of June.