EUR/USD has turned up from the 50-day MA at 1.1715 yesterday. This is a sign that buyers are strong. Still, the short-term resistance line limits the upside at 1.1870.
USD/JPY: intraday opportunities
BUY 108.55; TP 108.95; SL 108.40
USD/JPY has been slowly moving higher during the recent days and approached September highs in the 108.47 area. There are bullish signs on the chart: positive end of the last month, the bullish cross of the 50- and 100-period MAs on H4, bullish breakouts of 108.00 and 108.20. The series of higher highs gives bulls a chance of more upside. The break above 108.50 will be able to bring the pair to 109.00. Much will depend on American ISM Manufacturing PMI due at 17:00 MT time and the speeches of the Fed members. All in all, the technical outlook will worsen only is USD/JPY falls back below 108.00 and 107.78 (100-day MA).
USD/JPY is declining for the fifth day in a row. When the pair fell below 105.00, it entered a new, lower range.
The resistance line is limiting USD/JPY on the upside and, unless the pair tries for a breakout (which anyway will meet resistance at 106.50 and 106.80), the easiest path for it will be to go down.
The dollar index was up late Tuesday afternoon in Asia, extending the 0.8% gain in the previous session, when COVID-19 fears and worries over the US Congress’ stimulus impasse drove a selloff across other assets.
Bank of England Governor Andrew Bailey delivered a speech today. Let’s discuss what it means for a trader.
Gold has started a remarkable downside correction and stands on the key 23.6% retracement area after a failure to hold the 38.2% retracement area.