Let’s find out what has been moving the market today…
Trading plan for June 5
The US dollar index is falling. It is trading below $93.80. The support lies at $93.55. If the index breaks the support, the further fall can be anticipated. However, on Tuesday, traders will look at ISM non-manufacturing PMI data. The forecast is encouraging. If the actual data is greater than the forecast ones, the greenback will have chances to recover.
The single currency managed to recover. The EU economic data weren’t encouraging on Monday. However, the euro managed to increase because of the US dollar’s weakness. EUR/USD rebounded from the support at 1.1650. Up to now, the pair is moving to the resistance at 1.1750 (100-hour MA). The further fall of the greenback will let the pair break the resistance. On Tuesday, a lot of European economic data will be released. If they are encouraging, the euro will have chances to continue the upward movement. Otherwise, the pair will trade within 1.1650-1.1750.
Monday was highly positive for the Australian dollar. It highly increased because of the positive economic data. AUD/USD managed to break the 50-day MA and the resistance near 0.76, the downward trendline at 0.7640. Up to now, the Australian dollar/US dollar pair is trading near the next resistance at 0.7660. If the pair is able to close above this level, the further rise is anticipated. Tomorrow traders should take into consideration the RBA meeting at 7:30 MT time. A change of the interest rate is not anticipated, however, investors will get clues on the future monetary policy of the central bank. The next resistance is at 0.7685 (200-week MA). If the data isn’t encouraging, the pair will move to the support at 0.7550.