Daily Technical Analysis – Forex Action
Support at 0.9988 was broken last session. Subsequently, the movement of the currency pair remained within a narrow range given the important economic data expected later in the day. The next support at 0.9944 was untested and price managed to hold above it. This does not mean that the downward movement is over, but it is very likely that traders will be cautious and not take any unnecessary risks until the Federal Reserve’s decision on the main interest rate is published at 6:00 p.m. GMT and the follow-up press. conference at 6:30 p.m. GMT. Please note that our analysts will not be releasing technical analysis reports for the remainder of the week due to a well deserved break.
The currency pair’s consolidation move between support at 142.68 and resistance at 143.61 that we saw in the last trading session also continued into the start of today’s session. today. The bulls are controlling the market so a successful break of the 143.61 level would come as no surprise to anyone. Their next target is the resistance at 144.93. Conversely, if the level which has now become support at 143.61 and the next target at 142.68 are both breached, this would open the way for the bears towards the area at 141.64, where the bulls should step in and stop them. .
Support at 1.1348 stops the bears for now, but that doesn’t mean they’ve given up hope just yet. Bulls need to clear at least three important resistances: 1.1402, 1.1474 and 1.1600, before they can be said to have achieved temporary success. We could also see new record lows for the pound against the dollar.
The downward movement of the German index has been limited for now as the bears failed to reach the support at 12593. However, they are dominating the market at the moment. The bulls must overcome at least three targets: the resistances at 12694, 12856 and 12979, if their push is to be considered successful. If this does not happen, it is very likely that the bears will settle in the market longer than expected.
The last session was not a successful one for the top-notch US index. It only managed to stop its slide after the bears tested the important support at 30555. At the time of writing, the price is stationed at 30725, but if it moves towards the resistance level at and overcomes it, then it would be possible for the bulls to come back into the market.