Forex Trading Library

Intraday Market Analysis – USD stays under pressure

0 420

NZDUSD makes higher high

The US dollar continues to soften after October’s PCE showed a deceleration. The pop above the high of 0.6290 is a confirmation that the bulls are still in control after a short-lived correction. Strong momentum may send the pair to August’s high at 0.6460 which is a major ceiling from the medium-term perspective. Its breach could force the last selling interests to cover and trigger a bullish reversal in the weeks to come. As the RSI surged into the overbought area, 0.6270 is the closest support in case of a pullback.

CADJPY struggles for bids

The Japanese yen rallied after BoJ officials hinted at a potential exit of QE. On the daily chart, a fall below the double bottom by the June and August lows around 102.00 may cause a bearish reversal. A bearish MA cross shows an acceleration to the south. The latest rebound came to a halt at 103.40, which suggests that the path of least resistance is down. The psychological level of 100.00 could be next. The RSI’s overextension may attract some buying but the bears may see a bounce as an opportunity to sell into strength.

NAS 100 awaits more catalyst

The Nasdaq 100 steadies as traders await November’s reading on the US labour market. On the daily chart, the index has found solid support over the 20-day moving average (11500) next to the previous double top from October. The surge in conjunction with a bullish MA cross shows that the recovery could be speeding up towards 12300. But before that, the RSI’s overbought situation means that the price could use some breathing room after a vertical ascent. 11850 is the immediate support and 11650 a key demand zone.

Test your strategy on how the USD will fare with Orbex 

Leave A Reply

Your email address will not be published.