Forex Trading Library

Intraday Market Analysis – USD tries to firm up

0 57

EURUSD consolidates gains

EURUSD

The euro keeps the high ground thanks to the ECB’s hawkish approach. The euro has retained its upward trajectory, and the RSI returning to the neutral area on the daily chart has taken some heat off the rally. The current consolidation may allow the bulls to accumulate above the 20-day moving average. The recent high of 1.0700 is the first resistance and its breach would lift the pair to last May’s high of 1.0780 which is a major obstacle in the medium-term. 1.0570 is an important support to keep intraday buyers interested.

USDJPY recoups losses

USDJPY

The US dollar regained some lost ground on the back of rising Treasury yields. The price action is seeking to hold above August’s low of 130.80 as a bearish breakout could pave the way for sustained weakness in the new year. The bounce could be driven by sellers’ profit-taking in this critical demand zone. 135.00 at the confluence of a support-turned-resistance and the 20-day moving average might make it a tough level to crack. Its breach, however, would turn the tide in the bulls’ favour. 132.70 is the closest support.

US 30 stays in range

US30

The Dow Jones treads water as thinning liquidity and few economic data keep investors at bay. The sell-off in mid-December has prompted short-term buyers to bail out. Though the latest retracement secured bids in the critical demand zone around 32500. A rally back above 33450 would help the bulls regain confidence. 34400 near the recent top is a major resistance and the recovery could be back on track should buyers succeed in lifting the last offers over there. On the downside, 32850 is the first support.

Test your strategy on how the USD will fare with Orbex 

Leave A Reply

Your email address will not be published.