USDCHF struggles for direction
The US dollar (USD) slipped as CPI data crept higher, which could cause the Fed a headache at their next meeting. A move above the daily resistance of 0.8850 kept the bullish momentum going, putting sellers under renewed pressure. A brief consolidation has now lifted offers towards 0.8900 and 0.8950 at the previous swing high, which is the next level to see whether the bulls will stay in the game. On the downside, the level of 0.8800 at the latest bounce is a firm support to hold on to.
AUDUSD nears key resistance
The Australian dollar inched higher as the The US dollar (USD) felt the full effect of a jump in inflation. On the chart, the pair continues to claw back losses from November’s sell-off. A higher high above 0.6400 indicates intense buying pressure despite grinding a supply zone. The next spike of 0.6460 could be the bears’ last stronghold, and its breach could pave the way for an extension to 0.6500. On the downside, 0.6330 is the immediate support and a vital floor to maintain the bullish bias.
GER 40 preparing for another push
The Dax remains consolidated after hitting another fresh peak. The recent bull run has sent the index back to the triple top just below the 20500 level. A breakout could clear the path for a rise to another all-time high and reinforce the expectation of a bullish continuation in the medium term. In the near term, however, the RSI’s repeatedly overbought stance could lead buyers to take some profits off the table, and 20200 would be the immediate support in case of a retracement.
