USDCAD collapses lower
The greenback(USD) slipped further into the red as the market sell-off continued. Overall sentiment remains downbeat as whispers of a recession in America could become a reality. A break below 1.4000 will catch the eyes of sellers once again. 1.4120 is a key hurdle for bulls to maintain some composure, and its breach could extend gains towards 1.4200 as the RSI remains deep in the oversold region.
EURUSD climbing higher
The Euro has gained over 300 pips in a few short sessions as traders prepare for the fallout from the recent tariffs. A move above 1.1000 showed strong bullish intent that the greenback(USD) is under increased pressure. As the RSI jumped into overbought territory, a bearish divergence threatened to end the bull run, with 1.1050 being the closest support. A close above 1.1200 would reinforce the upward bias and open the door to an extension.
UK 100 covering the gap
Equities look to recover in Europe, with investors repositioning as they digest the tariff news. A fall below this week’s low of 8440 would confirm the pressure on the FTSE as sellers look to double down. On the upside, 8600 at the top of the recent market gap is a key resistance where new sellers could drive the bids lower.
