Dow Jones(US30) testing resistance
The Dow Jones(US30) awaits further confirmation from the White House if rigorous tariffs will be imposed. The recent rebound gained traction above 40000 after falling towards 39100 in the past session. The latest breakout prompted more sellers to cover and could open the door to 41600. The RSI’s venture into the overbought area could temporarily limit the push and let bears catch their breath. 39800 is the immediate support in case of a pullback.
USDJPY still consolidating
The USDJPY pair took a breather after the recent 300 pip fall. On the chart, the consolidative stance saw support at the 142.00 level. The rally avoided a plummet towards the 140.00 area, which was an encouraging sign, prompting sellers to cover their bets and easing the downward pressure. With a bullish divergence appearing on the RSI, sellers will be cautious of a reversal. 143.80 is the key resistance, and 144.40 is the bulls’ second target as the market remains indecisive.
EURGBP grinds support
The euro slipped against the pound as unemployment data from the UK remained upbeat. The pound’s recent rebound past 0.8600 has been struggling to secure a base at the retracement. With a bullish divergence emerging as the RSI falls lower, 0.8650 is the next target to the upside. Another move higher would test the previous spike at 0.8720. A continuous bearish run would expose a double bottom at 0.8520, which could turn sentiment around and pave the way for a bearish extension in the near term.
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