USDCAD regains focus
The CAD (Canadian dollar) continues to take advantage of the weakness in the greenback as prices grind lower. On the chart, the pair is currently hitting firm support just above the 1.3800 level. Prices are now looking for a potential test higher, with the recent swing high of 1.3950 being the first obstacle. A decisive breakout would shake out some sellers and give the buy side a chance to regain some momentum. Otherwise, a fall below 1.3820 could cause a prolonged bearish run.
USDCHF grinding support
Like the Canadian dollar, the Franc has also seen considerable gains against the US dollar. A move below the support of 0.8300 accelerated the move to the downside. As prices hit a multi-year low, which is not something we have seen since 2015, bears will be aiming to consolidate their stance by breaking the 0.8100 level. However, as a bullish divergence emerges on the RSI, if 0.8150 can be held as a firm support, then a rally could move prices above 0.8200.
EURJPY stuck in consolidation
The euro attempts to break free from the recent consolidation to move above the 163.00 area. On the downside, a tentative break below 161.50 is the first step towards a bearish extension in the medium term. The Yen is looking to hold on to some gains as a break below the channel would threaten to pull prices lower towards 160.50. 162.30 would be the Bulls’ first target for a brief turnaround.
