The Dax (GER40) cruising higher
The Dax (GER40) continues the climb with upbeat trade deals that have boosted global indices. A tentative break below 23000 caused some profit-taking but was not enough to spook most buyers. A follow-up rebound has managed to lift bids to the recent top of 23800, prompting sellers to cover their positions ahead of a bullish continuation. 24000 is the next level to clear to break the previous swing high. On the downside, 23200 is the first support.
GBPUSD searching for a triple top
Cable remains in a tentative state as traders digest the current GDP data. The latest move meant that price action managed to stay above the mid-1.31 area, which suggests that the bias remains bullish. A surge above the recent high of 1.3430 would resume the upward trajectory, making 1.3500 the next threshold. As the RSI develops a bearish divergence, 1.3200 is a keen target for bears to test and turn things around.
EURJPY continues to climb
The Japanese yen extended losses after another upturn in price action. The latest surge has propelled the pair to a multi-month high above 165.00, which could keep the yen pressured for a prolonged period. With the RSI firmly overbought, sellers could see a pullback opportunity. 164.00 is the closest support, with 163.20 as a second layer to prevent a deep correction, which could bring prices back to the previous bottom at 161.50.
