(UK 100)The FTSE bearish reversal underway
(UK 100)The FTSE fell away from its recent record as traders digest the latest news from the Middle East conflict. The RSI’s previous double top in the overbought zone was a sign of overextension and created a bearish divergence, which moved prices lower. As the index remains subdued, the 10645 area looks like the first support hurdle if prices look to reverse towards 10400 at the previous bottom. 10900 is the key target in the event of a turnaround in fortunes, bringing price action higher in the near term.
USDCAD fails at recovery
The Canadian dollar continues to recoup losses after spiking towards 1.3700 at the back end of last month. On the chart, the pair is recovering to the downside as prices fell to the 1.3600 area. A break below 1.3620 could extend the bear rally, with 1.3500 as a critical support as the RSI hovers near oversold territory. A move above 1.3680 is needed to break the recent consolidation and send the pair higher.
NZDUSD remains choppy
The New Zealand dollar remains volatile after a 50-pip swing. The pair has been grinding the recent level of 0.5950 without success, and a break below it could prompt bulls to look for an exit. As the kiwi strives to maintain momentum, 0.6000 is the first barrier to lift before the uptrend can resume towards the recent peak at 0.6100. Otherwise, the gate would open on a drop below 0.5950, then 0.5880.