Forex Trading Library

Intraday Analysis – USD Continues to Dominate

0 34

The GER 40 dead cat bounce drops prices
The GER 40 Chart: Dead cat bounce formation, potential downside acceleration below 18000.

The GER 40 continues to decline as a dead cat bounce begins its formation. A move below 18000 indicates an acceleration to the downside. Bears are now looking to recover to the previous swing low of 17600 following a brief consolidation. 17900 is the first hurdle to break before a selloff can continue. If price action can swing higher, it will need a break above 18250, and 18600 will be in sight.

AUDUSD breaks critical support
AUDUSD Chart: Breaks below critical support at 0.6500 level, targeting 0.6440.

The Australian dollar came under renewed selling pressure as the pair cracked the 0.6500 level. The price is looking to test this year’s low at 0.6440 on the chart. This might pause any bullish revival in the short term as the bigger picture remains downbeat. 0.6540 is the level to see if bulls are ready to step in and offer support. Otherwise, the swing low of 0.6400 is a critical floor.

USDJPY bounces higher
USDJPY Chart: Bounces higher after recent CPI report, aiming for 155.00 level.

The US dollar continues to climb on the back of the recent CPI report, which still lingers in the markets. Sentiment remains positive as the pair achieves a series of higher highs despite a solid consolidation. The greenback has secured a solid foundation above 152.00, and a close above 153.50 could carry the price to a hefty 155.00 psychological level. As the RSI drops back to the neutral area, a bearish divergence has opened, with 151.20 being the first level to see if a sharp rebound is on the horizon.

 

Test your forex trading strategy with Orbex

Leave A Reply

Your email address will not be published.