A Trend Change For US500?

• 21 Jun 2021

USD/JPY

USDJPY has pulled back from the 110.69 resistance line and a series of doji candles suggest that the move is unlikely to form a reversal. The ascending trendline has remained a key support level since January and any previous moves towards this area have resulted in a bullish rebound. Momentum indicators are bullish with upward trajectories.

 

 

 

 

GBP/USD

The GBPUSD pair has pulled back tot he 1.380 support level where buyers have returned in early trading. The current trading range represents a consolidation zone for the pair and the 1.380 support level has been an obstacle for sellers in the past. Momentum indicators are testing oversold conditions.

 

 

 

 

EURUSD

The Eurodollar has stalled at the 1.184 support level as the sell-off appears to have reversed. Given the sharp rise in bearish sentiment, a downward trend may be forming in the longer-term. The pair may now level off within the 1.184-1.198 range. Momentum indicators suggest a bullish reversal is underway.

 

 

 

 

USDCHF

The USDCHF is testing the 0.922 support level as bullish conviction strengthens in the pair and takes it back to recent highs. The question is whether the break can be sustained. Momentum indicators are signaling that the pair is overbought.

 

 

 

 

XAUUSD

Despite a surge in selling pressure in the previous trading session, price action has been held at the 1770 price level.  Buyers have returned in early trading and price action may therefore make another attempt at the 1792 resistance line. Momentum indicators suggest the metal is oversold.

 

 

 

 

USOUSD

The USOUSD continues to test the 72.44 resistance level which has emerged as a key hurdle for the commodity. Currently, neither buyers nor sellers appear to have the conviction to drive price action and elevated price action is driven by fundamental factors. Momentum indicators are testing overbought conditions.

 

 

 

 

US500

The US500 has broken the ascending trendline to the downside, which is significant as this support level has remained intact since October 2020. The strength of the bearish move may suggest a trend reversal or at the very least, a retracement of the rally. Momentum indicators have sharp downward trajectories.