The USDJPY pair has broken back above the descending trendline which is significant as it signals a change in longer-term momentum. The 110.66 resistance line remains insight and represents the upper bound of a previous consolidation range. Momentum indicators remain in neutral territory.
The GBPUSD pair has surged back towards the mid-line of the current trading range after a test of the 1.361 support level resulted in a strong bullish rebound. Oscillations had been narrowing with lower highs and therefore it remains to be seen if bullish conviction is string enough to return to the 1.395 upper bound.
The Eurodollar has begun to climb back towards the 1.177 resistance line as buyers returned in yesterday’s trading. The move resulted in a break of the 1.170 price level. However, despite the attempted recovery, buyers conviction will once again be tested by the descending trendline which represents a key obstacle for buyers.
The USDCAD has plummeted back towards the ascending trendline, as a test of the 1.282 ceiling resulted in a sell-off which saw the 1.274 support level broken. On previous occasions, a test of the trendline has resulted in the return of buyers.
XAUUSD has broken back below the 1753 support level as neither buyers nor sellers appear to be able to gain dominance in recent trading. The break has inspired the return of buyers and there is a support level at the 1728 price line. Longer-term bearish sentiment remains.
The USOUSD has broken the descending trendline as the rally continues to complete a full price recovery. Given there is a resistance level which resulted in a pullback at the 73.50 price line, bullish momentum will need to be strong to drive a break.
The ASX200 index has rejected the 7399 price level as sellers have begun to return in early trading to contain price action in the current consolidation range with the 7138 price level representing the lower bound of the range. Momentum indicators are undergoing bullish reversals.