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EURUSD eyes further downside below parityAlthough June 1989’s low test EUR/USD bears, a clear downside break of the 2.5-month-old support line, now resistance around 0.9850, keeps sellers hopeful at the lowest levels in 20 years. Even so, the major currency pair stays inside a bearish channel formation established on May 12 and has its support line located around 0.9490 by the press time. Additionally, the January 2001 low of around 0.9600 could join the oversold RSI conditions to challenge the short-term downside. Meanwhile, recovery remains elusive until the quote stays successfully beyond the 10-week-old support-turned-resistance line around 0.9850. Following that, the 0.9950 and the 1.000 parity level could entertain short-term buyers. However, a convergence of the 50-DMA and upper line of the stated channel, close to 1.0080, appears a tough nut to crack for the EURUSD bulls before they can dream of retaking control. It’s worth noting that the Italian elections and multiple speeches from ECB President Christine Lagarde, as well as Fed Chairman Jerome Powell, make it an interesting pair to watch on Friday.
by MTradingGlobal
Bearish megaphone keeps gold sellers hopeful on Fed dayGold holds lower ground near the yearly bottom as the market braces for the Fed’s rate hike. In doing so, the yellow metal remains inside a six-week-old trend-widening pattern. That said, the quote is likely to stay bearish unless crossing the $1,715 hurdle. Ahead of that, the two-month-long horizontal resistance area surrounding $1,696 and the $1,700 threshold could test the recovery moves. In a case where the metal prices rally beyond the $1,715 mark, the monthly high surrounding $1,735 could act as the last defense for the sellers. On the contrary, the lower line of the stated trend-widening formation called megaphone, around $1,642 by the press time, restricts the short-term downside of gold prices. Also acting as immediate support is the 78.6% Fibonacci Expansion (FE) of April-August moves, near $1,619. It’s worth noting, however, that the metal’s weakness past $1,619 will make it vulnerable to testing April 2020 low near $1,572. Overall, gold is likely to remain bearish even if the Fed’s disappointment may trigger intermediate bounce.
OANDA:XAUUSD
by MTradingGlobal
EURUSD bears await Fed’s decision to refresh yearly lowEURUSD gyrates between the 50-DMA and a two-month-old support line surrounding the yearly bottom flashed last week. The steady RSI and bearish MACD signals, however, keep the sellers hopeful as markets await the Fed. That said, a downside break of the aforementioned support line, around 0.9850 by the press time may avail an intermediate halt near the 0.9800 threshold before directing the quote towards the 61.8% Fibonacci Expansion (FE) of late June to early August moves, near 0.9730. It’s worth noting that the pair’s downside past 0.9730 will make it vulnerable to testing the early 2001 top near 0.9600. Alternatively, recovery moves beyond the 50-DMA hurdle, around 1.0100, needs validation from the monthly high near 1.0200 to convince the EURUSD buyers. Following that, a run-up towards the previous monthly high surrounding 1.0370 can’t be ruled out. In a case where the currency pair rises past 1.0370, its run-up towards the late June swing high of 1.0615 can’t be ruled out. Overall, EURUSD remains on the bear’s radar but awaits the FOMC to trigger the fresh south-run.
by MTradingGlobal
NZDUSD hovers above 0.5890 key support as the Fed week beginsNZDUSD dropped to the lowest level since May 2020 before bouncing off 0.5940 on Friday. The recovery, however, remains unattractive as the Kiwi pair stays inside a six-week-old bearish channel. Even so, the oversold RSI conditions may allow short-term buyers to aim for 0.6100-10 resistance confluence, including the 21-DMA and the stated channel’s upper line. It’s worth noting that multiple lows marked during late July and early August could act as extra upside filters around 0.6220, a break of which could quickly propel the prices towards the previous monthly top near 0.6470. Alternatively, a convergence of the aforementioned channel’s bottom and a downward sloping support line from May 12 constitute the 0.5890 level as a crucial downside support for the NZDUSD bears to watch during the pair’s further declines. Also acting as an extra check for sellers is the 61.8% Fibonacci Extension (FE) of the pair’s April-August moves, near 0.5870. If at all the Kiwi pair breaks the 0.5870 support, the odds of its south-run towards the 78.6% FE level surrounding the 0.5700 threshold can’t be ruled out. Overall, NZDUSD remains in a bearish trend ahead of the key FOMC meeting, as well as today’s speech from RBNZ Governor Adrian Orr.
by MTradingGlobal
Gold sellers brace for fresh yearly low, $1,650 in the spotlightGold renewed the yearly bottom on breaking the fortnight-old support line, now resistance around $1,700, the previous day. The following consolidation, however, remains doubtful even as the oversold RSI challenges intraday sellers. That said, the precious metal drops towards the 78.6% Fibonacci Expansion (FE) of the August 17 to September 12 moves, near $1,662. Though, a three-week-long downward sloping support line from late August, near $1,650, could trigger the quote’s rebound, if not then the 100% FE level surrounding $1,641 and the $1,600 threshold will be in focus. Alternatively, recovery moves need to stabilize beyond the $1,700 to convince short-term gold buyers. Following that, the weekly high of around $1,735 and the 200-SMA near $1,746 could be considered as the final defenses for the bears. In a case where the bullion prices cross the $1,746 hurdle, a run-up towards the late August swing high around $1,765 and then to the $1,800 threshold can’t be ruled. However, the previous monthly top surrounding $1,808 might allow the XAUUSD bull a break afterward. To sum up, gold is likely to remain bearish ahead of the next week’s Fed meeting even if the downside appears limited.
OANDA:XAUUSD
by MTradingGlobal
EURUSD bulls struggle to retake control ahead of US inflationOn Monday, EURUSD rose past 200-SMA for the first time in a month and formed a bullish channel. However, the following pullback from 1.0197 flirts with the stated channel’s lower line near 1.0130. Following that, the 1.0100 threshold comprising the 200-SMA, could test the pair bears ahead of the key US Consumer Price Index (CPI) data for August. Hence, a recovery towards 1.0200 can’t be ruled out. However, the aforementioned channel’s top and the 78.6% Fibonacci retracement of August-September downside, respectively around 1.0225 and 1.0265, could challenge the pair’s further advances, if not, then a run-up towards the previous monthly peak surrounding 1.0370 could appear on the chart. Meanwhile, a downside break of the 1.0100 key SMA level could quickly drag EURUSD prices towards the 38.2% Fibonacci retracement level of the stated moves, close to 1.0055. Following that, the 1.0000 parity level and the 0.9910 may entertain the bears before redirecting them to the yearly low marked in the last week around 0.9860. Overall, EURUSD regains its place on the buyer’s radar but the uptrend remains doubtful as strong US inflation may recall the US dollar bulls.
by MTradingGlobal
USDJPY stays on the way to 150.00Despite the latest pullback from a 24-year high, the USDJPY remains inside a five-month-old megaphone formation suggesting a further widening of the uptrend. Even so, the overbought RSI (14) suggests a pullback of the yen pair, which in turn highlights a two-month-old horizontal support area surrounding 134.00-134.40. Following that, the 50-DMA and 100-DMA could test the pair sellers around 136.80 and 134.00 respectively. It’s worth noting that the stated megaphone’s lower line, near 132.40, appears the last defense for the pair buyers. Meanwhile, recovery moves may initially aim for the 78.6% Fibonacci Expansion (FE) of the pair’s late March to early August moves, near 144.75, before challenging the megaphone’s top, close to 145.75. In a case where USDJPY bulls keep reins, the tops marked during the June and August months of 1998, close to 146.80 and 147.70 in that order, could probe the upside momentum towards the 150.00 psychological magnet. Overall, a shift in the market sentiment isn’t a trend change and hence the bulls can keep control.
Long
by MTradingGlobal
GBPUSD eyes 1.1730 on bullish RSI divergence, channel breakoutGBPUSD crosses the monthly bearish channel, also the 50-SMA hurdle, after briefly declining to the lowest levels since 1985. The corrective bounce takes support from the bullish RSI divergence where the lower low on the prices contrasts with the higher low of the RSI (14), which in turn suggests brighter chances of the pair’s recovery. As a result, the buyers are on the way to the three-week-old horizontal resistance area near 1.1730-40. Should the quote manage to remain firmer past 1.1740, the 1.1900 and the 1.2000 thresholds could please the bulls afterward. Meanwhile, the stated channel’s upper line acts as the immediate support for the pair, around 1.1500. Following that, the weekly descending trend line surrounding 1.1400 seems to restrict short-term GBPUSD downside ahead of the lower line of the aforementioned bearish channel, close to 1.1340 at the latest. It’s worth noting, that the pair’s south-run past 1.1340 could keep grinding the quote slowly towards the 1.1000 psychological magnet. In a case where the pair remains bearish past 1.1000, the low marked in the year 1985 near 1.0520 will regain the market’s attention. To sum up, GBPUSD seems to have seen enough of the downside and the bull’s turn is just around the corner. However, the fundamentals are the key and should be read carefully for clear directions.
by MTradingGlobal
EURUSD bears running out of steam ahead of ECBEURUSD fades bounce off the lowest levels in almost two decades as traders await the European Central Bank’s (ECB) second rate hike. The major currency pair portrays a four-month-old bearish channel and justifies the downbeat MACD signals to keep sellers hopeful irrespective of the widely-expected 75 bps hike. However, the 61.8% Fibonacci Expansion (FE) of May-August moves, near 0.9850, joins the nearly oversold RSI to probe the quote’s further downside. Even if the bears keep reins past 0.9850, backed by ECB’s disappointment, the pair prices could drop to the 78.6% FE level surrounding 0.9715. It’s worth noting, however, that the pair’s failure to bounce off 0.9715 could make it vulnerable to slumping towards the stated channel’s support line, close to the 0.9600 threshold. Meanwhile, ECB’s positive surprise could offer immediate strength to the EURUSD and can challenge the short-term hurdle, namely the 20-day EMA level near the 1.0000 psychological magnet. However, the pair’s further advances need validation from late July’s low around 1.0100. Even so, the bulls are likely to remain off the table unless witnessing a clear upside break of the aforementioned channel’s resistance line, at 1.0170 by the press time. Overall, EURUSD is likely to remain on the bear’s table irrespective of the ECB’s attempt to defend the regional currency. That said, the odds of witnessing intermediate bounces can’t be ruled out.
by MTradingGlobal
Fortnight-old bearish channel keeps gold sellers hopefulGold extends pullback from 50-SMA and the upper line of the 12-day-long descending trend channel as sellers flirt with the $1,695. That said, the downward sloping RSI, not oversold, adds strength to the bearish bias targeting the latest swing low, around $1,688. However, the yearly low, marked in July at around $1,680, will precede the stated channel’s bottom, close to $1,670, to challenge the sellers afterward. Meanwhile, recovery remains elusive until the gold price remains below the $1,723-25 resistance confluence including the 50-SMA and the channel’s top. Following that, the 61.8% Fibonacci retracement of July-August upside, near $1,730, could probe the XAUUSD bulls before giving them control. In that case, the tops marked during August 25 and 10, respectively near $1,765 and $1,807, will be the focus. Also acting as the upside barrier is the $1,800 threshold.
OANDA:XAUUSD
by MTradingGlobal
Gold eyes fresh yearly low, $1,660 in focusGold flirts with the $1,700 threshold as it approaches the yearly bottom ahead of the key US Nonfarm Payrolls (NFP) data. The yellow metal’s latest fall justifies bearish MACD signals. However, the RSI nears the oversold territory, which in turn suggests limited downside room. Hence, even if the quote breaks the yearly low of $1,680, the further declines could be smaller. This highlights the 61.8% Fibonacci Extension (FE) level from late April to early August, near $1,660. Even if the quote drops below the $1,660 support, a late March 2020 peak near $1,644 could act as an additional downside filter before dragging the bullion towards the $1,600 threshold. Alternatively, multiple swings of July portray the $1,700 as an immediate resistance ahead of the monthly downward sloping trend line, previous support near $1,710. Following that, the late August swing low near $1,727 and the 20-DMA surrounding $1,760 could gain the market’s attention. It’s worth noting that a daily closing beyond $1,760 will enable the bulls to aim for the previous monthly peak of $1,808. Overall, gold bears are likely to keep reins but the downside room is limited, which in turn suggests the brighter scope of recoveries in case the data disappoints.
OANDA:XAUUSD
by MTradingGlobal
EURUSD rebound needs validation ahead of Eurozone inflationHaving refreshed the multi-year low the previous week, EURUSD rose during the last two days. That said, the pair traders await flash readings of Eurozone inflation data for August on Wednesday for fresh impulse as they poke a two-week-old resistance line, around 1.0050 by the press time. If the data manages to propel the prices to cross an immediate hurdle, the 100-EMA level surrounding 1.0075 and the 1.0100 threshold will act as the last defenses for the sellers. It’s worth noting that the pair’s upside past 1.0100 enables buyers to aim for the 61.8% Fibonacci retracement level of August 10-23 downside, near 1.090, wherein the mid-August swing low of 1.0121 may offer an intermediate halt. On the flip side, the 0.9980 and 0.9950 levels can offer nearby support to the EURUSD pair during its fresh declines. Following that, the 19-year low marked in the last week at around 0.9900 should gain the market’s attention. Also acting as the downside filter is the 61.8% Fibonacci Expansion (FE) of August 12-26 moves, near 0.9860. Elsewhere, steady RSI and the sluggish MACD signal that the bears are running out of steam. However, it all depends upon the Consumer Price Index (CPI), recently known as the Harmonized Index of Consumer Price Index (HICP).
by MTradingGlobal
AUDUSD prepares for more downside below 0.6900AUDUSD reversed before the 100-DMA hurdle on Friday. The bears, however, jostle with the five-week-old horizontal support area surrounding 0.6860-50 afterward, a break of which could quickly drag the quote towards May’s low near 0.6830. It’s worth noting that the pair’s downside past 0.6830 could have an intermediate halt around the 0.6800 round figure before directing the bears toward the 0.6680-70 support zone comprising the lows marked during September 2019 and July 2022. Alternatively, recovery moves may initially poke the 0.7000 psychological magnet before attacking the 100-DMA resistance, around 0.7030 by the press time. Even if the quote rises past 0.7030, the 200-DMA level near 0.7130 and the monthly high of 0.7136 will be crucial for the AUDUSD bulls to tackle to retake control. Following that, an upward trajectory towards June’s peak, close to 0.7285, can’t be ruled out. Overall, AUDUSD bears are in the driver’s seat and are riding towards the yearly low.
by MTradingGlobal
NZDUSD stays on the way to refreshing yearly lowNZDUSD picks up bids inside a weekly trading range that restricts the pair’s move after it dropped below a five-week-old ascending trend line and the 200-SMA. Given the quote’s sustained trading below the previous key supports, as well as the bearish MACD signals and downbeat RSI (14), the pair is likely to witness further downside. That said, the 78.6% Fibonacci retracement of July-August upside, near 0.6150, appears immediate rest of the sellers ahead of the yearly bottom marked in July around 0.6060. If the bears dominate past 0.6060, which is most likely, the south-run could well approach the 0.6000 psychological magnet. Meanwhile, the NZDUSD rebound remains tepid until the quote stays below the convergence of the 200-SMA and the support-turned-resistance line, close to 0.6250. Following that, the 38.2% Fibonacci retracement level near 0.6315 and the August 01 peak surrounding 0.6355 will be on the bull’s radar. It’s worth noting, however, that the quote’s run-up beyond 0.6355 won’t hesitate to challenge the monthly top close to 0.6470, with the 0.6400 round figure likely acting as an intermediate halt during the rise. Overall, NZDUSD is on the bear’s radar as RBNZ Governor Adrian Orr is bracing for a speech at the Jackson Hole symposium.
Short
by MTradingGlobal
EURUSD has more downside room unless hitting 0.9700EURUSD dropped to the lowest since late 2002 during the four-day downtrend. The oversold RSI, however, tested the bears afterward around 0.9900. It’s worth noting that the consolidation remains elusive until the quote stays beyond the previous monthly low near 0.9950. Even so, the parity level and a six-week-old horizontal resistance area around 1.0090 could challenge the upside momentum before directing the buyers towards the 1.0255-60 resistance confluence including the 50-DMA and upper line of the bearish channel established on May 12. Alternatively, the 61.8% Fibonacci Expansion (FE) of late May to early August downside, close to 0.9850, appears immediate support to watch during the EURUSD pair’s further weakness. It’s worth noting, however, that a joint of the 78.6% FE and lower line of the aforementioned channel, near 0.9700 at the latest, appears a tough nut to crack for the bears afterward. In a case where the quote remains weak past 0.9710, lows marked during late 2002 and a high of early 2001, between 0.9610 and 0.9590, will be in focus. Overall, EURUSD remains on the bear’s radar but 0.9700 becomes strong support as traders await the key US data/events.
Short
by MTradingGlobal
NZDUSD rebound appears unconvincing below 0.6250NZDUSD bounces off a five-week low as it extends the corrective pullback from a weekly falling channel’s support line. In doing so, the Kiwi pair also traces the oversold RSI while approaching the 61.8% Fibonacci retracement level of July-August moves, around 0.6215. The quote’s further upside, however, remains doubtful as the 200-SMA and upper line of the stated channel, close to 0.6250, will challenge the bulls afterward. Should the pair rise past 0.6250, the 0.6300 round figure may act as an intermediate halt during the run-up towards the early August swing high, near 0.6350-55. Alternatively, pullback moves may revisit the support line of the aforementioned channel and the 78.6% Fibonacci retracement level, around 0.6150, will be a crucial support. In a case where the NZDUSD bears conquer 0.6150 support, the southward trajectory towards the yearly low marked in July, near 0.6060, followed by the 0.6000 psychological magnet, can’t be ruled out. Overall, NZDUSD is likely to witness further recovery but the upside momentum has limited room to the north.
by MTradingGlobal
AUDUSD bears keep reins with eyes on 0.6800AUDUSD broke a one-month-old bullish channel after witnessing a downbeat Aussie Wage Price Index. The south-run also gained support from the softer jobs report for July. Even so, a convergence of the 200-SMA and 50% Fibonacci retracement of the July-August upside, near 0.6900, restricts the immediate downside of the pair. It’s worth noting, however, that the RSI (14) is near the oversold territory and suggests limited declines before the bounce. Should the quote breaks the 0.6900 round figure, the monthly bottom surrounding 0.6870 and the 61.8% Fibonacci retracement level near 0.6850 could entertain the bears before directing them to the mid-July swing high close to 0.6800. Meanwhile, corrective pullback needs to cross the stated channel’s support line, around 0.6970 by the press time, to convince the buyers. Following that, the weekly resistance line near the 0.7000 threshold could try stopping the upside moves. In a case where AUDUSD bulls cross the 0.7000 hurdle, the month-start peak around 0.7050 might become the last defense of bears before directing the prices towards the monthly high of 0.7136. Overall, AUDUSD has signaled a bearish trajectory after the downbeat employment numbers and is ready to reverse the bounce off the yearly low marked during July.
by MTradingGlobal
Gold bears jostle with key EMAs ahead of FOMC MinutesGold consolidates the previous four-week uptrend by retreating from the 61.8% Fibonacci retracement of the June-July move from Monday itself. However, a convergence of the 100 and 200 EMAs, around $1,775, appears a tough nut to crack for the bears waiting for the Fed Minutes. Also acting as a downside filter is the 38.2% Fibonacci retracement level close to $1,755. In a case where the XAUUSD remains weak past $1,755, the odds of its fall towards the previous resistance line from early June, around $1,705, can’t be ruled out. Meanwhile, gold’s recovery needs to cross the 61.8% Fibonacci retracement at around $1,804 to convince buyers. Even so, a two-week-old upward sloping resistance line, close to $1,823, could test the upside momentum. It’s worth observing that the metal’s sustained run-up beyond $1,823 enables it to aim for the mid-June swing high surrounding $1,858.00. Overall, gold bears appear to keep reins but a clear downside break of $1,775 becomes necessary, not to forget the need for hawkish Minutes.
OANDA:XAUUSD
by MTradingGlobal
EURUSD braces for 100-pip fall on breaking 1.0200 support EURUSD began the key week by breaking an important support confluence surrounding 1.0200, which includes 100-SMA, 200-SMA and a one-month-old ascending trend line. The bearish bias also takes clues from the downbeat MACD and RSI conditions, confirming further south-run of the major currency pair. That said, the 23.6% Fibonacci retracement of the late June to July downturn, around 1.0100, lures the pair sellers. However, the 1.0000 parity mark appears a tough nut to crack for the bears, which if conquered could make the prices vulnerable to refresh yearly low, currently around 0.9950. On the flip side, sustained trading beyond the 1.0200 support-turned-resistance needs validation from the 50% Fibonacci retracement level of 1.0285 to convince the EURUSD buyers. Even so, a two-month-old horizontal resistance area around 1.0360-65, also comprising the 61.8% Fibonacci retracement level, will be crucial for the bulls to watch. In a case where the stays beyond 1.0365, the odds of its run-up towards the late June swing high around 1.0490 can’t be ruled out. Overall, EURUSD is likely to decline further as traders await important fundamental catalysts from the US and Eurozone.
by MTradingGlobal
EURUSD needs to cross 1.0360 hurdle to convince buyersUS inflation allowed EURUSD to extend the three-day uptrend towards refreshing the monthly peak, by also piercing a downward sloping resistance line from late March. However, a horizontal area comprising the 50-DMA and lows marked during May and June, around 1.0345-60, appeared a tough nut to crack for the bulls. Hence, a daily closing beyond 1.0360 becomes necessary for the pair to remain firmer. Following that, a run-up towards the 100-DMA and the late June swing high, respectively near 1.0540 and 1.0620, seems imminent. Alternatively, pullback moves remain unimpressive beyond late July’s peak surrounding 1.0275-80. Also acting as a downside filter is an ascending support line from July 14, close to 1.0180. In a case where EURUSD remains bearish past 1.0180, the south-run could extend towards 1.0100 and the 1.0000 parity level before challenging the yearly low near 0.9950. That said, EURUSD buyers have higher odds of return as the technical breakout gains support from the MACD and RSI, not to forget the softer US CPI. However, the confirmation is pending and much needed.
by MTradingGlobal
Gold buyers brace for $1,840 ahead of US CPIGold remains firmer around one-month high, staying successfully above the $1,787-88 confluence comprising the 50-DMA and a five-month-old descending trend line. The same joined firmer RSI and bullish MACD signals to keep buyers hopeful of further upside. However, the $1,800 threshold could challenge the upside momentum before directing the bulls towards the convergence of the 100-DMA and the 200-DMA near $1,840. Following that, a north-run towards the 50% Fibonacci retracement of the March-July downturn, near $1,877, can’t be ruled out. Alternatively, pullback moves remain elusive until the quote stays beyond $1,787, a break of which could direct the gold prices towards the previous weekly low near $1,754. In a case where gold bears keep reins past $1,754, the odds of witnessing a south-run towards $1,740 and $1,710 can’t be ruled out. If at all the bullion fails to improve from $1,710, the $1,700 round figure could act as the last defense of gold buyers ahead of highlighting the yearly low of $1,680 to the traders. Overall, gold signaled further upside ahead of the key US Consumer Price Index (CPI) data for July. However, the outcome of the inflation report is awaited for clear directions.
OANDA:XAUUSD
by MTradingGlobal
NZDUSD braces for fresh 2022 low with eyes on 0.6195 breakAlthough 20-DMA triggered the NZDUSD pair’s latest rebound, the first weekly loss in three joined RSI retreat to keep bears hopeful. The downside momentum, however, needs validation from the three-month-old horizontal support area around 0. 6210-0.6195, other than the 20-DMA level of 0.6225, to push back the buyers. Following that, the previous monthly low, also the yearly bottom surrounding 0.6060, will be in focus. Should the quote remains bearish past 0.6060, the 61.8% Fibonacci Expansion (FE) of late April to early August moves, close to 0.5990, may lure the sellers. Meanwhile, recovery moves remain unimpressive below a downward sloping resistance line from early June, around 0.6335 by the press time. Even so, the monthly peak surrounding 0.6355 and the mid-June swing high of 0.6395 could challenge the NZDUSD buyers. It’s worth noting, however, that the Kiwi pair’s run-up beyond 0.6395 may wait for a successful run-up above the 0.6400 round figure before giving the control to bulls targeting June’s high near 0.6575. Overall, NZDUSD is on the bear’s radar as traders await key inflation data from New Zealand and the US.
Short
by MTradingGlobal
EURUSD portrays bearish set-up ahead of US NFPBe it an ascending triangle or a pullback from 200-SMA, EURUSD bears flex muscles as markets await the US Nonfarm Payrolls (NFP) for July. That said, the bearish triangle confirmation looms on the clear downside break of 1.0160, which in turn could direct the pair towards the yearly low near 0.9950. However, the 1.0090 and the 1.0000 parity level could offer intermediate halts during the fall. In a case where the pair sellers dominate below the 0.9950 trough level, the 61.8% Fibonacci Expansion (FE) of late June-July moves, near 0.9870 might join the likely oversold RSI conditions to hinder further downside. On the contrary, the 200-SMA and upper line of the monthly triangle offer a tough nut to crack for EURUSD buyers at around 1.0280. Following that, a run-up towards a horizontal area comprising multiple levels marked since mid-June, near 1.0358-65, could challenge the upside momentum. It’s worth noting, however, that the pair’s successful rise beyond 1.0365 could enable the bulls to aim for June’s high of 1.0588. Overall, EURUSD stays inside a bearish set-up with an absence of oversold RSI and bearish MACD signals amplifying the odds of the quote’s downside. However, it all depends upon how well the US employment data for July arrives. A negative surprise won’t hesitate to pamper bulls.
by MTradingGlobal