GFT Daily Forex Market Commentary
The dollar sank across the board on Wednesday and the weak report of US existing houses and fears of a puny non-farm payrolls report didn’t help its cause. The bias remains mixed to lower for the dollar.
Euro/dollar
The euro/dollar rallied on Wednesday. You should now be looking for further gains.
Initial resistance is at 1.3675. Strong resistance follows a 1.3765.
Below 1.3580, euro/dollar still has support at 1.3555. A break below the latter level would signal the resumption of the downmove. Next level is at 1.3480.
Oscillators are mixed.
NEAR-TERM: Mixed
MEDIUM-TERM: Bearish
LONG-TERM: Mixed
Dollar/yen
Dollar/yen got clobbered on Wednesday but found support at 115.00 from both Fibonacci and Gann levels. The weakness should persist at a reduced pace.
Initial support is at 115.00. Next strong level is at 114.20.
Immediate resistance is at 115.50 from another 50-point pivot, which targets 115.00 and 116.00. Distant resistance is at 116.85.
Oscillators are mixed.
NEAR-TERM: Mixed to slightly lower
MEDIUM-TERM: Bullish
LONG-TERM: Mixed
Sterling/dollar
Sterling/dollar reversed early losses to close higher on Wednesday. Expect another attempt to rally today.
Strong resistance is at 2.0230. Strong resistance follows at 2.0290. Distant resistance is at 2.0400.
Immediate support is seen at 2.0130. A break below the 1.9920 level would signal a further slide to 1.9780.
Oscillators are mixed.
NEAR-TERM: Mixed with upside bias
MEDIUM-TERM: Bearish
LONG-TERM: Bullish
Dollar/Swiss franc
Dollar/Swiss franc fell sharply on Wednesday to reverse most gains since Friday. Look for another push lower.
Immediate support is at 1.2020. Next level is 1.1990. Below 1.1870, support is seen at 1.1819.
Initial resistance is at 1.2080. The next good level is 1.2155. Above 1.2219, the next distant resistance is at 1.2310.
Oscillators are mixed.
NEAR-TERM: Mixed with upside bias
MEDIUM-TERM: Bullish
LONG-TERM: Bearish
By: Cornelius Luca, Currencies Analyst, GFT
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