DXY Dollar Index, EURUSD GBPUSD Gold Overview
As seen on the H4 chart, DXY made its recovery at MA 200 support – the trend line as well – and succeeded to end the day inside the cloud. Currently, it is pricing at 94.66. It is just below the EMA 100 and EMA 50 in the H4 chart. If it breaks above EMA 50 94,78, Tenkan-Sen 94.94 can be tested today.
EURUSD TECHNICAL ANALYSIS CHART
This Tuesday, July Markit PMI will be released for EU and US. However, the market players will be focused on new developments related to the trade war and Trump’s latest criticism of the Fed’s policies.
The pair is pricing at 1.1685 as of writing. We are bearish and will remain bearish below 1.18500. 1.16800 EMA 50 is critical resistance. As seen on the chart, a clear break below 1.16700 will take the price into the lower Bollinger Bands. In this case, 1.16400, 1.16100 and 1.15800 will be the targets of the pair ( DXY above 94.80)
1.17500 is a strong intraday resistance. Only a break and close above 1.17500 may open the doors to 1.18500. Sublevel to watch as a resistance is 1.17200.
GBPUSD is still under the bearish pressure of Brexit related development. Theresa May said that the government is stepping up preparations for a no-deal Brexit, although they are also working hard to avoid it.
GBPUSD is trading at 1.30960 as of writing. As we wrote yesterday, Cable tested 1.30800 but failed to break below. More important than 1.30800, 1.30600 is the most critical support. A break below 1.30600 will carry the price toward 1.30000 and 1.29500 again. On the upside, 1.31800 is the major resistance.
GOLD DAILY CHART
As we have written yesterday, the bearish Gold move is likely to continue for a while. We have explained the reasons in our previous articles.
Gold tested the 1234 support yesterday and headed south again.
Our next target levels: 1218.73 121484 and 1211.