EURUSD: Bullish With Caution, Eyes The 1.1865 Levels.
The EURUSD maintained a bullish momentum yesterday, bottomed at the 1.1738 levels and topped at the 1.1824 levels. This development leaves the pair targeting the 1.1765 levels. A halt is likely and it may turn lower from here, but if this fails to occur, the pair will extend gains to the 1.1935 levels, further upside resistance stands at the 1.2005 levels ahead of the 1.2059 levels.
On the downside. Support comes at the 1.1738 levels, a daily close back below that level will restore the downside momentum and turn the focus on the 1.1670 levels where a cut is likely. If seen support comes at the 1.1585 levels, further down will aim the 1.1478…
Conclusion: The EURUSD continues to face upside threats above the 1.11738 levels with caution…
Note: The pair failed to close above 1.1814 – static resistance – yesterday, stability below this level could mean a return to the downside, a daily closing above 1.1814may expose the 1.1865 levels…anyway, the expected scenario for today is to test 1.1865 levels before going down unless the Fed comes out with something unexpected today?!!
Outlook in GBPUSD has turned neutral at the moment. Support comes at the 1.3147 levels while resistance comes at the 1.3205 levels. The GBPUSD will have to break and hold above the 1.3205 levels on a daily closing to push the market for further upside gains if seen it will aim the 1.3290 levels ahead of the 1.3350 levels, further upside resistance stands at the 1.3442 levels.
Alternatively; a failure to hold above the 1.3205 levels on a daily closing basis could (the pair failed yesterday) could mean a return to the 1.3147 levels, a daily closing back below 1.3147 should weaken recent recovery and turn the focus back on the 1.3090/1.3041 levels, below 1.3041 will aim the 1.2908 levels.
Conclusion: The GBPUSD continues to consolidate below 1.3205 levels with possible to break lower, above 1.3205 will aim the 1.3290/1.3350 levels…
As long as 112.20 support holds on a daily closing basis, the USDJPY remains on the upside to the 113.20 levels, a halt is likely but a break will extend gains to the 113.95 levels, further upside, resistance comes at the 114.87 levels ahead of the 1.116.33 levels.
On the downside, support comes at the 112.20 levels, below that level sees a pullback risk to the 111.33 levels before the next rising, below 111.33 will suggest short-term top at the 113.43 levels and pave the way to the 110.25 levels.
Conclusion: The USDJPY continues to face upside threats -with caution – above the 112.20 levels.
Today the focus will on the Fed meeting at 18:00 GMT, EURUSD: the pair may spike to 1.1865 levels before falling once again, GBPUSD may also be rejected from 1.3207 levels. The USDJPY may dip to 111.47 levels before going up again….