Forextime.com Daily Technical Analysis

[FXTM Official]

Daily Technical Outlook - August 4th-

EUR/USD

The Euro found strong resistance from 1.1230 level, mentioned earlier this week. This level represents the 61.8% Fibonacci retracement of the last decline seen from 1.1425 peak and we have seen a strong rejection from it, which keeps the med-term outlook negative for the single currency.

Actually, the pair should find some support around 1.1120 level; consequently, we can see a bounce in the direction of 1.1160 area before to see another leg of weakness in the pair. Looking at momentum indicators, the pair should stabilize above 1.1085/60 support zone and we believe that prices may keep trading sideways between 1.1160 in the upside and 1.1060 in the downside ahead of tomorrow’s U.S jobs report.

Finally, a clear break outside of this zone should confirm the next direction for the Euro in the coming days.

Support: 1.1120-1.1060-1.1020

Resistance: 1.1160-1.1190-1.1230

 

[FXTM Official]

Daily Technical Outlook - August 4th-

Daily Technical Outlook - August 4th-

GBP/USD

The Sterling plunged after Bank of England decided to lower the official cash rate by 25bps to 0.250% for the first time since 2009.

Looking at the technical picture, the pair remain under pressure below 1.3480 peak and actually, prices continue to print lower highs since 1.3535 peak. Therefore, a continuation to the downside remain possible especially if the labor market figures from the U.S come out higher than expectations.

In the near-term, the pair is testing a strong support located at 1.3115 and a daily close below it, should trigger a fresh sell-off towards 1.3050 weekly support.

Conversely, a re-test of 1.3180/1.3210 area should cap any rally attempt in the next hours.

Support: 1.3115-1.3080-1.3050

Resistance: 1.3170-1.3270-1.3350

 

[FXTM Official]

Daily Technical Outlook - August 4th-

Daily Technical Outlook - August 4th-

GOLD

Gold continue to shine in a low-yield economic environment. Investors are looking for safe assets with higher potential return over the long-term, which may boost the demand for Gold and Silver in the coming months.

Technically, the yellow metal remain bullish above 1305 low and another re-test of the yearly high around 1375 level is possible. In the short-term, 1350 level has turned support and traders should expect another rally to begin in the next hours towards $1370/75 per ounce.

In addition, momentum indicators still calling for further gains in gold and only a daily close below 1328 level will weaken this positive outlook.

Support: 1349-1345-1328

Resistance: 1365-1370-1375

 

[FXTM Official]

Daily Technical Outlook - August 4th-

Daily Technical Outlook - August 4th-

AUD/USD

The pair traded higher during this week despite the decision of the Reserve Bank of Australia to cut interest rates earlier this week.

Looking at the recent price action, the pair overtook the psychological barrier of 0.7600, reinforcing the positive outlook in the hourly chart. Therefore, the Aussie can be heading towards a major resistance located at 0.7675 level in the coming hours.

In the other, as far as prices keep trading above 0.7568 low, the Aussie is likely to keep trading sideways to higher for the rest of the week. While in the daily chart the focus remain on 0.7497 support as it represent the bullish pivot for this pair and only a break below it will put the Aussie under pressure again.

Support: 0.7590-0.7568-0.7497

Resistance: 0.7620-0.7650-0.7675

 

[FXTM Official]

Daily Technical Outlook - August 4th-

Daily Technical Outlook - August 4th-

USD/JPY

The pair continue to sink as bears continue to dominate this pair.

Looking at the daily chart, the pair keep printing lower highs/ lower lows since 114.90 peak and consequently the upside potential is likely to remain limited.

As of now, the sell-off slowed down as expected after prices nearly tested the 100.50 support level, which coincide with the head and shoulders pattern seen in the 4hours chart. In the meantime, the bearish pressure remain strong and this stabilization can be temporary before another dip towards the 100.00 psychological support occur.

In the other side, only a daily close above 102.85 level will cancel the negative outlook in this pair.

Support: 100.50-100.00-99.00

Resistance: 101.65-102.40-102.80

 

[FXTM Official]

Daily Technical Outlook - August 8th-

Daily Technical Outlook - August 8th-
EUR/USD

The Euro traded sharply lower after retreating from the 61.8% Fibonacci retracement of the last decline seen from 1.1425 peak, which keeps the med-term outlook negative in this pair as prices keeps printing lower highs in the daily chart.

Actually, the pair can find some support in the beginning of the week around 1.1050/30 levels but looking at momentum indicators, we believe that the upside momentum is likely to remain limited below 1.1160 resistance level, which represents the post-NFP high.

Meanwhile, we expect a stabilization of prices above 1.1000 psychological barrier and below 1.1160 peak for the time being, as we need further economic catalysts to bring additional trading volume in the Euro.

Finally, the trend remain bearish in the daily chart while in the hourly chart, the outlook is neutral and traders should wait for a clear break outside of the mentioned above zone to confirm the next direction for the pair in the coming days.

Support: 1.1050-1.1020-1.0960

Resistance: 1.1105-1.1160-1.1190

 

[FXTM Official]

Daily Technical Outlook - August 8th-

Daily Technical Outlook - August 8th-
GBP/USD

The Sterling ended last week in the negative territory after Bank of England decided to expand its asset purchase program and to cut the official cash rate.

Technically, the pair remain under pressure below 1.3480 peak and actually, prices continue to print lower highs since 1.3535 peak. Therefore, a continuation to the downside remain possible especially after the recent steady labor market figures that came from the U.S on Friday.

In the near-term, the pair is testing a strong support located at 1.3050and a daily close below it, should trigger a fresh sell-off towards 1.3000 psychological support followed by 1.2970/50 zone.

In the opposite, a breakout above 1.3095 level should send prices into a larger correction to the upside before the bearish pressure resume.

Support: 1.3020-1.2970-1.2950

Resistance: 1.3095-1.3120-1.3170

 

[FXTM Official]

Daily Technical Outlook - August 8th-

Daily Technical Outlook - August 8th-
GOLD

Gold failed to overtake its yearly high located at $1375 per ounce as the U.S Dollar strengthened across the board by the end of last week.

Technically, the yellow metal remain bullish above 1305 low and another re-test of the yearly high around 1375 level is possible. However, Friday’s candle close was strongly bearish and showed a negative engulfing pattern, which may push prices further to the downside in the direction of 1328-1324 zone before to see new buyers again.

However, when looking at the daily chart, momentum indicators still calling for additional gains in gold and only a daily close below 1328-1324 support zone will weaken this positive outlook over the medium term.

Support: 1328-1324-1305

Resistance: 1338-1341-1348

 

[FXTM Official]

Daily Technical Outlook - August 8th-

Daily Technical Outlook - August 8th-
AUD/USD

The pair traded steadily despite the decision of the Reserve Bank of Australia to cut interest rates during last week.

Looking at the recent price action, the pair overtook the psychological barrier of 0.7600, reinforcing the positive outlook in the hourly chart. Therefore, the Aussie can be heading towards a major resistance located at 0.7675 level in the coming hours.

In the other side, as far as prices keep trading above 0.7570low, the Aussie is likely to keep trading higher for the rest and another re-test of 0.7830 yearly peak remain possible from a swing trading perspective.

Actually, we maintain the positive outlook for the pair and only a close below 0.7570 level, will confirm a bearish reversal in the hourly chart.

Support: 0.7598-0.7570-0.7497

Resistance: 0.7675-0.7750-0.7830

 

[FXTM Official]

Daily Technical Outlook - August 8th-

Daily Technical Outlook - August 8th-
USD/CAD

USD/CAD rallied from 1.3000 psychological support boosted by the better than expected labor market figures from the U.S and the worse than expected jobs numbers from Canada.

The pair bounced to reach the 1.3200 handle breaking above all the hourly resistances. Therefore, a re-test of 1.3250 weekly resistance cannot be ruled out as far as prices keep trading above 1.3080 level. Technically, a drop towards 1.3140/20 zone may see the presence of bulls as these former resistance levels may turn into supports for the time being.

From a swing trading perspective, bulls remain under control as far as 1.2860 low is in place. However, we can see that 1.3200 psychological barrier remain intact, which keeps the near-term outlook neutral for the Loonie.

Support: 1.3140-1.3120-1.3080

Resistance: 1.3200-1.3250-1.3300