Headlines are saying the dollar is climbing as Fed’s Powell returns to focus with more tapering talk.
But we also see bond market positioning implying that any rate hike programme in mid-2022 may not be a good idea and may even invite more lackluster growth in the longer term.
I see the dollar as largely undecided.
EURUSD is trading sideways above support at 1.1620 dollars. 1.1675 is the resistance to beat.
GBPUSD is still ranging around the pivot at 1.3800 dollars. While the slope of the 60MA on the H4 chart is still up, the 60MA on the daily chart is sloping down. 1.3855 is the ceiling level that must break to reverse the downtrend.
USDJPY has reached the top of the target set of 112.00-114.70. The dollar is now making its way back to 113.35 support.
AUDUSD is failing to pierce thru the ceiling at 75.15 cents and is ranging sideways for now.
Gold tried to breach the 1800 dollar ceiling and is back down again, but at least it’s now above the earlier resistance at 1780 dollars.
As always, all prior support and resistance lines were still respected and will likely continue to be.
The charts in this article are H4 charts of a selection of major FX pairs.
The targeted support and resistance levels are in the latest colored boxes on the respective charts.
Each pair would have to cross their respective colored zones to confirm any meaningful change or extension in trend.
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All displayed chart support/resistance lines are either historical levels or actual confirmed order book levels currently being traded by major players based on available market intelligence.
Disclaimer: This content is for educational purposes only. It does not constitute trading or investment advice. Past performance does not indicate future results. Do not invest more than you can afford to lose.
