Technical Analysis Summary of Major Currency Pairs
This article provides a technical analysis of major currency pairs as traders prepare for the upcoming trading week. The analysis focuses on key support and resistance levels that could influence market movements.
EUR/USD
The EUR/USD pair experienced a decline early in the US session but found support between the swing area of 1.15422 and 1.15549. The price rebounded from this level and is currently stabilizing around the 100-hour moving average (MA), which will serve as a critical indicator for buyers and sellers in the coming week.
GBP/USD
The GBP/USD pair maintained support at an upward-sloping trendline on the hourly chart and subsequently rose above the 100-hour moving average. This upward movement provides a foundation for buyers, although further progress is needed to solidify a bullish outlook. Key resistance levels to watch include the 100-day MA at 1.3395, the 200-hour MA at 1.3421, and the 200-day MA at 1.3442.
USD/JPY
Despite weaker U.S. jobs data, the USD/JPY pair is trading higher, supported by favorable technical indicators. The day's low held near the rising 100-hour MA at 157.45, which coincides with an upward-sloping trendline. As long as the price remains above this support zone, buyers maintain control. A break above the weekly high at 158.08 could lead to further upward movement.
USD/CAD
The USD/CAD pair is experiencing a downward trend, influenced by a surge in oil prices and a weaker U.S. dollar following a disappointing jobs report. The price has fallen below the key trading range of 1.3624 to 1.3724, triggering additional selling pressure. The next target for the pair is around 1.3575, and for a bullish reversal, it would need to reclaim the 1.3624 level.
AUD/USD
The AUD/USD pair's bias remains bearish, but support near 0.6972–0.6985 has halted its decline over the past three days. A break below 0.6972 could lead to further downside, while the 100-hour MA near 0.7040 has capped recent rallies. A sustained move above this level could target the 200-hour MA and the 100-bar MA on the 4-hour chart near 0.7067.
NZD/USD
The NZD/USD pair is rebounding from its weekly low after testing a lower channel trendline. It is currently approaching the 100-hour MA at 0.5907, which will be crucial for determining the market's direction in the upcoming week. Trading above this level would indicate a bullish sentiment, while staying below could suggest a bearish outlook.
Conclusion
Overall, the analysis highlights critical levels for each major currency pair that traders should monitor as they navigate the new trading week. Understanding these technical indicators will be essential for making informed trading decisions.