EURUSD is unchanged on the day, having settled around the 1.09 mark after a decline towards one-week lows around 1.0870 earlier. Despite a bounce, the euro struggles to regain the upside momentum following failed attempts to challenge the 1.10 barrier last week. Now, the pair needs to see a daily close above 1.09 in order to shrug off the short-term selling pressure. Otherwise, the mentioned lows will come back into market focus. On the four-hour timeframes, EURUSD has recovered above the short-term moving averages, suggesting the common currency may spend some time in a consolidative mode in the near term before it decides on further direction.
GBPUSD is trading marginally above the opening levels on Monday, struggling to get back above the 1.22 handle. The pair is still capped by the 50-DMA that now comes around 1.2270. As long as the prices stay below this level, the upside potential remains limited. On the downside, the immediate support arrives at 1.2160. A break below this area will bring the 1.21 figure back into market focus. On the hourly charts, the cable remains below the key moving averages, suggesting the downside risks will persist in the near term. A daily close above the 1.22 handle will mark an improvement in the short-term technical picture.
USDJPY remains stuck between the key moving averages on the daily charts. The pair struggles for direction since last week, continuing to oscillate around 107.70. On the upside, the bullish potential remains capped by the 108.00 handle which is the key level for a potential breakout to take place. At the same time, the dollar stays above the 107.00 support area, suggesting the downside risks are limited as well. It looks like the pair will continue its consolidation for some time before the greenback decides on a clear direction. The mentioned support region is reinforced by the 20-DMA. As long as the prices stay above this level, the dynamics is considered neutral.
The Kiwi is marginally lower on the daily timeframes after two consecutive days of losses. The pair struggles to regain the upside bias following a rejection from local highs around 0.6160. today, the prices are challenging the 0.61 handle, a break below which will open the way towards the 0.6060 initial support area. As long as NZDUSD remains above this region, bearish risks look limited. On the short-term charts, the RSI is pointing slightly downwards, suggesting the New Zealand dollar will likely struggle to resume the ascent any time soon.
USDCHF rose to intraday highs around 0.9735 earlier in the day but failed to extend the ascent and retreated. The pair has settled around the opening levels since then, struggling for a clear direction in thin trading. As a result, the daily RSI turned neutral again, while the 50-DMA remaining in focus. A break below this level could attract more sellers and send the dollar to the 0.9670 next support area. On the upside, the important hurdle arrives marginally below the 0.98 handle where the 200-DMA lies. this is a strong resistance level that will hardly be broken any time soon while downside risks continue to persist.