EURUSD little changed both in the weekly and daily charts. The pair is holding above the 1.12 handle, and as long as this level acts as support, downside risks are limited. Once below it, the 1.1170 support area will come back into market focus. On the upside, the common currency needs to make a decisive break above the 1.13 barrier so that to retarget recent highs above 1.14. However, it looks like the path of least resistance is to the downside at least in the near term. On the positive side, the prices remain well above the ley moving averages on the daily timeframes.
GBPUSD is marginally lower on Friday, flirting with the descending 100-DMA that arrives around 1.2455. The pair was strongly rejected from local highs around 1.2530 yesterday. As a result, a long upper wick was created on the daily charts, suggesting the upside potential is limited at this stage. Nevertheless, the cable is finishing the week on an upbeat note as gains were decent earlier this week. The key upside hurdle comes around 1.26, where the 50-weekly MA arrives. On the four-hour timeframes, the pound is trapped between the 100- and 200-SMAs while the RSI is neutral, confirming the persisting consolidative mode.
USDJPY is directionless today after a nearly flat close on Thursday. The pair is stuck in a tight range between the 20- and 100-DMAs, and it looks like the dollar is not ready for a breakthrough just yet, after bullish attempts were capped marginally above the 108.00 handle earlier this week. As long as the prices stay below this barrier, the pair’s dynamics is considered neutral. On the downside, the 20-DMA around 107.30 remains in focus. More significant support arrives at 107.00. both in the short- and longer-term timeframes, the RSI looks neutral, suggesting the consolidation will continue for some time.
USDCHF switched into recovery mode on Friday following three days of losses that brought the pair to local lows around 0.9425. A long lower wick was created on the daily timeframes yesterday, suggesting the bearish potential could be exhausted for now, and recovery will continue in the short term. on the other hand, upside potential looks limited as well, which means the pair may settle in the current range for some time before another bullish attempt takes place. On the upside, the immediate target arrives at 0.9475, where the intermediate resistance on the way to 0.95 comes.
The Aussie has been trading with a modest upside bias for the fourth day in a row already. The pair climbed to one-week highs around 0.6950 yesterday and remains shy of this level. The 0.69 figure remains in market focus as a break below this level could bring more losses in the days to come. In the short-term, AUDUSD will likely continue its consolidation in thin trading conditions and amid low volumes. In a wider picture, the pair looks bullish, extending its bullish trend from mid-March lows around 0.55. a weekly close above the 100-weekly moving average will be a confirmation of the longer-term upside bias.
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