USDCHF has been grinding lower for the third day in a row
EURUSD climbed to an intraday high of 1.1873 earlier in the day and trimmed gains in recent trading. Still, the pair remains in the green while on the weekly charts, the euro has created a flat candlestick with long upper and longer wicks. The pair has been rising for the third day in a row, having partially erased previous losses. If the recovery momentum persists in the short term, the common currency will regain the 1.19 handle and could retarget the 1.20 psychological level if dollar demand continues to wane in the days to come. On the four-hour charts, the pair has climbed marginally above the key moving averages, suggesting the euro will likely retain its bullish bias in the short term.
The cable is marginally lower on Friday after a steep decline witnessed yesterday. The pair extended losses to fresh late-July lows around 1.2760. As a result, the pair came closer to the horizontal 200-daily moving average that could act as significant support in the near term. If this moving average gives up, the GBPUSD pair will target the 100-DMA around 1.2690. The daily is flat and hasn’t entered the oversold territory just yet, suggesting the prices could edge lower from the current levels before demand picks up again. On the upside, the pound needs to regain the 1.28 handle and turn the 1.2830 area into support. In this scenario, the 1.30 handle will come back into the market focus.
USDJPY remains stuck in a tight range, oscillating around the 20-daily moving average that now arrives at 106.00. The daily RSI remains directional as well, suggesting the pair will continue its consolidation at least in the short term. On the four-hour chart, the prices have settled above the key moving averages, which implies the dollar could add to intraday gains in the short term. However, judging by the hourly timeframes, the greenback will likely struggle to hold above the 106.00 handle as the short-term selling pressure is intensifying ahead of the opening bell on Wall Street.
The cross has been climbing north since Wednesday when the pair bounced from the ascending 50-daily moving average that is being followed by the price since late-June. On Friday, the euro is holding below the 126.00 handle after failed bullish attempts around 126.50. This area acts as the key upside hurdle at this stage but the cross will have to make a decisive break above 126.00. On the downside, EURJPY needs to hold above the mentioned moving average if the buying pressure wanes in the medium term. On the weekly charts, the technical picture remains bullish despite the cross is finishing this trading week unchanged.
USDCHF has been grinding lower for the third day in a row on Friday. The pair came under the selling pressure following a rejection from early-August highs around 0.92 earlier in the week. Today, the dollar dipped under the 0.91 handle and could threaten the 0.90 key support if the downside pressure surrounding the greenback intensifies any time soon. The daily RSI is pointing lower, suggesting the pair could get even lower in the short term before a bounce takes place. On the four-hour timeframes, the technical picture looks bearish as the prices have settled below the 200- and 50-SMAs in recent trading.