Should the common currency get back under pressure, a break below the 1.1260 zone would pave the way towards the 1.1200 figure
The dollar keeps losing ground as US 10-year Treasury yields are hovering around their lowest levels in a week. The greenback is falling for the third straight session on mixed economic data and an upbeat risk tone in the financial markets. As such, EURUSD keeps recovering from long-term lows around 1.1120, approaching the 1.1300 barrier, followed by the 20-DMA, currently at 1.1315. However, it looks like the common currency may need an extra driver to overcome this local threshold in the near term. Should the common currency get back under pressure, a break below the 1.1260 zone would pave the way towards the 1.1230 intermediate support, followed by the 1.1200 figure. On the four-hour charts, the technical picture looks neutral, with the prices being stuck between the key moving averages while the RSI is directionless around 63.
The cable has been climbing north for the fourth day on a row on Wednesday amid broad-based weakness surrounding the US dollar. The pair exceeded the 100-DMA and extended gains to the 1.3550 zone where the 20-DMA lies. Should the pound lack the bullish impetus to challenge this immediate barrier anytime soon, the prices will retreat back towards the 1.3500 figure that represents the key short-term support. In a wider picture, the pair keeps reversing last week’s losses while flirting with the 20-week SMA that could turn back into support should GBPUSD retain the bullish impetus in the coming days. A daily close above the 1.3550 region would add to a more upbeat technical picture. Should this zone give up, the prices will target the 1.3600 figure.
Gold prices struggle to extend recovery following two days of gains. The precious metal bounced from the cyclical lows seen around $1,780 late last week and was last seen flirting with the $1,800 psychological figure. Of note, the XAUUSD pair was rejected from the $1,808 region, suggesting the bullion still lacks recovery impetus despite the dominating weakness surrounding the greenback. Furthermore, the non-yielding metal will likely come under renewed selling pressure as the dollar could gain later this week to erase recent losses. On the four-hour timeframes, the technical picture looks mixed, as the prices are now stuck between the key moving averages while the RSI is pointing north in the neutral territory. On the upside, the immediate resistance now arrives at $1,805 where the 200-DMA lies. Should the yellow metal make a decisive break above this moving average on a daily closing basis, the prices will target the 20-DMA, currently at $1,815.
The BTCUSD pair has been climbing north gradually these days, extending gains to $39,300 on Tuesday before turning marginally lower today. The coin is now challenging the descending 20-DMA which is a critical level in the context of further recovery in the short term. In case of another rejection, the largest cryptocurrency by market capitalization would come under renewed selling pressure. However, it looks like downside risks have ebbed somehow since a brief plunge below $33,000 last month. On the weekly charts, the bitcoin price stays within a bearish trend, extending losses since peaking at the $69,000 record high in July. In the immediate term, BTC needs to overcome the $39,000 intermediate barrier on the way towards the $40,000 psychological level last seen nearly two weeks ago.