The bitcoin price has been staying below a slightly descending 20-DMA since late December
The USD index turned slightly negative on Wednesday after leaking at one-week highs around 95.83. It looks like the greenback proceeded to a short-term downside correction after the recent recovery while the broader bullish trend remains intact. Furthermore, the index could resume the ascent ahead of the Fed meeting due next week as traders expect the US central bank to signal a March rate hike. EURUSD is now back below the 20-DMA, with the 1.1350 zone representing the immediate upside target for the pair. Should the pressure reemerge anytime soon, the common currency may threaten the 1.1300 support for the first time since January 10. On the hourly charts, the technical picture looks neutral as long as the prices stay above the 20-SMA.
Following three days of losses, the pound bounced back above the 1.3600 figure from one-week lows registered around 1.3570 on Tuesday. The GBPUSD pair was last seen changing hands at 1.3611, up just 0.13% on the day. In the immediate term, the pound needs to hold above the 1.3600 figure in order to stay afloat and make more robust bullish attempts. Otherwise, the pair may slip back towards local lows and threaten the 1.3550 zone where the 20- and 100-DMAs converge. On the upside, the nearest resistance arrives at 1.3630, followed by 1.3670 while the key barrier arrives at 1.3730 where the 200-DMA lies. It looks like GBPUSD could struggle to see more robust gains in the near term, with downside risks persisting despite the bullish bias on the intraday charts.
USDJPY extended the recovery to 115.05 on Tuesday but failed to preserve gains and retreated back below the 20-DMA that continues to act as a local resistance. As of writing, USDJPY was changing hands around 114.50, down just 0.09% on the day. Despite the recent bullish bias, it looks like the pair would lack the upside momentum to settle above the mentioned moving average on a daily closing basis. Furthermore, should risk aversion intensify anytime soon, the safe-haven demand for the Japanese yen could push USDJPY deeper into the negative territory. On the downside, the immediate support now arrives at 114.20, followed by 114.00. as long as the prices stay above the 113.50 area, the bearish risks are limited for the time being.
The BTCUSD pair is back under pressure on Wednesday after a modest recovery witnessed yesterday. The coin failed to overcome the $42,500 zone to get back below the $42,000 figure today. The largest cryptocurrency by market capitalization continues to oscillate in a tightening trading range, with bearish bias persisting, pushing the prices towards the $40,000 psychological level that was last derailed on January 10. The digital currency has been staying below a slightly descending 20-DMA since late December. As long as this moving average acts as resistance, downside risks continue to persist in the short term. Should the $41,000 level fail to withstand the pressure, the market focus will shift towards $40,000. On the four-hour timeframes, the technical picture looks bearish as well.
The Kiwi regained the upside bias on Wednesday following a sharp intraday sell-off witnessed yesterday. The pair failed to hold above the 0.6800 figure and has settled back below the 20-DMA eventually. Today, NZDUSD refrains from another attack at this moving average, currently at 0.6800 while the immediate support arrives at 0.6770, followed by the 0.6750 critical zone. As long as the prices stay above this area, bearish risks are limited. On the hourly charts, the pair was last seen flirting with the 200-DMA. A decisive recovery above this level would pave the way to more robust gains. However, it looks like the New Zealand dollar will fail to overcome the 0.6800 hurdle on a daily closing basis as the greenback remains resilient despite the recent retreat.