USDJPY is back around multi-year highs, challenging the 160.00 figure
EURUSD
After a solid slide at the start of the week, the US dollar turned positive, recovering for the second session in a row on Wednesday, with volatility persisting these days. At the start of the week, the greenback briefly rallied to early-May highs in the 105.90 area, but failed to preserve the momentum and faced a local profit-taking. After finding support around the 105.35 figure during the previous session, the dollar bounced from local lows, targeting the 106.00 barrier during the European hours on Wednesday. The USD index stays bullish today, but still lacks the momentum to challenge the mentioned local high so far. In recent deals, the dollar was changing hands around 105.80, up 0.17% on the day. Meanwhile, EURUSD came under pressure after a failure to break above 1.0750. The pair now holds around the 1.0700 psychological level. In European trading on Wednesday, the single currency has settled at 1.0699, down 0.15% on the day. On the weekly charts, the broader technical picture remains negative even as the pair holds slightly in the green this week.
GBPUSD
The pound turned back negative on Wednesday after another failed bullish attempt around 1.2700. Earlier, the pair bounced from falling to mid-May lows seen last week around 1.2655. GBPUSD managed to stage a local recovery, but the 1.2700 region capped gains during the previous session. As such, the cable is now on the defensive, but holds above the 1.2650 level so far, with buyers cautious after the recent sell-off. The fact that the pair refrains from a deeper retreat at this stage suggests the upside bias could reemerge in the near term. In recent trading, GBPUSD has settled in negative territory, with downside pressure persisting at this stage. In a wider picture, the technical outlook looks neutral so far. The daily RSI is now slightly bearish in neutral territory, suggesting potential sellers could stay in the game in the immediate term. In recent trading, GBPUSD was changing hands around 1.2668, down 0.12% on the day. On the flip side, the immediate significant support is now represented by the 1.2650 level, followed by the 1.2620 zone that capped losses last week.
USDJPY
USDJPY keeps trending north these days. The pair extended gains to fresh late-April highs in the 160.00 region as the pair extended its ascent despite overbought conditions. As the upside momentum persists, the pair stays elevated after recovery from local lows seen below 155.00 earlier in the month. After a dip, the pair jumped back to the mentioned psychological level but refrains from a decisive break above this barrier so far. The greenback now needs to stay above the 159.50 figure on a daily closing basis to retain bullishness. The pair was last seen changing hands around 159.96, up 0.17% on the day. Now, the buck needs to hold above the 159.00 region in order to stay afloat and make fresh bullish attempts, this time above 160.00. The daily RSI stays bullish, suggesting the pair could refrain from sustained bearish attempts in the near term. Should the pressure reemerge, the dollar may derail the mentioned immediate support, but it looks like the pair will extend the ascent in the days to come.
XAUUSD
Gold prices retain a modest bearish bias on Wednesday, looking pressured after last week’s failed attempt to challenge the $2,380 zone. The bullion struggles to shrug off the recent bearish pressure, with $2,300 still representing the intermediate significant support on the way to local lows. Now, the XAUUSD pair needs some momentum to make a local bounce, with prices struggling to attract renewed demand so far today. The downside potential looks limited at this stage, however. In recent deals, the XAUUSD pair was changing hands around $2,328, down 0.1% on the day. On the weekly timeframes, the technical picture has barely changed, with wider picture remaining upbeat after reaching fresh all-time highs last month. On the upside, the immediate significant target is now represented by the $2,360 region that capped gains last week. Downside risks look limited while above the $2,300 figure.
