EURUSD managed to stage a local reversal and even derailed the 1.09 handle during the recent trading. As a result, the euro regain nearly 50% losses from the three last trading days. After a bounce, the daily RSI has turned higher but the slope is too modest just yet to bet on further gains, at least in the near term. Besides, there are three moving averages on the way north now, and the common currency may need the additional boost to overcome these resistance levels. The initial hurdle arrives at 1.0980, where the 50-DMA lies. on the downside, the 1.09 level has turned into a support zone.
Cable briefly dipped to more than one-week lows around 1.2160 early in the day but reversed quickly and has been gradually rising since then. As a result of a bounce, the pair regained the 1.23 level and registered intraday highs around 1.2380. The daily RSI is pointing only a tad higher now, suggesting the bullish potential is limited at this stage. GBPUSD needs to clear an important resistance around 1.2460 in order to retarget the 1.2650 area, where the 20- and 200-DMAs lie. If the momentum is unsustainable, cable may get back below 1.23 easily.
USDJPY has settled in a tight range and flirting with the 109.00 level on Tuesday. It looks like USD bulls opted to take a pause after a three-day rally that was capped by the 109.40 area which acts as the key resistance on the way to 110.00 and higher. The daily RSI is nearly flat now, suggesting the current consolidation will likely continue in the near term before the pair decides on a clear direction. On the downside, the potential profit-taking may take the prices under the 108.40 area, where the 20- and 200-DMAs converge.
The Kiwi has accelerated the ascent on Tuesday and refreshed April highs around 0.60. The daily RSI continues to point upwards, suggesting the pair may make further bullish attempts in the near term. Now, the pair needs to confirm a break above the mentioned level in order to extend gains towards the 0.6060-0.6070 resistance area. As long as the prices remain below this region, downside risks prevail despite a two-day ascent. On the downside, should the Kiwi fail to confirm the latest breakout, there is a possibility that the prices will retarget the 0.59 region.
AUDUSD has been climbing since the start of the week after four days of losses in a row. The pair jumped to fresh April highs marginally above the 0.62 handle but is yet to confirm a breakout on a daily closing basis. Otherwise, the Aussie may correct lower. On the other hand, the daily RSI is pointing north and stays in the neutral zone, suggesting the pair still has some upside potential. Once above 0.62, AUDUSD will focus on the 1.0980 region, where the next resistance in the form of the 50-SMA in the daily charts lies.