Possible breakout on the AUD/USD

The Australian Dollar versus the US Dollar has been consolidating just below its 55 day exponential moving average (purple line) without taking a clear direction. Inside the consolidation the price has formed a Symmetrical Triangle, which is a chart pattern from where the price may break out in any direction. If price breaks to the upside, then the 0.7900 could act as a good resistance. If price breaks to the downside, then the 0.7500 zone could prove to be a good support.

The GBP/JPY in a sustainable uptrend

The Pound versus the Yen keeps a sustainable uptrend on the daily chart, but it has now reached the round number level of the 193.00. It is possible for that level to become a good resistance, but the uptrend stays in place as long as the bullish trendline is not broken to the downside. A breakout of the 193.00 could cause the price to accelerate to the upside, but a pullback could give us the opportunity of a long entry.

The bearish trend is still in place for the Kiwi

The New Zealand Dollar continued dropping today versus the US Dollar, especially when the US fundamentals came out better than expected. The Reserve Bank of New Zealand has lowered its interest rates and said that it is ready to lower them even more if needed, while the Federal Reserve of the US is thinking of raising its interest rates. The divergence on the monetary policies between those two central banks is keeping the NZD/USD in a bearish trend.

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Possible bullish trend starting on the EUR/USD

The MACD indicator on the daily chart of the EUR/USD is getting further apart from its signal line, red line, indicating that this could be the beginning of a bullish trend. However, the price is currently very undecided around the 1.1300 zone, from where it has not taken a clear direction yet. If the price continues going higher, then the 200 day exponential moving average, which is just below the 1.1600 level, could act as a resistance. To the downside, the 1.1100 level could act as a support, which coincides with the 55 day exponential moving average.

Possible Head and Shoulders pattern on the GBP/USD

On the daily chart of the Pound versus the Dollar we can see that the pair has been oscillating around the 200 period exponential moving average and it has formed what it appears to be a Head and Shoulders pattern. What we can do now is just wait for the price to break below the neckline and then the pullback to the same neckline for a possible short entry.

Reversal or just a pullback on the Kiwi?

The New Zealand Dollar has gained a lot of ground versus the US Dollar and broke above the 0.7100 level to visit its 55 period exponential moving average on the 4 hour chart, around the 0.7150 zone. The longer term trend on this pair is bearish and that makes us wonder if today’s rally on the Kiwi is just a normal retracement or pullback to continue going lower or if this is the start or a trend change. Since the downtrend is still in place, this could be a pullback and the price may try to bounce to the downside from the 55 EMA area. But if it goes back to the 0.7100 level, the round number may act as a temporary support.