The US dollar remains a central theme for traders with trade tensions resurfacing. Today we look at the daily charts for EUR/USD, USD/CHF and GBP/USD.
EUR/USD Daily
- A bearish hammer warned of weakness below 1.1751 before rolling over.
- Several bearish patterns have formed near the 1.1751/91 zone to reaffirm resistance at these levels.
- A break of the 20-day average targets the 1.1530 low, a break of which brings the 1.1301 low into focus.
USD/CHF Daily
- The downside is at risk of overextension.
- A bullish hammer has formed above 0.9650 support, which is stretched beyond the lower Keltner band and RSI is oversold.
- Be on the guard for mean reversion above 0.9650 but bearish momentum remains whilst below 0.9788.
GBP/USD Daily
- A weekend gap has seen cable fall beneath July’s low.
- A break of the retracement line could signify further downside.
- The 1.2799 and 1.2662 lows make likely targets for bears seeking to trade in line with the dominant bearish trend.