EUR/USD
During yesterday’s trading session, the bulls’ attack was thwarted around the resistance level at 1.0186. The buyers lost their momentum and the bears in turn took control over the market, paving their way towards the first significant support at 1.0115. Although the bulls took control at the end of last week, we still can’t talk about an end of the bearish push just yet. A breach of the levels at around 1.0400 – 1.0500 could be the only event signalling the calming down of the sell-off and a possible end of the bearish trend. There is no economic news for today that could impact the volatility as investors are looking forward to the European Central Bank’s interest rate decision (Thursday; 12:15 GMT).
USD/JPY
The situation with the Ninja remains unchanged from the previous session. The pair consolidated just above the support area at 137.84 as the bulls gave up control to the bears and lost some of their gains to the U.S. dollar. This, in turn, could be seen as a fleeting correction and an attempt to find better entry levels before we witness another attack on the resistance and also a key psychological level at around 140.00. The main support remains at the mentioned level at 137.84.
GBP/USD
The bears thwarted the bulls’ attack at the 1.2045 resistance, then managed to breach the first support at 1.1962 and lead the trade towards the 1.1900 support area. A possible deepening of the sell-off could create conditions for reaching the local minimum at around 1.1800. In the positive direction, the mentioned resistance at 1.2045 is a major obstacle for the bulls if they wish to reverse the bearish trend. Тhe Claimant Count unemployment change data (today; 06:00 GMT) could have an impact on the volatility of the currency pair.
EUGERMANY40
After the German index opened with a positive gap at the start of yesterday’s trading session, the bulls were able to gain momentum and take the trade towards a test of the resistance zone at 13000. The breakout failed, allowing the bears to take control and they led the index towards the levels from the end of the past week – the one at 12856, which currently plays the role of major support. The range move for the moment remains intact between 12384 – 13000.
US30
Similarly to the German index, the U.S. blue-chip stock index started the week in the green, reaching gains of just over 1%, but during the second half of yesterday’s trading session, the bears prevailed and the index ended up recording a day of losses. At the time of writing, the US30 is located just below the resistance at 31151, and a possible successful breach could give the buyers the necessary incentive for another attack on the level of 31425, and then the next resistance at 31700. On the other hand, a potential deepening of the sell-off would take the index towards a test of the next significant support at 30872.
