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Daily Pivots: (S1) 1.1770; (P) 1.1804 (R1) 1.1831; More....

Intraday bias in EUR/USD is turned neutral for consolidation above 1.1762. Near term outlook remains bearish with 1.1995 resistance intact and further decline is expected. Below 1.1762 will resume the fall from 1.2555 for 1.1708 medium term fibonacci level next. Break will target 1.1553 support.

In the bigger picture, current development suggests that EUR/USD was rejected by 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516. And, a medium term was formed at 1.2555 already. Decline from there should extend further. Break of 38.2% retracement of 1.0339 to 1.2555 at 1.1708 will target 61.8% retracement at 1.1186. For now, even in case of rebound, we won't consider the fall from 1.2555 as finished as long as 55 day EMA (now at 1.2162) holds.

For the 24 hours to 23:00 GMT, the EUR declined 0.16% against the USD and closed at 1.1796, amid continuous political uncertainty in Italy.

On the economic front, the Euro-zone's seasonally adjusted construction output declined 0.3% on a monthly basis in March, dipping for the third straight month and after recording a revised fall of 0.7% in the previous month.

Macroeconomic data showed that the number of Americans filing for fresh unemployment benefits climbed more-than-anticipated to a level of 222.0K in the week ended 12 May, hitting a 1-month high level and compared to market expectations for an advance to a level of 215.0K. Initial jobless claims had registered a level of 211.0K in the prior week. Moreover, the nation's Philadelphia Fed manufacturing index unexpectedly surged to a 12-month high level of 34.4 in May, defying market consensus for a fall to a level of 21.0, thus suggesting that manufacturing activity is gaining momentum in the world's largest economy. The index had registered a reading of 23.2 in the prior month. Additionally, the nation's leading index climbed 0.4% on a monthly basis in April, at par with market expectations. The index had registered a revised similar rise in the previous month.

In the Asian session, at GMT0300, the pair is trading at 1.1802, with the EUR trading 0.05% higher against the USD from yesterday's close.

The pair is expected to find support at 1.1773, and a fall through could take it to the next support level of 1.1745. The pair is expected to find its first resistance at 1.1834, and a rise through could take it to the next resistance level of 1.1867.

Going ahead, market participants would focus on the Euro-zone's trade balance figures for March, slated to release in a few hours.

The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, the GBP declined 0.07% against the USD and closed at 1.3515.

In the Asian session, at GMT0300, the pair is trading at 1.3513, with the GBP trading slightly lower against the USD from yesterday’s close.

The pair is expected to find support at 1.3469, and a fall through could take it to the next support level of 1.3425. The pair is expected to find its first resistance at 1.3563, and a rise through could take it to the next resistance level of 1.3613.

Amid a lack of macroeconomic releases in the UK today, investors would direct their attention to Britain’s 1Q GDP numbers as well as inflation and retail sales data, all set to release next week.

The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.

Daily Pivots: (S1) 1.3470; (P) 1.3519; (R1) 1.3565; More...

GBP/USD's consolidation continues in range of 1.3450/3607 and intraday bias stays neutral. On the upside, above 1.3607 will indicate short term bottoming and bring strong rebound for 55 day EMA (now at 1.3815). On the downside, firm break of 1.3448 will pave the way to next fibonacci level at 1.2874.

In the bigger picture, current development suggests that whole medium term rebound from 1.1936 (2016 low) has completed at 1.4376 already, with trend line broken, on bearish divergence condition in daily MACD, after rejection from 55 month EMA (now at 1.4223). 38.2% retracement of 1.1936 (2016 low) to 1.4376 at 1.3448 was almost met. Break there will target 61.8% retracement at 1.2874 and below. Outlook will stay bearish as long as 55 day EMA (now at 1.3815) holds, even in case of strong rebound.

Daily Pivots: (S1) 0.9991; (P) 1.0012; (R1) 1.0038; More...

USD/CHF is still bounded in consolidation between 0.9956/1.0056 and intraday bias remains neutral. On the downside, below 0.9956 will bring deeper pull back. But downside should be contained by trend line support (now at 0.9789) to bring rebound. On the upside, sustained break of 1.0037 will resume recent rise for 1.0342 key resistance next.

In the bigger picture, medium term decline from 1.0342 has completed with three waves down to 0.9186. Rise from there is currently viewed as a leg inside the long term range pattern. Hence, while further rally would be seen, we'd be cautious on strong resistance from 1.0342 to limit upside. For now, further rise is expected as long as 38.2% retracement of 0.9186 to 1.0056 at 0.9724 holds.

Daily Pivots: (S1) 110.27; (P) 110.57; (R1) 110.06; More...

USD/JPY's rally is still in progress and intraday bias remains on the upside. 61.8% retracement of 114.73 to 104.62 at 110.86 is already met. Next target is trend line resistance at 112.43. On the downside, below 110.45 minor support will turn intraday bias neutral first. But outlook will stay bullish as long as 109.13 support holds.

In the bigger picture, corrective decline from 118.65 (2016 high) has completed with three waves down to 104.62. Rise from 104.62 is possibly resuming the up trend from 98.97 (2016 low). This will be the preferred case as long as 55 day EMA (now at 108.30) holds. Decisive break of 114.73 resistance will confirm our view and target 118.65 and above.

Daily Pivots: (S1) 0.7489; (P) 0.7519; (R1) 0.7540; More...

AUD/USD is bounded in range of 0.7411/7566 and intraday bias remains neutral first. On the upside, above 0.7566 will bring stronger recovery. But upside should be limited by 38.2% retracement of 0.8135 to 0.7144 at 0.7688 to bring decline resumption. On the downside, break of 0.7411 will resume the fall from 0.8135 and target cluster support at 0.7328 (61.8% retracement of 0.6826 to 0.8135 at 0.7326).

In the bigger picture, medium term rebound from 0.6826 is seen as a corrective move. Decisive break of 0.7500 key support suggests that such correction is completed at 0.8135. Deeper decline would be seen back to retest 0.6826 low. In case of another rise, we'd expect strong resistance from 38.2% retracement of 1.1079 to 0.6826 at 0.8451 to limit upside to bring long term down trend resumption eventually.

For the 24 hours to 23:00 GMT, the USD rose 0.44% against the JPY and closed at 110.81.

In the Asian session, at GMT0300, the pair is trading at 110.97, with the USD trading 0.14% higher against the JPY from yesterday's close.

Data released overnight revealed that Japan's national consumer price index (CPI) advanced 0.6% on a yearly basis in April, falling short of market consensus for a gain of 0.7%. The CPI had risen 1.1% in the prior month.

The pair is expected to find support at 110.37, and a fall through could take it to the next support level of 109.77. The pair is expected to find its first resistance at 111.28, and a rise through could take it to the next resistance level of 111.59.

Moving forward, Japan's trade balance, flash Nikkei manufacturing PMI and all industry activity index, all due to release next week, will be on investors' radar.

The currency pair is trading above its 20 Hr and 50 Hr moving averages.

For the 24 hours to 23:00 GMT, the USD rose 0.07% against the CHF and closed at 1.0014.

In the Asian session, at GMT0300, the pair is trading at 1.0008, with the USD trading 0.06% lower against the CHF from yesterday’s close.

The pair is expected to find support at 0.9986, and a fall through could take it to the next support level of 0.9963. The pair is expected to find its first resistance at 1.0032, and a rise through could take it to the next resistance level of 1.0055.

In absence of any macroeconomic releases in Switzerland today, investor sentiment would be governed by global macroeconomic events.

The currency pair is trading below its 20 Hr moving average and showing convergence with its 50 Hr moving average.

For the 24 hours to 23:00 GMT, the USD rose 0.38% against the CAD and closed at 1.2831.

In the Asian session, at GMT0300, the pair is trading at 1.2825, with the USD trading 0.05% lower against the CAD from yesterday’s close.

The pair is expected to find support at 1.2768, and a fall through could take it to the next support level of 1.2710. The pair is expected to find its first resistance at 1.2865, and a rise through could take it to the next resistance level of 1.2904.

This afternoon will bring a pair of crucial Canadian releases, namely consumer inflation for April and retail sales data for March.

The currency pair is trading above its 20 Hr and 50 Hr moving averages.