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Silver falls as US treasury yields inch higher ahead of the jobs report.

The rally above 25.40 had prompted sellers to cover, but the bulls have met stiff selling pressure at 26.00, a former support that has turned into a resistance. 25.25 has failed to initiate a rebound, leaving the psychological level of 25.00 as a second chance.

An oversold RSI may rekindle buyers’ interest to trade the dip. Otherwise, the bearish sentiment would invalidate the latest rebound and the metal could be vulnerable to a new round of sell-off.

The Dow Jones 30 consolidates as traders await today’s NFP.

A new high above 35100 indicates that the bulls are still in control. Though profit- taking ahead of this catalyst has driven the index to the support at 34700.

Sideways actions would allow buyers to accumulate at a better VWAP. Volatility would kick off when a breakout tips the balance to a direction.

A close above 35100 may send the index to 35500. However, a drop below the said support would cause a sell-off to the daily support at 34000.

The pound bounces higher on BOE’s upbeat inflation forecast for later this year.

The rally above the daily resistance level at 1.3900 is a strong sign that buyers are willing to commit. A bullish MA cross on the daily chart is likely to attract more buying interest.

Now price action is looking to hold onto its gains with 1.3850 as the immediate support. 1.3770 would be an important demand zone in case of a deeper retracement.

On the upside, lifting offers around 1.3980 could trigger a surge towards 1.4100.

Daily Pivots: (S1) 152.26; (P) 152.64; (R1) 153.28; More...

Intraday bias in GBP/JPY stays neutral first. On the upside, break of 153.42/46 resistance will reaffirm the case that correction from 156.05 has completed at 148.43. Intraday bias will be back on the upside for retesting 156.05. On the downside, though, below 151.14 will bring deeper fall back to retest 148.43.

In the bigger picture, rise from 123.94 is seen as the third leg of the pattern from 122.75 (2016 low). Focus remains on 156.59 resistance (2018 high). Sustained break there should confirm long term bullish trend reversal. Next target is 61.8% retracement of 195.86 (2015 high) to 122.75 at 167.93. On the downside, sustained break of 149.03 support, however, will argue that rise from 123.94 has completed. Further break of 142.71 would open up the bearish case for retesting 122.75 low.

Daily Pivots: (S1) 129.63; (P) 129.82; (R1) 130.07; More....

Intraday bias in EUR/JPY remains neutral for the moment. With 131.07 resistance intact, deeper fall remains mildly in favor. On the downside, break of 128.85 will resume the fall from 134.11 to 127.07 resistance turned support next. On the upside, break of 131.07 resistance will argue that choppy fall from 134.11 has completed. Intraday bias will be turned back to the upside for 132.68 resistance first.

In the bigger picture, rise from 114.42 is seen as a medium term rising leg inside a long term sideway pattern. As long as 127.07 resistance turned support holds, further rise is still expected to retest 137.49 (2018 high). However, firm break of 127.07 will argue that the medium term trend has reversed, and open up the case for retesting 114.42.

Daily Pivots: (S1) 0.8481; (P) 0.8505; (R1) 0.8518; More...

Intraday bias in EUR/GBP is back on the downside as choppy fall from 0.8718 resumes. Next target is a test on 0.8470 low. We'd look for strong support from there to bring rebound. On the upside, break of 0.8556 will indicate short term bottoming and turn bias back to the upside for strong rebound. however, sustained break of 0.8470 will resume larger down trend for 0.8276 long term support.

In the bigger picture, price actions from 0.9499 are still seen as developing into a corrective pattern. Deeper fall could be seen as long as 0.8718 resistance holds. However, firm break of 0.8717 would argue that a medium term bottom was already formed. Stronger rise would be seen to 0.8861 support turned resistance to confirm completion of the corrective pattern.

Daily Pivots: (S1) 1.5951; (P) 1.5998; (R1) 1.6032; More...

Range trading continues in EUR/AUD and intraday bias remains neutral first. Near term outlook stays bullish as long as 1.5925 support holds. On the upside, break of 1.6182 will resume the rise from 1.5250 to 1.6827 resistance next. However, firm break of 1.5925 will bring deeper fall back to 1.5614 structural support instead.

In the bigger picture, a medium term bottom was formed at 1.5250, on bullish convergence condition in daily MACD. Rise from 1.5250 is currently seen as a correction to the down trend from 1.9799 first. Stronger rise would be seen to 38.2% retracement of 1.9799 to 1.5250 at 1.6988 next. We'd tentatively expect strong resistance from there to limit upside, at least on first attempt.

Daily Pivots: (S1) 1.0719; (P) 1.0730; (R1) 1.0739; More....

Near term outlook in EUR/CHF stays bearish with 1.0802 support turned resistance intact. Current fall from 1.1149 is on track to retest 1.0505 low. On the upside, 1.0802 support turned resistance is needed to indicate short term bottoming. Otherwise, outlook will stay bearish in case of recovery.

In the bigger picture, rebound from 1.0505 (2020 low) should have completed at 1.1149 already. The three wave corrective structure argues that the downtrend from 1.2004 (2018 high) is not over yet. Medium term outlook will now stay bearish as long as 1.1149 resistance holds. Break of 1.0505 low would be seen at a later stage.

USDCAD is retreating beneath the 20- and the 200-day simple moving averages (SMAs), slipping below the 1.2500 round number.
In trend indicators, the red Tenkan-sen line declined below the blue Kijun-sen line, while the short-term SMAs are turning lower. The MACD oscillator is travelling beneath its trigger line but is still developing above the zero level. Furthermore, the RSI is sloping down, touching the neutral threshold of 50.

More decreases could open the way for the 40-day SMA, which is currently standing near the 1.2420 support level. Overcoming this line, the 1.2200 psychological level could be in the spotlight ahead of the six-year low of 1.2012, achieved on June 1.

On the other side, a rally beyond the 200-day SMA could take the market towards the latest high of 1.2810. A jump above this critical resistance could open the way for more buying interest in the near-term, meeting 1.2950 and 1.3175.

Summarizing, in the short term, USDCAD has been in a bullish bias after the bounce off 1.2012. However, in the bigger picture, the outlook remains negative.

EUR/USD

Current level - 1.1823

The bulls did not get enough momentum for a successful violation of the resistance level at 1.1853 and the bears re-entered the market. The EUR lost ground against the USD and, during the early hours of today`s trading, the pair tested the important support zone at 1.1824. A breach here could strengthen the negative expectations for the future path of the EUR/USD and could easily pave the way towards the levels from the end of July of 1.1772. The first resistance for the buyers is still the zone at 1.1853, followed by the upper target at 1.1890. A rise in market activity can be expected around the announcement of the U.S. non-farm payrolls and the unemployment rate data at 12:30 GMT.

USD/JPY

Current level - 109.84

The dollar continues to gain ground against the yen and, at the moment of writing, the currency pair has already tested the resistance zone at 109.77. If the breach is confirmed, a continuation of the rally towards the next target at 110.13 is the most probable scenario. In the downward direction, a successful violation of the support zone at 109.33 would end the corrective phase for the USD/JPY and could easily tank the pair again towards the zone at 109.04.

GBP/USD

Current level - 1.3914

After the Bank of England left the rates unchanged yesterday, the Cable continued to trade in the narrow range between 1.3884 and 1.3930. At the time of writing, the price is hovering close to the mentioned upper border at 1.3930, but only a successful violation would lead to new gains, aiming for the high at 1.3977, for the GBP against the USD. If the bears prevail, a breach in the downward direction could lead to the deepening of a corrective phase that should, however, be limited to the level of 1.3826 or by the next target at 1.3771.