EURUSD
After falling by 0.28 in a week, EURUSD started a new trading week weaker at 1.0787, threemonth low. As the US economic data kept improving, showed the resilience of the US economy, the demand for USD remained intact while EZ economy has not yet fully improved, mainly in Germany, EZs biggest economy. The USD index increased by 0.55 in a week.
The forecast poll indicated to more than 80 who were bearish, supported by bearish trend index in 1H chart. Price action kept falling, targeting the last major support.
USDJPY
Five consecutive weeks of the bullish performance in USDJPY that traded higher today at 153.60, adding another 0.88. What happened in Japan this weekend was that the Liberal Democratic Party its coalition partner lost the majority in the lower house, the first time since 2009, so the Yen remained under domestic political pressure USD strength as well. Unemployment from Japan will be due later today.
Last major resistance was executed, new one was added. 1H RSI is almost overbought, so the correction to 152.80 is possible then 152. Momentum remained positive.
GBPUSD
The traders sentiments remained bearish in GBP for the last five consecutive weeks after GBPUSD fell by 0.29 in the last week, trading weaker today at 1.2946. It was very clear that inflation remained sticky in many domestic sectors including services, that was another reason not to cut the rates immediately. In other words, the UK economy still faces big dilemma in…