While the stocks continue to push higher, the USD is more stuck.
EURUSD: The EURUSD moved below the 100 hour MA (at 1.04473)and swing area (1.0448 to 1.0461) in the Asian session and remains below those levels. The next key target comes in at the 50% of the move down from the December high at 1.04028 and the 50% of the range since the 2022 low (to the 2023 high) at 1.0405. The low price today reached 1.0413. The 200 hour MA is also lower (but rising) at 1.0399 currently.
USDJPY: The USDJPY moved close to the 38.2% of the move up from the December low at 154.939 (low reached 155.04) but could not reach that retracement target nor the swing area between 154.77 to 154.967. The price rise has taken the price back to the 100/200 hour MAs at 155.71 where sellers have leaned over the last 4 hourly bars. It will take a move above to nudge the bias back to the upside with the swing area between 155.94 to 156.219 as the next target to get to and through to open the door to the upside.
Stay below the 100/200 hour MAs, keeps the sellers in play and the battle between the MAs above at 155.709 and the 38.2% retracement below at 154.939 alive going into the new trading day.
GBPUSD: The GBPUSD remains below its 200 bar moving average on the 4-hour chart and 50% midpoint of the move down from the summer high at 1.2453 remains topside resistance. On the downside, the rising 100-hour moving average 1.2408 would need to be broken to increase the bearish bias. The price moved above that moving average on January 20, tested on January 21 before stepping higher and away from the moving average level. Getting below should lead to more downside probing.
Staying below is more bearish
USDCAD: The Bank of Canada is expected to cut rates by 25 basis points tomorrow and the USDCAD is maintaining a slight technical advantage to the USDCAD buyers (weaker CAD). The price remains above the 100 and 200-hour MAs at 1.4374 and 1.43829 with the price currently trading at 1.4400.
Looking at a broader view, the topside target area comes in at 1.4448 to 1.4466.
If the 200 and 100-hour MA are broken on the downside, the lower extreme swing area between 1.42899 to 1.4304 would be targeted.
This article was written by Greg Michalowski at www.forexlive.com. Source