Daily Forex forecast analysis 09-06-2017 – we analyzed the upcoming currency pairs and events of the day that could impact the Forex market, These analysis are published here each day.
Forex Forecast Analysis 09-06-2017 include information on EURUSD, USDCHF, GBPUSD, USDJPY & AUDUSD
The euro did not perform very well yesterday, as well, but it still managed to regain some ground against the US dollar. The price is trading above the 4h chart 20 EMA suggesting that the bulls are still in control. Since the market is not trading impulsively we assume that the investors are awaiting tomorrow’s ECB Interest Rate Decision and also ECB President’s Mario Draghi speech, which could unveil new hints regarding the tapering of the current QE program.
Until then, let’s move towards the technical analysis and we can see a short-term resistance around 1.1939, yesterday high. If the buyers will manage to push the price towards it, we expect an upside break and a continuation towards 1.1979 and 1.2042.
On the downside, the 20 EMA should provide support short-term, while below it we have the 1.1891 and 1.1867 levels, where buying could have a reaction. 1.1848 follows next and it should provide stronger support.
- For Germany, Factory Orders are due at 06:00am GMT.
- For the US, Trade Balance will be released at 00:30pm and three PMI indicators will follow at 01:45pm and 02:00pm, respectively.
Even though the US dollar made an upside push in the European session yesterday, the downside resumed and the swiss franc benefited again from its safe haven status, as the risk aversion is high due to recent tensions between the US and North Korea. Sunday report regarding a successful test of a hydrogen bomb followed by recent comments from US and North Korean officials had boosted worries across the financial markets.
To describe a bit the technical picture, since the price managed to pass through the Friday low, that suggests the sellers are driving the order flow and further selling pressure could follow if bad news continue to fuel the risk aversion. 0.9526 and 0.9498 support levels could be reached.
On the other hand, we expect the upside to be limited and any significant bull move should be treated as a selling opportunity as long as the market will treat with caution the current political crisis. 1h chart 20 EMA, 0.9574 and 0.9591 should potentially be entry points for the sellers, if the levels will be reached.
Cable found support around the 4h chart 20 EMA and sparked a new impulsive upside move yesterday. The price is up around 100 pips until the time of writing and it should continue to appreciate as long as the US dollar will be under pressure. We are now around the 1.3028-1.3049 resistance zone, which should cap the upside in the short-term. A breach of it would mean the bullish momentum increased further.
If the sellers will manage to build up around our previously mentioned resistance area, we expect a downside retracement to develop. The price could reach 1.2996-1.2980 support area, backed by the 4h chart 20 EMA.
On the upside, buyers would need to manage to break above the resistance zone first, in order to be able to extend the trend higher. 1.3110 and 1.3155 could be reached in the short or medium term if the breakout occurs.
There are no important economic figures due from UK today.
Dollar-yen extended impulsively on the downside yesterday since the yen also benefited from its safe haven status. The price retraced towards the 1h chart 20 EMA and resumed the downside impulsively, ending the day with a 90 pips loss from open to close. Judging by the current price action structure, a retest and most likely a breakout below the weekly low around 108.26 is very possible, considering that the buyers do not manage to have a stronger reaction thus far.
The price managed to find short-term support around 108.59 area but the reaction from the buyers had been too weak until now. A breakout and close below the support will mean a retest of 108.33-108.26 area will follow. Below it, 107.40 area is next.
On the upside, 108.83 could act again as a short-term resistance level, while a breakout above it would expose the 108.79 level. We expect the sellers to resume sharply on any impulsive bull move.
The Aussie broke on the upside yesterday, clearing the 0.7992 resistance level, but had seen some weakness today after the release of some GDP figures from Australia. It seems like the investors were not satisfied by the fact figures came in line with expectations and the price retreated lower, breaking again below the resistance. Since higher lows and higher highs were generated, we are still in a bullish environment.
If the bullish momentum starts to build up again, buyers should encounter resistance around 0.7992 and yesterday high. Above those points, 0.8042 and 0.8064 are due to follow and selling activity should be stronger, considering that we have a weekly high there.
On the downside, the 4h chart 20 EMA is expected to act as support again, if the price will reach it. In case the price won’t bottom out around that area, 0.7940 and 0.7919 levels are expected to follow afterwards.