DOLLAR - Reversed near the end of May significant high
EURUSD - Possible bounce towards 1.10
USDJPY - Believe a significant high is in
GBPUSD - Stable
EURGBP - Back in the range
XBTUSD - Bitcoin ETF coming soon
The dollar nearly reached the of May significant high and started coming off from minor overbought conditions while MACD was showing bearish divergence. A prolongation of the correction towards 102 looks likely.
The Euro nearly reached the of May significant low and started bouncing from minor oversold conditions while MACD was showing bullish divergence. A prolongation of the current upward move towards 1.10 looks likely.
The break above last week’s high came as a surprise as we had a strong conviction the level would hold. Nevertheless, we believe that yesterday’s high at 147.36 should hold for a long while and see the bottom of the on-going trend channel (currently @ 139.50 but rising) as a medium-term target.
GBPUSD has remained relatively stable throughout the month of August, and the correction which started from 1.3142 mid-July might have ended at 1.2548. With a low conviction level, we will bet on a bounce from current levels.
Last week, as EURGBP broke the 0.8505 support, we had expected the downtrend to carry-on towards 0.84, but instead, the market decided to bounce the minute this report was sent out. Now that EURGBP is back in its range, it should eventually reach the resistance which is also where the 200dma is standing at 0.87.
We were expecting XBT to bounce near the $24.7k support, but the market took off yesterday on news that US court was paving way for first Bitcoin ETF. We are now very split, unsure whether the market low is already in, or if our $24.7k target will eventually be reached.