DAILY TECHNICAL ANALYSIS FOR APRIL 04, 2022petar skakalov
Current level – 1.1046
The currency pair is trading just below the support area at 1.1060, with the bears currently being in control of the market. This, in turn, could lead to another prolonged sell-off and a test of the next significant support at 1.0974. Alternatively, if the bulls manage to limit the sales around the current market levels, then we could see a rise towards the 1.1126 resistance instead. This week, only the Fed’s meeting minutes (Wednesday; 19:00 GMT), when more detailed information on the U.S. monetary policy stance will be presented, would have a more serious impact on the movement of the currency pair.
Current level – 122.65
At the time of writing, the currency pair is consolidating just above the support level at 122.41. The sentiment for the moment remains neutral as the decline from the previous week was limited to the support level at 121.30. It is therefore possible to witness the formation of a range between 121.30 and 123.68.
Current level – 1.3106
The pound consolidated at the 1.3105 support zone, and with a successful breach of the mentioned support, we could witness a subsequent depreciation and an attack on the support zone at 1.3000, which is the local bottom for the currency pair. A scenario, in which a range movement is formed in the narrow channel of 1.3105 – 1.3173, is not excluded, if the neutral sentiment from the last week is maintained. In the upward direction, the main resistance for the bulls is the upper boundary of the range at around 1.3173.
Gold price breaks the support
Gold price ended last Friday below 1925.35 level, to reactivate the negative scenario that targets visiting 1890.00 level as a next negative station, making the bearish bias suggested for today, supported by the negative pressure formed by the EMA50.
On the other hand, we should note that breaching 1925.35 followed by 1940.00 levels will stop the expected decline and lead the price to recover again.
The expected trading range for today is between 1900.00 support and 1935.00 resistance.
The expected trend for today: Bearish
Source: Technical analysis