DAILY TECHNICAL ANALYSIS FOR APRIL 05, 2023petar skakalov
Current level – 1.0960
The bulls’ control over the EUR/USD continues and, at the time of the time of writing this analysis, the pair is hovering just below the resistance at 1.0970. A breach of this level would support the uptrend and would pave the way for the pair towards the psychological level at 1.1000. However, a rebound from either of the abovementioned resistances could be considered as a signal for a possible development of a corrective move that could lead to a price action in the range 1.0916 – 1.0969. Today, the spotlight will fall on the publication of the data regarding the ADP Nonfarm Employment Change for the U.S. (12:15 GMT) and ISM Non-Manufacturing Index (14:00 GMT), where worse-than-expected results could strengthen the positive market sentiment and support the euro to continue the uptrend. Increased volatility could be expected around this macroeconomic news and investors should be cautious and take reasonable positions before entering the market.
Current level – 131.31
Yesterday’s trading session started in favour of the bulls, but the pair reversed its direction after the unsuccessful attack of the resistance at 132.96, closing slightly above the support at 131.58. In the early hours of today’s trading session, the pair is testing the above mentioned support where a confirmed breach of this level could deepen the sell-offs. In this case it is highly likely for the pair to head towards a test of the support at 130.50. In the opposite direction, if the support at 131.57 resists the bears’ pressure, then we may expect the pair to enter a consolidation phase in the range 131.57 -132.97.
Current level – 1.2500
The situation with GBP/USD is quite similar to that of EUR/USD, as the uptrend slowed down at the resistance at 1.2500. Only a confirmed breach of this level may suggest possible resumption of the uptrend with a next target for the bulls located at the resistance 1.2560. However, a corrective move towards the support at 1.2418 is a highly likely scenario for today’s trading session. The macroeconomic news mentioned in the EUR/USD analysis may give more clear insight for the future direction of the market.
Midday update for Gold
Gold price settles above the support base formed above 2010.00 level after beaching it yesterday, to keep the bullish trend valid and active for today, organized inside the bullish channel that supports the chances of achieving additional positive targets that start at 2040.00 and extend to 2065.00.
On the other hand, we should note that breaking 2010.00 followed by 2000.00 levels will stop the expected rise and push the price to visit 1966.50 areas mainly.
The expected trading range for today is between 2005.00 support and 2040.00 resistance.
The expected trend for today: Bullish
Source: Technical analysis