DAILY TECHNICAL ANALYSIS FOR JULY 26, 2022petar skakalov
Current level – 1.0224
The pair still cannot break through the range 1.0170 – 1.0270 and the market is likely to remain in “standby” mode, as investors are cautious and expect the announcement of the Fed interest rate decision on Wednesday at 21:00 GMT. The level at 1.0270 seems to be a strong resistance for the bulls and the expectations are for the bears to try to take control over the market and attack the critical support at 1.0170, where a successful breach may be considered as a signal for a resumption of the downtrend. In this scenario, the sell-offs may deepen and the pair would most probably head towards the support at 1.0115. However, if the bulls prevail and manage to overcome the critical resistance at 1.0270, their next target would be the resistance at 1.0365.
Current level – 136.34
The pair bounced back from the resistance at 136.70 as the bulls could not gain enough momentum to violate this zone and to lead the pair towards the next resistance at 137.46. The forecasts for today’s trading session are for USD/JPY to continue its downward movement towards the support at 135.90 where a confirmed breach could easily deepen the decline and lead to a sell-off towards the support zone at 134.93.
Current level – 1.2055
At the time of writing this analysis, the bulls are trying to break through the resistance at 1.2060 and a confirmed breach of this level would most probably lead the pair towards the next key resistance at 1.2120. In case the bears manage to keep the pair below the mentioned resistance, we may expect a downward movement and a test of the psychological level at 1.2000, where a successful breach would easily lead the pair towards the support at 1.1950.
Gold price gets a new positive signal
Gold price continues to fluctuate around 1726.60 level, and the EMA5o provides the positive support to the price, to protect the recently suggested bullish trend scenario, noticing that stochastic begins to overlap positively now.
Therefore, these factors support the chances of resuming the bullish bias now, waiting to visit 1755.70 as a next positive target, reminding you that it is important to hold above 1726.60 and 1720.00 to continue the expected rise.
The expected trading range for today is between 1715.00 support and 1750.00 resistance.
The expected trend for today: Bullish
Source: Technical analysis