DAILY TECHNICAL ANALYSIS FOR JUNE 01, 2023petar skakalov
Current level – 1.0688
The single European currency has been exhibiting a consistent retreat against the dollar. A support threshold at 1.0634 has successfully curtailed bearish momentum for the present moment, yet the sentiment remains skewed to the negative side. The present downtrend, far from a clear conclusion, seemingly has additional territory to cover. Market participants, wielding a prudent approach, are expected to maintain their cautious stance, abstaining from substantial risk until critical economic indicators are disclosed. These include the ADP private sector employment change data due for release at 12:15 GMT, followed by the announcement of the weekly jobless claims at 12:30 GMT. Both figures possess the potential to significantly sway the market trajectory.
Current level – 139.50
With the Ninja, bears continue to dominate the market and the currency pair is below resistance at 139.45. They are likely to test the support at 138.83 as well, but having in mind the strong USD, the bulls will surely stop them. It is possible that the bulls will return to the market again, but the goal should be to break the resistances at 140.14 and 140.73. Price action will be predominantly driven by the incoming news from the United States, the relevant details of which can be conveniently accessed through our comprehensive economic calendar.
Current level – 1.2435
For now, the Cable is doing very well against the U.S. dollar. After the negative correction to 1.2309, the price went up, but the important level at 1.2444 remains a serious obstacle for now and the attempts of the bulls to overcome it permanently are still unsuccessful. Although the rate is holding tight around the mentioned level, the possibility of another move in the negative direction should not be ruled out if the bears take the initiative to attack the support at 1.2385.
Midday update for Gold
Gold prices resumes its negative trading to approach our first waited targe tat 1945.20, waiting for more decline to surpass this level and open the way to head towards 1913.15 as a next correctional target.
Therefore, we will continue to suggest the bearish trend for today supported by moving below the EMA50 unless breaching 1977.25 clearly and holding with a daily close above it.
The expected trading range for today is between 1945.00 support and 1977.00 resistance.
The expected trend for today: Bearish
Source: Technical analysis