DAILY TECHNICAL ANALYSIS FOR JUNE 03, 2022petar skakalov
Current level – 1.0753
During yesterday’s trading session, the bulls found the level at 1.0640 to be a good opportunity to enter the market and we witnessed a rally that led to an increase in the value of the euro against the U.S. dollar, which led the pair towards the critical resistance at 1.0746. At the time of writing, the pair is testing this resistance zone and a confirmed breach of this level would pave the way for the pair towards the psychological level at 1.0800. In the opposite direction, in case the bears prevail, then a downward movement towards the support at 1.0641 may take place instead. However, even if the bears take control, the pair may still enter a consolidation phase in the range of 1.0641 – 1.0746. During today’s session, market participants will closely follow the announcement of the retail sales data for the eurozone (09:00 GMT), as well as the non-farm payroll change data for the U.S. (12:30 GMT) and the unemployment rate change data, also for the U.S. (12:30 GMT).
Current level – 129.86
The pair is consolidating in the narrow range of 129.54 – 130.23 after the initial strong dollar rally that we witnessed since the beginning of this week. The consolidation may continue during today’s trading, but the buyers will likely be cautious because a deeper correction may develop as the Ninja may try to recover part of its recent losses before a possible resumption of the uptrend is to take place. Only a confirmed breach of the resistance at 130.23, however, would strengthen the positive expectations for a possible expansion of the upward trend. If this scenario is realised, then the next target for the bulls would be the resistance level at 131.22. In case the bears manage to violate the lower border of the range, their next target would be the support at 128.56.
Current level – 1.2586
The pair successfully bounced back from the support at 1.2470 and the bulls convincingly led the pair towards a test of the resistance at 1.2587. In the early hours of today’s trading, the pair is hovering just below this level and, if they manage to overcome it, then an upward movement towards the resistance at 1.2657 is а highly possible scenario. However, if this level resists the bullish pressure, then it could be expected for the pair to remain in the range of 1.2587 – 1.2470.
Gold price keeps rising
Gold price keeps rising to reach 1870.00 level, reinforcing the expectations of continuing the bullish trend, which targets 1890.00 mainly, noting that the price moves within bullish channel that supports the chances of surpassing the mentioned level to achieve additional gains on the intraday and short term basis.
In general, the bullish trend scenario will remain active and dominant in the upcoming sessions conditioned by the price stability above 1850.00 and 1838.10 levels.
The expected trading range for today is between 1850.00 support and 1890.00 resistance.
The expected trend for today: Bullish
Source: Technical analysis