DAILY TECHNICAL ANALYSIS FOR JUNE 08, 2023petar skakalov
Current level – 1.0706
The expectations for today’s trading session is for the pair to head towards a test of the resistance at 1.0738, where a confirmed breach of this level would suggest a strong corrective move and a test of the key resistance at 1.0800. The downturn that began a few weeks ago was limited to the support at 1.0672 and a price consolidation in the narrow range 1.0672 – 1.0738 took place. If the bears prevail and manage to violate support level at 1.0634, this could be considered as a signal for a resumption of the downtrend and the support at 1.0600 appears to be the next target for sellers. Today, we are expecting a busy economic calendar with the employment change data for the EU at 09:00 GMT and the initial jobless claims to be announced at 12:30 GMT.
Current level – 139.85
Despite the bulls’ pressure, the resistance level at 140.20 is still holding strong and the currency pair is currently trading just below this level. Our expectation is for a retracement towards the support at 139.00. A confirmed breach of this level would pave the way for the pair towards the next key support at 138.00. However, we cannot rule out the possibility of a false breakout above the resistance level at 140.21 which could lead to a significant reversal and push the pair in a downward direction towards the support level at 137.38. In the upward direction, if the bulls prevail and manage to overcome the resistance at 140.91, this may provide the necessary stimulus to the buyers to increase their positions and pave the way for the pair towards a test of the resistance at 142.00.
Current level – 1.2446
The pair is still locked in the wide range 1.2379 – 1.2500. The expectations for today’s trading session are for the bulls to make an attempt to regain positions in another attempt to break through the resistance at 1.2500. A confirmed breach of this level may extend the upward movement towards the close resistance at 1.2533. However, the overall negative market sentiments remain disposed towards further depreciation of the sterling and, if the bears prevail, the support at 1.2320 would be their first target.
Gold price gets negative close
Gold prices managed to achieve our waited target at 1945.20 and closed the daily candlestick below it, to support the continuation of the correctional bearish trend and pave the way to head towards our next negative target that reaches 1913.15.
Therefore, we are waiting for more expected decline in the upcoming sessions, organized inside the bearish channel that appears on the chart, supported by the negative pressure formed by the EMA50, noting that failing to consolidate below 1945.20 might push the price to attempt to recover and achieve gains that start at 1966.45 followed by 1977.25.
The expected trading range for today is between 1925.00 support and 1960.00 resistance.
The expected trend for today: Bearish
Source: Technical analysis