Daily Technical analysis for June 18, 2021
Current level – 1.1918
After the euro lost about a figure of its value against the dollar following the U.S. Federal Reserve meeting on Wednesday, the sell-off continued during yesterday’s trading session as the bears took another figure from the value of the single European currency against the dollar. At the time of writing, the support zone at 1.1880 is managing to fend off the bears. However, In the event of a breach of the mentioned support, the next stop in the negative direction would be the support area at 1.1700.
Current level – 110.15
The U.S. dollar increased its value against the Japanese yen to 110.80 after the U.S. Federal Reserve statement. A corrective phase then followed, which led the pair towards the support zone at 110.11. We are currently seeing a consolidation phase forming just above the mentioned support level. The most likely scenario is for the sell-off to be limited above the mentioned support zone and for the bulls to take control over the market.
Current level – 1.3933
The greenback continued its appreciation across the board and the GBP/USD was no exception as the dollar gained quite a bit of ground against the sterling. The sell-off was limited down to the support level at 1.3892 during the past session and, at the time of writing the analysis, we see a correction that should remain limited below the 1.3968 resistance and thus the negative trend may continue.
Gold price hits the extended target
Gold price succeeded to touch the extended target at 1770.00 and begins to rebound bullishly from there, as this level represents 61.8% Fibonacci correction for the entire rise measured from 1677.80 to 1916.25, to expect starting bullish wave and recover in the upcoming sessions.
Therefore, the bullish bias will be expected for today, and breaching 1800.00 is required to reinforce the expectations to rise and achieve gains that start at 1825.15, taking into consideration that breaking 1770.00 will stop the suggested positive scenario and press on the price to suffer new losses that reach 1734.10.
The expected trading range for today is between 1770.00 support and 1810.00 resistance.
The expected trend for today: Bullish
Source: Technical analysis