Daily Technical analysis for May 05, 2021petar skakalov
Current level – 1.2020During yesterday’s trading session, the euro lost value against the dollar and this downward trend is projected to continue. The first important support is the level at 1.1986 and if it is broken, the pair will move to 1.1880, which is a critical support for the decline of 1.2150. The first important resistance is at 1.2113. Today, investors’ interest will be focused on data on ADP Nonfarm Employment Change for the US (13:15 GMT).
Current level – 109.21
The currency pair managed to stay above the key support at 109.05 and this is a strong signal for continued upward movement. However, expectations are for a second test at this level and if it is passed again, then investors’ expectations will be positive for a test of the significant resistance at 109.73.
Current level – 1.3907
After strengthening its position against the dollar since the beginning of the week, the pound began today’s trading session with growth and the forecasts are that this upward movement will continue. The first important resistance is at 1.3920, followed by 1.3989. In a downward movement, the first important support is the level at 1.3834.
Gold price is under the negative pressure
Gold price eneded yesterday with strong negativity and settled below 1785.00 level, which put the price under more expected negative pressure on the intraday basis, targeting testing 1765.00 level in the upcoming sessions, noting that the expected decline is temporary, waiting to rebound bullishly to resume the main bullish trend again.
Therefore, the bearish bias will be suggested for today, taking into consideration that breaching 1785.00 will stop the suggested negative scenario and push the price to rise again, while breaking 1765.00 represents negative factor that will press on the price to suffer more losses on the intraday and short term basis.
The expected trading range for today is between 1760.00 support and 1795.00 resistance.
The expected trend for today: Bearish temporarily
Source: Technical analysis