DAILY TECHNICAL ANALYSIS FOR SEPTEMBER 08, 2021petar skakalov
Current level – 1.1846
After reaching the local high at the end of the last week at 1.1897, the single European currency began to lose ground against the U.S. dollar. At the time of writing, we are seeing consolidation just above the support level at 1.1835. If the bears remain in control, we could see a larger drop in the value of the single european currency against the greenback towards the next significant support zone at 1.1800. In the upward direction, the main resistance remains at 1.1900.
Current level – 110.24
The currency pair continued to trade in the narrow range between 109.58 – 110.20 during the last trading session, as the break of the zone at 110.20 is not a sufficient factor to confirm that the pair has left the narrow channel. Оnly a confirmed breach of the zone at 110.40, could signal a continuation of the upward movement towards the next significant resistance at 110.80. The main support remains the level at the lower border of the formed range – 109.58.
Current level – 1.3778
Since the end of last week, the British pound has been losing ground against the U.S. dollar, with previously staging a two-week recovery from the low at 1.3600 and a test of the resistance zone at 1.3868, which can be considered as a local high according to the smaller time frames. The move we are seeing this week can be considered as a corrective phase, and the most likely scenario is for the resumption of the upward movement, which in the event of a resistance breach at 1.3870, could reach the next significant zone at 1.4000.
Gold price presses on the support
Gold price closed yesterday below 1797.00 level, which supports the chances of continuing the decline in the upcoming sessions, to head towards achieving additional negative targets that reach 1770.00, supported by the negative pressure formed by the EMA50.
Therefore, we expect to witness more decline on the intraday basis, taking into consideration that failing to confirm breaking 1797.00 will lead the price to start recovery attempts that target testing 1825.15 areas initially.
The expected trading range for today is between 1770.00 support and 1810.00 resistance.
The expected trend for today: Bearish
Source: Technical analysis