daily market analysis from forexmart

EUR/USD Technical Analysis: February 23, 2017

The rising concerns regarding France presidential elections and increasing rate hike expectations of the Fed scheduled in March caused the European currency to remain under the pressured area. Meanwhile, the Business Climate of Germany showed positive figures exceeding its expectations in spite of the bias forecast.

The common currency reversed few of its losses during the Asian hours on Wednesday. The EURUSD highlighted 1.0550 level but the selling pressure within EUR kept intact and drove the spot towards its fresh lows.

The rebounded the 1.0550 and declined to 1.0500 amid EU morning trades. The 4-hour chart showed that the 100-EMA tested the 200-EMA. While the 100 and 50-EMAs preserved a bearish sentiment and on the other hand, 200-EMA is neutral. The price extended its development under the moving averages. Resistance settled around 1.0550, support approached the 1.0500 area. MACD indicator softened which confirmed strength for the sellers. RSI consolidated near the negative territory.

A break under the mark 1.0500 will generate another lower support. A move below the handle 1.0500 would recover a bearish slope at 1.0450 region.

GBP/JPY Technical Analysis: May 10, 2017

The British pound paired with the Japanese yen rallied during the Tuesday session. The market reached the 147.50 level and tries to reach the 148 handle. There is still a lot of space to climb higher towards the next target of 150 handle. Later on, the 147 level could become a support level.

Amongst a basket of currencies, the Japanese yen sells off the most and sensitive to risk appetite as a whole. Traders should not forget the pair to be volatile and long-term deals is predominant in traders.

The market should also monitor the stock market which is performing well relative to indices such as the S&P 500. Although, traders should expect volatility as it climbs higher and it seems that there is sufficient buying pressure to push the price higher. Nevertheless, reversals open opportunities to gain for this pair, especially for yen related market. It may not be advisable to sell this for now with buyers leading the market. There is still risk appetite which could induce the pair to further go up.