The USD/JPY pair rejected the 104.29 resistance level and now price action is fast approaching the descending trendline. If the pair breaks the trendline to the downside, the rally is over and represents a return to the bearish trend. Momentum indicators remain in bearish territory.
GBP/USD buyers have made another attempt at the the 1.368 resistance line as buyers continue to dominate price action. A break has still not materialised, yet seems likely given the trajectory of price action. Momentum indicators have flattened in bullish territory indicating further upside potential.
The EURUSD pair has rebounded from the 1.214 support level where it appears likely that another attempt at the 1.299 ceiling will be made. Oscillations will remain within range between the two price levels at 1.214 and 1.229 until enough bullish momentum is built. Momentum indicators have downward trajectories.
XAUUSD has returned to the 1860 price floor which represents the lower bound of a previous trading range. Bullish momentum is currently weak and may not be enough to drive a break. Overall, longer-term sentiment is bearish. Momentum indicators have turned bearish with MACD testing the zero line.
The USOUSD rally has continued further into the $50 per barrel range as bullish sentiment builds, albeit at a slower pace. Most OPEC producers are profitable at the $60 per barrel range and the latest supply cut has no doubt provided support to the commodity. Momentum indicators suggest that the commodity is overbought with RSI moving beyond the 70 overbought line.
HK50 has moved past a high not reached since February 2020, indicating a full price reversal from the declines seen as a result of the covid-19 outbreak. A break of this resistance area suggests strong bullish conviction, yet sellers remain active. Momentum indicators suggest that the index is overbought.
The JP225 index continues to bounce around the 28,347 price line with neither buyers nor sellers dominating price action. Price action may rest in this price zone before further rally attempts. Momentum indicators are bullish with RSI testing overbought levels.