USDJPY hits lower lows
The Yen bounced as the BoJ raised its key short-term interest rate to 0.25%. The pair cut through the round number of 155.00, which sat at the previous swing high, sending a downbeat signal. 152.00 is the next level to see if bulls will step in before the pair extends losses to the psychological level of 150.00. The RSI’s double dip in the oversold zone could cause a limited pullback towards 152.50.
EURGBP maintains bull run
The Euro maintained its bullish stance after hitting higher lows, which has propelled the pair. As price action remains bullish, the subsequent divergence on the RSI will suggest either a loss of momentum or a continuation to the upside. A breach above 0.8460 would confirm another swing higher and prompt sellers to cover. Then, the former support of 0.8420 could be the last obstacle to a sustained rebound. On the downside, a fall below 0.8370 could trigger a new round of sell-off towards 0.8300.
US 30 recovering higher
The Dow recovered some lost ground as the market turned its attention to the Fed’s interest rate decision. The index tests the previous swing low and daily support at 40500, a critical level to keep the bullish momentum going, as its invalidation would force bulls to abandon ship and cause a deeper correction. The top of a limited bounce at 41000 is the first hurdle to clear. In case of a bearish breakout, 39800 at the base of the July breakout rally could be in the crosshairs.
Test your trading strategy on forex and stocks with Orbex
The post Intraday Analysis 01.08.2024 appeared first on Orbex Forex Trading Blog.
