September 04, 2024 at 04:13PM
The USD is moving lower across the board and those moves has the GBPUSD, USDCHF and USDCAD all testing the key 200 hour MAs.
GBPUSD:The GBPUSD has moved above a swing area between 1.3128 and 1.31447 and also the 100 hour moving average at 1.3136. The next target comes in at the 200-hour moving average at1.31702. The high price extended to 1.3174, but has backed off and tradebetween the 100 and 200 hour moving averages. The price is currently trading at 1.3155. The battle is on between the buyers and sellers.
USDCHF:
The USDCHF is back down testing its 200-hour MA at 0.84744. The low from the European session moved just below that level and the price just dipped below the level again but is bouncing back between both its 200-hour moving average at 0.84744 and its 100-hour moving average at 0.84964. Like the GBPUSD the battle is on between the two moving averages now. Sellers want to see a break of the 200-hour MA with momentum. Buyers want to see a move back above the 100 hour MA giving the dip buyers at the 100 hour MA some comfort that the low is in.
USDCAD:
As the Macklem press conference continues (well just ended), the USDCAD moved lower despite the 25 basis point cut to 4.25%. The low took the price below the swing area at 1.3526 and the 100-hour moving average at 1.35066, but found support near the 200-hour moving average at 1.34974 and bouncee. The price is back above the 100-hour MA. Now traders have to wonder if the low is in place. Recall that yesterday, the correcivve low after the break higher stalled at the 200
This article was written by Greg Michalowski at www.forexlive.com.
