FX Kickstart: Major Pairs Stalled in “Non-Trending” Ranges
The US Dollar is starting the North American session on a mixed note. While the Greenback is lower against the Yen, it has found some footing against the Euro and Pound. Greg Michalowski highlights a market currently lacking a clear trend, with price action largely dictated by key hourly moving averages and established swing zones.
EURUSD: The Battle for the 100-Hour MA
The Euro is caught in a tug-of-war as sellers attempt to keep the price below the 100-hour moving average.
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Support: A critical “floor” exists in the swing area between 1.1765 and 1.1778. Buyers have consistently defended this zone.
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Resistance: The falling 200-hour moving average remains the primary hurdle for bulls.
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Outlook: Until the price can break and sustain a move outside this range, the bias remains neutral-to-bearish as it stays below its short-term averages.
USDJPY: Accelerating Past Resistance
Following volatility sparked by the Bank of Japan and comments from the Prime Minister, USDJPY is showing signs of upside momentum.
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Key Pivot: The area between 156.20 and 156.28 is the primary “risk-defining” level. Staying above is more positive/bullish.
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Technical Shift: The pair recently broke above a top-side trendline, suggesting an acceleration of the move toward the February highs.
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Other Support: The 61.8% retracement level provided a solid base during the recent consolidation. That level comes in at 155.592
GBPUSD: Trapped Between Averages
Cable is mimicking the EURUSD’s non-trending behavior, oscillating between its 100 and 200-hour moving averages.
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Resistance: A well-defined “yellow” swing zone and the 200-hour moving average are capping gains. A break above 1.3536 is needed to open the door for further upside.
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Support: The 100-hour moving average is currently acting as the near-term floor.
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Outlook: Traders are leaning against the edges of the weekly range (high vs. low). A clean break above 1.3536 or below the 100-hour MA will determine the next short-term “shove.”
Traders’ Note: In these “non-trending” environments, the lines are well-established
The USD is mixed to start the North American session. What are the charts telling traders?
