EUR/USD, USD/JPY and AUD/USD Forecast – US Dollar Gives Back Some Gains

EUR/USD Technical Analysis

The Euro initially did try to rally a bit during the trading session here on Wednesday but gave back gains pretty quickly as it looks like we are still going to consolidate in the same area. The 1.16 level is an area that I think continues to be a bit of a magnet for price. But if we break down below the 1.1550 level, the market going below there opens up the possibility of going down to the 1.14 level.

USD/JPY Technical Analysis

The US dollar has fallen a bit against the Japanese yen, only to turn around and show signs of life. The 151 yen level shows a certain amount of support. And I think if we bounce from here, that will open up the possibility of a move to the 153 yen level.

On the other hand, if we break down below there, the 149 yen level is significant support as well. All things being equal, this is a market that I think is still in the process of trying to get an uptrend going. So therefore, I do like buying dips. You get paid at the end of every day due to the swap and interest rate differential between these two currencies, which continues to favor the US dollar.

AUD/USD Technical Analysis

The Australian dollar has risen a bit during the early hours here on Wednesday as well, but basically, we’re just at the bottom of a range. I don’t really see anything here other than the short-term bounce that I’m probably going to be selling into at the first signs of exhaustion. The 0.6550 level is an area that has been like a magnet for price, and it now features a 50-day EMA. So I’ll check in on this if we get anywhere near there and show signs of a hesitation to start buying US dollars.

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