The dollar index fell to 91.00
The U.S. Dollar Index (USDX) fell below the psychological support level of 91.00, but by the opening of the European trading session buyers managed to return to the area of 91.00-91.20. Let me remind you that this was the publication of unexpectedly weaker, compared to the forecast, data on the change in the number of jobs created in the non-agricultural sector of the United States put pressure on the USD. However, the lack of clear progress in agreeing on the next financial assistance package promised by Joe Biden, as well as the high vaccination rate in the United States, continues to support the USDX. A bullish scenario is still a priority.
EUR/USD
The correct growth of this currency pair was quite strong and in many respects played into the hands of sellers. Please note that the pair’s quotations were not able to sustain in the area of technical resistance in the period 1.2045-1.2050. As a result, the bullish scenario is still an alternative until the quotations are returned and the selected area is subsequently fixed.
At the same time, the local target for 1.1900 sellers is still valid. I would like to draw attention to the ecb’s forthcoming debate on the annual report. But since they will take place after the european trading session closes, the market reaction may be moderate.
GBP/USD
Amid the general loosening of the USD, the pair managed to return again above 1.3700. However, buyer activity above a clear level remains very weak. As a result, a bullish scenario is still not a priority, and returning quotations to a marked level can trigger a sales wave. The pair’s fall scenario takes into account the fall in the pair’s quotation to 1.3635 and further to 1.3525 – the lower end of the channel upwards. This scenario will be implemented subject to a significant strengthening of the USD.
USD/JPY
Despite the weakening of the USD, the activity of the sellers of this currency pair remained very low, indicating the willingness of buyers to continue to increase by 106.05 and further to 106.45 and 107.00. It is also important to note the fact that the level of technical support of 105.20 keeps the pair from developing a deeper wave of decline. As a result, a bullish scenario remains a priority until the pair returns to that level.
