Intraday Forex Friday, July 16 (EURUSD, USDJPY, etc.) The dollar was steady and heading for weekly gains against major currencies.


Hi everyone. This observation is made around 5:25 UTC today, with 30 minutes time frames. The Resistance and Support Line were constructed according to Fibonacci retrenchment. Any discussion is welcomed.

Asian shares slipped on Friday as investors were uninspired by recent mixed economic data and Powell’s dovish testimony that failed to provide any fresh catalysts to buy risky assets.
Gold headed for a fourth straight weekly gain.
Oil set for worst week since March on OPEC+saga.

Meanwhile, the dollar was headed for its best weekly gain in about a month on Friday, supported by investors’ drive to safety as rising COVID-19 infections loomed over the pandemic recovery, although Powell’s overnight dovish testimony kept gains in check.
England decision to abandon COVID-19 restrictions next week is watched as COVID-19 cases keep on climbing. Ahead of Friday, traders are looking to U.S. retail sales data and consumer confidence for any reading on inflation and the strength of the recovery.

I also does analysis for some other currencies. Read more on the website on TECHNICAL ANALYSIS and DAILY MARKET NEWS.

  • The euro stood at $1.18103, broadly steady Friday but heading for weekly losses, with a decline over the week so far of 0.5% against the dollar.​
  • The pair were both weighted by the dovish comments from the policymakers.​
  • Fed Chair Jerome Powell on Thursday signalling that it was premature to tighten the policy, reiterated that rising inflation is likely to be transitory and that the U.S. central bank would continue to support the economy, which drove U.S. Treasury yields lower.​
  • Eurozone government bond yields fell, tracking U.S. Treasuries, as investors continued to assess the dovish commentary from Powell.​
  • For the euro, ECB Governing Council member Visco on Thursday also said the Eurozone economy still has substantial slack didn’t expect monetary policy to be tightened soon.​
  • Later today, traders are looking to U.S. retail sales data and consumer confidence for any reading on inflation and the strength of the recovery.​
  • EUR/USD failed to extend the bounce off a 3-month low, staying inside a bullish falling wedge formation. Price action is likely to be contained going forward. The major currency pair expected to remain surrounding the 1.1810 threshold.​
Important Levels to Watch for:​
  • Resistance line of 1.18534 and 1.18750.​
  • Support line of 1.17834 and 1.17618.​

  • The yen traded lower at 110.013 per dollar, against an earlier high of 109.71 against the greenback. Safe-havens yen has been firm for the week so far, up 0.2% on the dollar.​
  • The yen weakened on concern that the pandemic is worsening in Japan after Tokyo reported 1,308 new COVID-19 infections on Thursday, the most in 6 months.​
  • However, a decline in T-note yields throughout the week sparked short-covering in the yen, and USD/JPY erased its advance and moved lower.​
  • The BoJ concludes a 2-day meeting and held steady on monetary policy. The Japanese central bank also downgraded its real GDP forecast for fiscal year 2021 to a 3.8% expansion, as compared with the 4% growth forecast made in April.​
  • The USD/JPY pair has once again rejected the ascending trendline which has developed as a key resistance area. As such, price action is now traded rangebound, paring losses but still at risk of falling. The pullback could be the first signs of waning bullish momentum.​
  • Technical indicators have bounced modestly from intraday lows, although the RSI remains near oversold levels. Their bullish potential is pretty much null at the time being.​
Important Levels to Watch for Today:​
  • Resistance line of 110.103 and 110.260.​
  • Support line of 109.597 and 109.440.​

For analysis of USDCHF, GBPUSD and other insight into the market, read more on the WEBSITE or click on TECHNICAL ANALYSIS and DAILY MARKET NEWS.