In this morning video on November 13, 2023, I kickstart the Forex trading day with a technical look at the EURUSD, USDJPY and GBPUSD. What are the biases, the risks, the targets for those three major currency pairs?
EURUSD: The EURUSD moved higher in the Asian and early European session today. In the process the price moved above the 100-hour moving average and the high of a swing area between 1.0674 – 1.0694. The high price extended to 1.0700 before rotating back to the downside (a nice round number). The fall to the downside moved to the 38.2% retracement of the move up from the November 1 low to the November 6 high at 1.0664, and stalled. Getting below and staying below the 38.2 is needed to give the sellers more confidence/control. So buyers had a shot and sellers had their shot today and both missed. The battle continues but the key levels are understood.
USDJPY: The USDJPY continues its march to the upside. The price is now up for 6 consecutive days as the pair trends higher and gained more confidence above the 150.00 level. That natural resistance level was broken on Tuesday of last week and has not looked back. There is a trend line connecting recent lows on the hourly chart that cuts across near 151.71. That is also near the end of October high at the same level. Getting below that level is the close risk level for buyers. It may also give sellers who feel the market is overbought after 6 straight days to the upside, something to base a countertrend move on. But understand, there is more work to do on a break of that level to show that the sellers are more in control. On the topside, there is also the key resistance near 151.93. That level was the high price from 2022 and also represents a multi-decade high for the USDJPY. Break above that level and there will be headlines about the break
GBPUSD: The GBPUSD moved up to test the converged 100 and 200 hour moving averages near 1.2259 and found willing sellers. The 1st test was successful The current price trades around 1.2239. On the downside, traders will be holding a swing area between 1.2219 and 1.22326 get and staying that level would give sellers some hope for further downside momentum. So sellers are making a play against the moving averages. The question is can they keep the price below those levels and continue the momentum to the downside.