The pair had closed the week at 1.3113 after stronger than expected U.S. jobs report. Now the investors are focused on what the Fed is going to do. Speculation that the Federal Reserve may announce more quantitative easing has kept some investors upbeat, but there has been nothing to suggest that the Fed will change its policy. The Federal Open Market Committee is scheduled to meet on Tuesday. The Bank of Japan is also meeting on Tuesday for the first time since it surprised market with a policy easing. For now, 1.3090 level is holding the pair from falling further. That level is also the 50 moving average which has been acting as a s/r point. Since the market is still buying the dips and selling the rallies, there is a chance we will see the pair moving towards 1.3160 (and then 1.3220). In order to gain the control over the pair, the bulls have to break and hold above 1.3265 (the monthly pivot). If the bears win and we see prices break the support zone at 1.3090, I will look for support at 1.2973 and 1.2920 next.


The cable is back below its 34 ema and sitting above an important support level. It is quite possible that the pair will test 1.5750/35 area before diving deeper. If the pair can climb above 1.5765, then look for resistance at 1.5810 and 1.5880 levels. If the bears can push the price below 1.5645 support, the pair will head to 1.5500 level.


It is possible that the pair will continue its bullish tendencies but price will need to break 0.9200 and hold above to continue rising. Resistance to the upside can be found at 0.9250 and 0.9300. If the bulls lose the battle, look for support at 0.9105 and 0.9040.


The pair closed the week at a key level with a slightly bullish sentiment on the daily chart after another unsuccessful day of attempting to close below the 0.99 level. If the pair can stay above 0.9900 support line, it will try to reach to 1.00 level. However, If the pair slips below 0.99, look for support at 0.9850 and 0.9790.

Resource: Fx Technical Trade