Intraday Analysis – USD continues to slide

<div><img width="750" height="430" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081340/Intraday-3-1.png" class="attachment-post-thumbnail size-post-thumbnail wp-post-image" alt="" decoding="async" loading="lazy" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081340/Intraday-3-1.png 750w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081340/Intraday-3-1-300×172.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></div><h2>USDCAD tests major floor</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081057/USDCAD-2.png"><img decoding="async" loading="lazy" class="aligncenter wp-image-204776 size-full" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081057/USDCAD-2.png" alt="Chart of USDCAD " width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081057/USDCAD-2.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081057/USDCAD-2-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081057/USDCAD-2-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081057/USDCAD-2-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The Canadian dollar advanced after the Bank of Canada hiked its overnight rate by 25 basis points. The pair has turned south at the support-turned-resistance of 1.3380 from a previous lengthy consolidation on the daily chart. This is a sign of relief from trapped buyers but may not be enough to renew interest in the greenback. A slide below the immediate support of 1.3280 showed a lack of follow-through bids, putting those who bet on a bounce on the defensive. <strong>1.3120</strong> is a critical floor and <strong>1.3290</strong> the first hurdle to lift.</p>
<h2>NZDUSD breaks higher</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081132/NZDUSD-2.png"><img decoding="async" loading="lazy" class="aligncenter wp-image-204777 size-full" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081132/NZDUSD-2.png" alt="Chart of NZDUSD" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081132/NZDUSD-2.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081132/NZDUSD-2-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081132/NZDUSD-2-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081132/NZDUSD-2-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>The US dollar plunged after further moderation in June’s CPI may leave only one Fed hike on the table. The kiwi previously met stiff selling pressure at the mid-June peak of <strong>0.6240</strong> as buyers took some profits home. Its convincing breakout signals renewed strength, turning it into a fresh support in the process. More buyers could join the game as the RSI’s overbought condition may cause a brief pullback. May’s peak of <strong>0.6380</strong> is an important hurdle and its breach could lay the groundwork for a recovery in the medium-term.</p>
<h2>UK 100 bounces back</h2>
<p><a href="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081213/UK100.png"><img decoding="async" loading="lazy" class="aligncenter wp-image-204778 size-full" src="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081213/UK100.png" alt="Chart of UK100" width="1200" height="627" srcset="https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081213/UK100.png 1200w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081213/UK100-300×157.png 300w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081213/UK100-1024×535.png 1024w, https://assets.iorbex.com/blog/wp-content/uploads/2023/07/13081213/UK100-768×401.png 768w" sizes="(max-width: 1200px) 100vw, 1200px" /></a></p>
<p>Global equities find relief in sustained signs of cooling US inflation. The FTSE jumped back after the sell-off came to a rest near the March lows of 7230 and a bullish RSI divergence indicated that the downward pressure was waning. A combination of short-covering and buying-the-dips has helped the price recover some lost ground. The first real test comes in at the former support of <strong>7430</strong>, and a bullish breakout would attract those who are still indecisive. Otherwise, the index would fall back to <strong>7290 </strong>or lower.</p>
<p>The post <a rel="nofollow" href="https://www.orbex.com/blog/en/2023/07/intraday-analysis-usd-continues-to-slide">Intraday Analysis – USD continues to slide</a> appeared first on <a rel="nofollow" href="https://www.orbex.com/blog/en">Orbex Forex Trading Blog</a>.</p>